Year-end Report for Duni AB (publ) January 1 - December 31 2019

MALMÖ, Sweden, Feb. 7, 2020 /PRNewswire/ -- Historically strong operating income

October 1 - December 31

• Net sales amounted to SEK 1,558 m (1,460), corresponding to a 6.7% increase in sales. Adjusted for exchange rate movements, net sales increased by 3.4%.
• A non-recurring cost in the form of goodwill impairment for Duni Song Seng and Sharp Serviettes was incurred in the quarter totaling SEK 58 m.
• Earnings per share after dilution amounted to SEK 1.52 (1.21). Adjusted for goodwill impairment, earnings per share after dilution amounted to SEK 2.77 (1.21).
• Duni acquired Horizons Supply Pty in Australia and was consolidated in New Markets as of October 1, 2019.

January 1 - December 31

• Net sales amounted to SEK 5,547 m (4,927), corresponding to a 12.6% increase in sales. Adjusted for exchange rate movements, net sales increased by 9.3%.
• Earnings per share after dilution amounted to SEK 5.73 (5.22). Adjusted for goodwill impairment, earnings per share after dilution amounted to SEK 6.97 (5.22).
• Operating cash flow was very strong during the year, amounting to SEK 665 m (343).
• The Board of Directors proposes a dividend of SEK 5.00 (5.00) per share to be divided into two partial payments.

Events Since December 31

• Duni Group announced in a press release on January 16, 2020 that trade union negotiations will be initiated to change the sales and marketing organization and focus on two global brands; Duni and BioPak. This results in changes to the management team and changed segment reporting as of January 1, 2020. The current four business areas will instead become two segments aligned with the Duni and BioPak brands.
• The change results in restructuring costs estimated at approximately SEK 40 m and the majority of these are estimated to be charged to the first quarter of 2020. The program is expected to cut annual expenses by approximately SEK 20 m.

 

KEY FINANCIALS
SEK m	3 months  Oct-Dec 2019	3 months  Oct-Dec  2018	12 months  Jan-Dec  2019	12 months