The 2024/25 financial year featured increased activity in Poland and continued low demand in the Nordic region among professional painters. Overall, Flügger reported satisfactory growth in earnings.
The growth is partly attributable to a stronger gross margin due to stabilised costs, higher prices, and growth in the private consumer market. In addition, general optimisation and strong growth in Poland are contributing positively to profitability.
Revenue reached DKK 2,272 million compared to DKK 2,208 million the previous year – corresponding to a growth of 3%. Currency contributed 1%. Revenue was positively affected by higher sales prices, product mix, and stable volumes.
Earnings (EBIT) rose to DKK 94 million, corresponding to an increase of 38% compared with the previous year. This result landed at the upper end of the originally announced expectations for the year.
The increased earnings – combined with a generally lower investment need and stable working capital – resulted in cash flows after investment activities reaching a historic high of DKK 200 million (excluding outstanding receivables from previous divestments). In addition to a significant reduction in net debt, this has resulted in a proposal for a historically high dividend.
The 2024/25 financial year marks the first of The Flügger Organic strategy period. The plan was followed, which is also reflected in the results – although these include significant transitional costs.
For the upcoming financial year 2025/26, we expect revenue to be between DKK 2,200–2,400 million. This expectation is based on activity in the Nordic markets remaining unchanged or increasing slightly, while growth in international markets – especially in Poland – is expected to continue.
EBIT is expected to increase to between DKK 100 and 120 million. This is based on an assumption of a strengthened customer portfolio, the full-year effect of previous store openings, and business streamlining as part of the Flügger Organic strategy.
CEO of Flügger Group A/S, Sune Schnack, states:
– “We are already seeing significant effects of our strategy after just one year. Not only in the financial results, but also when we meet painters, who welcome our increased focus on the needs of professional customers – with the choices that this entails. On that basis, we are also pleased that we are increasingly succeeding in making our products, qualities and service relevant to private customers.
Things have gone particularly well in the Polish market. Here, we look forward to opening more stores in the coming year – with the expectation that it may become our largest market in the foreseeable future.”
Casper Paggio Hansson Felt
Communications Manager
+45 27 53 28 99
