Finnish retailer Stockmann focuses on restructuring after tepid Q4 (updated)

Lindex Oyj

05/03/2021 06:55

* Q4 operating loss of 238 mln euros 
    * Court in February approved a restructuring plan 

 (Adds details on earnings, background and dividend plans)
    HELSINKI, March 5 (Reuters) - Finnish retailer Stockmann
 STCBV.HE  swung to an operating loss in the fourth quarter and
said on Friday that it would focus on notching targets of its
restructuring programme this year.
    The 159-year old retailer, which is now selling its
department store properties to pay off debt, said operating loss
came in 238.4 million euros ($285.0 million). The company
delivered a profit of 25.1 million euros in the year-ago period.
    The group owns the Stockmann department store chain in
Finland and the Baltics, and the women's fashion chain Lindex
whose main market is the Nordics. 
    When adjusted for a 250 million euro goodwill writedown
related to Lindex, the profit stood at 14.2 million euros,
compared with 30.7 million euros in the last quarter of 2019.
    Late entry into the online shopping market and weighed down
by heavy losses in Russia, which the retailer exited in 2018,
Stockmann has reported annual net losses since 2013. On Feb. 9,
the Finnish company won a court approval for an eight-year
restructuring plan.  urn:newsml:reuters.com:*:nL1N2KF14X
    The company did not announce a dividend for 2020. 
        
    ($1 = 0.8365 euros)

 (Reporting by Essi Lehto; Editing by Anna Ringstrom and Sherry
Jacob-Phillips)
 ((Essi.Lehto@thomsonreuters.com; +358505412375;))