Finland’s Lindex sees 3% revenue dip in Q1, maintains positive outlook

Finnish retailer Lindex Group has generated a revenue of €186 million (~$199.02 million) in the first quarter (Q1) of 2025 ended March 31. The revenue declined by 3 per cent year-over-year (YoY). The gross margin improved to 57.4 per cent and adjusted operating result decreased to €8.7 million.

The revenue of both divisions (Lindex and Stockmann) was negatively impacted by weakened consumer confidence and continued fashion market volatility, Lindex Group said in a release.

Lindex Group has reported a revenue of €186 million (~$199.02 million) in Q1 2025, down 3 per cent YoY, with a gross margin of 57.4 per cent.
Revenue declined in both Lindex and Stockmann divisions due to weak consumer confidence.
While Lindex faced supply delays, Stockmann improved efficiency.
The group expects 2025 revenue to grow by 0-4 per cent amid geopolitical challenges.

The Lindex division’s revenue was €126.3 million, a decline of 3.3 per cent YoY. The division’s adjusted operating result decreased to €0.3 million due to decrease in revenue and higher operating costs.

Meanwhile, Stockmann division’s revenue decreased by 3.9 per cent to €59.8 million mainly due to a decrease in fashion category sales. Its adjusted operating result improved to negative €7.3 million due to successful cost efficiency measures.

In Q1 2025, Stockmann division strengthened its assortment by entering new concession partnerships, introducing unique products, services, and experiences to complement its core offering. While Lindex faced temporary supply delays, efforts to enhance future product availability continue through the ramp-up of its new omnichannel distribution centre.

The operating result of the group decreased to €9.5 million and net result decreased to €20.2 million. Basic earnings per share (EPS) were negative €0.13, and diluted EPS were negative €0.12.

“During the first quarter, Lindex Group made good progress in executing the strategic initiatives to accelerate the future growth and value creation of the company. In the Lindex division, we continued the extensive ramp-up and transition phase of the new omnichannel distribution centre which enables us to execute our long-term growth plans and future-proof our logistics operations,” said Susanne Ehnbage, chief executive officer (CEO) at Lindex Group.

“In addition, the important digital transformation efforts of the Lindex division progressed well with ongoing enhancements of customer-facing touchpoints and enhanced internal capabilities. The number of active customers increased for both divisions, and the Lindex division continued to expand its international presence by, for example, launching a new Lindex Kids store in London,” added Ehnbage.

For full year 2025, Lindex Group expects its revenue to increase by 0−4 per cent. The group’s adjusted operating result is estimated to be €70−90 million (~$74.9-$96.3 million).

Foreign exchange rate fluctuations may have a significant effect on the adjusted operating result. The macroeconomic situation on group’s main markets is estimated to remain challenging, especially during the first half of the year. Continuing geopolitical uncertainty, together with the increased risks for global trade disturbances, may have a negative impact on the economic recovery, added the release.

Fibre2Fashion News Desk (SG)