INTERIM REPORT MAY 3, 2018 at 9.00 A.M.

Profitability increased

This is a summary of Wulff Group Plc’s interim report for January-March 2018. Wulff Group’s interim report as a whole is attached as a PDF file to this stock exchange release and it is also available on the company’s website www.wulff-group.com.  

1.1.-31.3.2018 BRIEFLY

  •  Net sales totalled EUR 14.3 million (15.3), down by 7.0%.
  •  EBITDA and comparable EBITDA were EUR 0.4 million (0.2).
  •  Operating profit and comparable operating profit (EBIT) amounted to EUR 0.3 million (0.1).
  •  Earnings and comparable earnings per share (EPS) were EUR 0.02 (0.01).
  •  Equity-to-assets ratio was 46.6% (48.6).
  •  Kari Juutilainen, Jussi Vienola, and Kristina Vienola were elected as new members to the Board of Directors. Ari Pikkarainen was elected as a member of the Board of Directors and he continues as the Chairman of the Board.
  •  The outlook for the comparable operating profit remains the same; Wulff estimates the comparable operating profit 2018 to grow.


”Wulff’s year has begun well – thank you to our customers, cooperation partners and to our employees. Improving our profitability is important. By continuing our good progress we will enable investments in strategic operations and grow our net sales. Our goal is to offer our customers the perfect working day. We make working environments and workplaces more comfortable, healthier, safer, more enjoyable, more active and more diverse. We will ensure that everyday life and purchasing at the workplace run smoothly and people feel well at work. We will bring more and more environmentally friendly and sustainable products and domestic products to our customers. It is great that our customers value the meanings of products and services and the effect they have on the environment. Products do not just solve practical problems, they have an impact. For example, this shows in the sales of our third-best selling workplace product, coffee. People value and buy fair trade coffee more and more. Our choices matter, and with Wulff’s products, you can have a positive impact on the world.”


In January-March 2018 net sales totalled EUR 14.3 million (15.3). Net sales decreased by 7.0% (-1.0) in January-March. The decline in net sales was impacted by the seasonality of the fair business. The first quarter of the year has many fair events that are only arranged every other year, in 2018 there are less trade shows.

Due to the IFRS 15 standard adoption, fair projects of partial revenue recognition from the last quarter 2017 are presented in the net sales for the first quarter 2018 on the date of the fairs amounting to EUR 0.1 million, and -0.1 million in purchase transactions.

In January-March 2018 the gross margin amounted to EUR 4.9 million (5.2) being 34.7% (34.0). The gross margin percent increased due to additional sales in fair projects.  

In January-March 2018 employee benefit expenses amounted to EUR 3.0 million (3.2), and were at the same level as during the reference period when compared to net sales, 21.1% (21.1). Other operating expenses amounted to EUR 1.6 million (1.8) in January-March 2018 being 11.2% (11.6) of net sales. Due to the IFRS 9 Financial Instruments standard, the first quarter included an increase of credit loss provision of -0.0 million. The implemented cost-saving measures had a positive effect on the operating profit.

In January-March 2018 EBITDA and the comparable EBITDA amounted to EUR 0.4 million (0.2), 2.6% (1.6) of net sales. The operating profit (EBIT) and the comparable operating profit (EBIT) amounted to EUR 0.3 million (0.1), 1.9% (0.9) of net sales. The first quarters of 2018 and 2017 did not include items affecting comparability.

In January-March 2018 the financial income and expenses totalled (net) EUR -0.1 million (-0.1) including interest expenses of EUR -0.0 million (-0.0) and mainly currency-related other financial items and bank expenses (net) EUR -0.1 million (-0.0).

In January-March 2018 the result before taxes was EUR 0.1 million (0.1), and the operating result EUR 0.1 million (0.1). Earnings per share and comparable earnings-per-share (EPS) were EUR 0.02 (0.01) in January-March 2018.


EUR 1000  2018 2017 2017
Net sales  14 256 15 332 56 931
Change in net sales, % -7.0% -1.0%  -4.0%
EBITDA* 367 239  461
EBITDA margin, %*  2.6% 1.6%  0.8%
Operating profit/loss*  264 141  74
Operating profit/loss   margin, %*  1.9% 0.9%  0.1%
Profit/Loss before taxes  147 85  -247
Profit/Loss before taxes   margin, %  1.0% 0.6%  -0.4%
Net profit/loss for the   period attributable to equity holders of the parent company 132 50  -193
Net profit/loss for the   period, %  0.9% 0.3%  -0.3%
Earnings per share, EUR   (diluted = non-diluted) 0.02 0.01  -0.03
Return on equity (ROE), % 1.2% 0.5%  -2.0%
Return on investment   (ROI), % 1.2% 0.7%  -1.1%
Equity-to-assets ratio at   the end of period, % 46.6% 48.6%  47.0%
Debt-to-equity ratio at   the end of period  29.5% 24.8%  19.8%
Equity per share at the   end of period, EUR ** 1.64 1.79  1.64
Investments in non-current   assets  193 215 429
Investments in non-current   assets, % of net sales  1.4% 1.7%  0.8%
Treasury shares held by   the Group at the end of period  79 000 79 000  79 000
Treasury shares, % of   total share capital and votes  1.2% 1.2%  1.2%
Number of total issued   shares at the end of period  6 607   628 6 607 628  6 607   628
Personnel on average   during the period 194 203 198
Personnel at the end of   period  192 195 195

*The presentation of the Consolidated Statement of Income has been changed in the first quarter of 2018 in such a way that bank charges have been classified as financial expenses instead of other operating expenses. The reference period has been adjusted to correspond to the new reporting convention: EUR 0.0 million has been moved from other operating expenses to financial expenses for Q1/2017 which affects EBITDA and operating profit. EUR 0.1 million has been moved from other operating expenses to financial expenses for 2017, which affects the EBITDA margin by +0.2% and operating profit/loss margin by +0.1%.

** Equity attributable to the equity holders of the parent company / Number of shares excluding the acquired own shares.


The demand for office supplies is strongly affected by the general economic development and the industry’s tight competition. Business operations are also affected by normal business risks such as the success of the Group’s strategy and operative risks stemming from the personnel, logistics and IT environments. Approximately half of the Group’s net sales come from other than euro-currency countries. Fluctuation of the currencies affects the Group’s net result and balance sheet.


Part of the Group’s loan agreements have covenants concerning the equity-to-assets ratio and the interest-bearing liabilities/operating margin. Covenants are reported yearly at the end of financial year. At the end of the financial year 31.12.2017, the interest-bearing liabilities/operating margin covenant was breached due to the negative result. The Group’s management negotiated with the financier at the end of 2017 and due to the breach of covenant the financier collected a one-off compensation after the 1.1.-31.3.2018 reporting period. The Group has not had any other significant subsequent events.


Wulff is the most significant Nordic player in its field. Wulff creates workplaces and its mission is to help corporate customers to succeed in their own business by providing them with leading-edge products and services in a way best suitable to them. Wulff is prepared to carry out new strategic acquisitions and as a listed company, Wulff is in a good position to be a more active player than its competitors.

The developing economic situation will enable Wulff’s business to develop positively. Wulff’s aim is to further improve the profitability of its operations and estimates that the comparable operating profit 2018 will grow. In the industry, it is typical that the result and cash flow are generated in the last quarter.


Wulff Group Plc will release the following financial reports in 2018:

Interim Report, January-June 2018 Thursday August 2, 2018
Interim Report, January-September 2018 Thursday November 1, 2018

In Vantaa on May 3, 2018


Further information:
CEO Heikki Vienola
tel. +358 300 870 414 or +358 50 65 110
e-mail: heikki.vienola@wulff.fi

NASDAQ OMX Helsinki Oy
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A better world – one workplace at a time. Wulff’s goal is a perfect workday! We enable better working environments and create workplaces, wherever you are. We offer the industry’s most comprehensive product and service range that can help you create an office wherever you want it. More comfortable, healthier, safer, more enjoyable, more active and more diverse? How do you want to better you workday and working environment? Wulff has the solution. We offer our customers office supplies, facility management products, catering solutions, IT supplies, ergonomics, first aid, air purifiers, and innovative products for worksites. Customers can also acquire international exhibition services from Wulff. In addition to Finland, Wulff operates in Sweden, Norway, and Denmark. Check out our products and services at wulff.fi.

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