Sweden's Kjell Group Q1 gross margin improves despite lower sales

Kjell AB (publ)

24/04/2026 06:15

Overview

Sweden electronics accessories retailer's Q1 sales fell 13% yr/yr due to low inventory availability

Gross margin for Q1 improved to 44.9% despite lower sales

Company completed SEK 60 mln directed share issue and entered SEK 500 mln credit facility

Outlook

Company says improved inventory availability has led to a positive sales trend continuing into April

Kjell Group aims to drive growth in Q4 with improved operational conditions

Company is focusing on profitability and turnaround efforts at Danish subsidiary AV-Cables

Result Drivers

LOW INVENTORY AVAILABILITY - Co said weak sales in January and February were due to low inventory following warehouse relocation

IMPROVED AVAILABILITY - Co said inventory availability improved in March, leading to a positive sales trend that continued into April

DANISH SUBSIDIARY TURNAROUND - Co said groundwork laid for turnaround at AV-Cables, including recruitment of new CEO

Company press release: ID:nMFN566gnc

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Sales
SEK 487.40 mln
Q1 Adjusted EPS
-SEK 0.50
Q1 Net Income
-SEK 34.90 mln
Q1 Gross Margin
44.90%
Q1 Adjusted EBITA
-SEK 13.30 mln
Q1 Adjusted EBITA Margin
-2.70%
Q1 Operating Profit
-SEK 24.70 mln


Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is no "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the computer & electronics retailers peer group is "buy."

Wall Street's median 12-month price target for Kjell Group AB (publ) is SEK9.30, about 16.2% below its April 23 closing price of SEK11.10

The stock recently traded at 24 times the next 12-month earnings vs. a P/E of 31 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)