Teate vaade
Ettevõte Tallinna Kaubamaja Grupp AS
Tüüp Korraldatud teave
Kategooria Juhtkonna vaheteadaanne või kvartaalne finantsaruanne
Avaldamise aeg 11 apr 2019 16:30:00 +0300
Manused
TallinnaKa-10001774171-en.pdf
TallinnaKa-10001774173-et.pdf
Keeleversioonid
Keel English
Valuuta
Pealkiri Unaudited consolidated interim accounts for the first quarter of 2019
Tekst
Segments (EURm)           Q1/19   Q1/18    yoy
---------------------------------------------------
  Supermarkets              110.9   104.7    5.9%

  Department stores          23.1    22.8    1.4%

  Cars                       26.4    27.6   -4.5%

  Footwear                    1.9     2.2   -13.8%

  Real Estate                 1.4     1.3    7.3%
---------------------------------------------------
  Total sales               163.7   158.6    3.2%
---------------------------------------------------


  Supermarkets                2.4     3.1   -24.6%

  Department stores          -0.5    -0.4    2.7%

  Cars                        0.6     0.9   -34.7%

  Footwear                   -0.5    -0.3   43.5%

  Real Estate                 2.6     2.9   -7.8%

  IFRS 16                    -0.4     0.0
---------------------------------------------------
  Total profit before tax     4.3     6.1   -29.9%
---------------------------------------------------

In  the first quarter  of 2019, the unaudited  consolidated sales revenue of the
Tallinna  Kaubamaja Group was 163.7 million  euros. The growth was 3.2% compared
to  the  first  quarter  of  2018, when  the comparable sales revenue was 158.6
million  euros.  The  net  loss  of  the reporting period was 2.2 million euros,
influenced  by the income  tax calculated on  dividends (6.5 million euros). The
loss  in the first quarter of  2018 was 0.2 million euros, including 6.2 million
euros  of income  tax. The  pre-tax profit  was 4.3 million  euros - 1.8 million
euros lower than the result of the previous year, of which 0.4 million euros was
due  to the negative  impact on the  pre-tax profit caused  by the difference of
estimated  interest  and  depreciation  calculated  in  accordance  with the new
financial  reporting  standard  IFRS  16, which  entered into force on 1 January
2019.

The  year 2019 began with the  continued growth of sales  revenue for the Group.
The  supermarkets segment achieved an  accelerated sales revenue growth compared
to  their market segment.  The sales revenue  generated by the department stores
segment  also  increased.  The  car  trade  segment was influenced by the market
situation,  leading to  a halt  in the  growth of  the car  market in  the first
quarter,  and  a  drop  in  the  sales  of  new  cars. In the car trade segment,
correction  of revenue  occurred due  to a  change on  the market,  but also the
strong  base year, i.e. the level of revenue generated by public procurement won
by  the Latvian  automobile dealer  in 2018 could  not be  repeated in  the same
volume  at the  beginning of  this year.  Overall, the  sales revenue of the car
trade  segment  in  the  first  quarter  was  4.5% lower than the previous year.
Although the gross margin was maintained at good level in the first quarter, the
pre-tax  profit was expected to  remain below the year  before due to the launch
period of the sales units opened at the end of 2018. In addition, the comparison
basis  of the  profit was  increased by  the extraordinary income of 0.4 million
euros  from the sale of Latvian real estate, included in the result of the first
quarter  of  2018. Labour  costs  grew  by  9.2% in the first quarter. The costs
increased  because  of  the  additional  Selver  store  along with the growth of
average wage.

From  1 January 2019, the  Group applies  the new  mandatory financial reporting
standard  IFRS 16 (Leases) in  lease cost accounting.  Pursuant to the standard,
leased assets and liabilities are recognised in the balance sheet at the present
value  of lease payments and the depreciation on the leased assets and estimated
interest  costs on lease liabilities in the income statement. As of 31.03.2019,
the  assets leased  in accordance  with IFRS  16 were recognised  in the balance
sheet  of  the  Group  in  the  net  present value of lease payments of 105,177
thousand euros. The impact of IFRS 16 on the income statement is as follows:

-------------------------------------------------------------------
  in thousands of euros                              3 months 2019
-------------------------------------------------------------------
  Decrease in other operating expenses                       4,235

  Increase in depreciation                                  -4,105
-------------------------------------------------------------------
  Increase in operating profit                                 130
-------------------------------------------------------------------
  Calculated interest expense on lease liabilities            -503
-------------------------------------------------------------------
  Decrease in the net profit                                  -373
-------------------------------------------------------------------

There  were no significant sales area additions in the first quarter of 2019. In
the footwear segment, business interruptions occurred due to renovation works at
ABC  King and  SHU stores  of the  Rocca al  Mare Centre.  Renovation works were
carried  out in the SHU store at Ülemiste  Centre and the SHU store in Kristiine
Centre  was  reopened.  Designing  of  the  extension  of the Kulinaaria central
kitchen  plant and the development works of  the new car showrooms in Latvia and
Lithuania are ongoing.

Selver supermarkets

The  consolidated sales revenue of the  supermarkets business segment was 110.9
million  euros in  the first  quarter of  2019, increasing by 5.9% in comparison
with  the  same  period  last  year.  9.4 million  purchases were made at Selver
supermarkets  in the  first quarter  of 2019, showing  a growth of 4.1% year-on-
year.  In  the  first  quarter  of  2019, the consolidated pre-tax profit of the
supermarkets  segment  was  2.4 million  euros,  being  0.8 million  euros lower
compared  to the result  of the previous  year, influenced by  the launch of new
sales  units  opened  at  the  end  of  2018. The  consolidated  net loss of the
supermarkets  segment  was  1.6 million  euros,  being  0.7 million  euros lower
compared to the same period in the previous year. The difference between the net
profit  and profit before income tax compared  to year earlier results is partly
due  to income  tax paid  on dividends  - income  tax paid on dividends was 0.1
million euros lower in 2019 compared to the year earlier. The lower tax load due
to  dividends is caused by  the changes in the  taxation principles of dividends
that  allows  applying  a  lower  tax  rate  on one third of the previous year's
dividends.  The entire profit of 2019 was earned in Estonia. In 2018, SIA Selver
Latvia was liquidated and the company was deleted from the commercial register.

The growth of sales revenue in Selver continued in the first quarter at a higher
pace  than the average of the market  segment on account of new stores. Although
competition is tight, sales revenue has also grown in the comparable stores. The
comparison  basis of the first quarter is lower by two stores that were added in
the  second half of 2018 and  higher by one store  that was closed in April last
year. The basis is higher also because of Easter, which was in the first quarter
last  year. E-commerce produced good results with the growth of sales revenue by
32%. The profit earned is influenced by the growth of sales revenue and the more
efficient inventory management. Investments have had a positive impact, allowing
cutting  management costs and employee working  hours. The employees' wages were
adjusted, which resulted in a slight decrease in labour cost efficiency.

This  year,  Selver  plans  to  renovate  at  least two stores and introduce the
SelveEkspress  service to all Selver stores. As  at the end of the first quarter
of  2019, the SelveEkspress service is  available at 49 stores and approximately
300,000 loyal customers have used the service. We continue the development of e-
commerce  to improve  our ability  to service  the growing numbers of customers.
There  is a plan to open the first e-Selver food locker, which is an alternative
delivery method of goods that customers have ordered through e-Selver.

Department stores

In the first three months of 2019, the department stores business segment earned
a  sales revenue of 23.1 million euros, which is 1.4% more than last year in the
same period. The pre-tax loss of department stores in the first quarter of 2019
was  0.5 million euros, which was lower  by 2.7% in the year-on-year comparison.
The sales results of department stores were influenced by the well-managed image
campaigns  in February  and successful  launch of  the spring  season in fashion
departments.  In the first quarter  of 2019, the sales revenue  of OÜ TKM Beauty
Eesti,  which operates I.L.U. cosmetics stores, was 1.1 million euros, showing a
growth  of  3.2% compared  to  the  same  period  in 2018. The loss in the first
quarter  was  0.1 million  euros,  which  was  16.6% lower  than the loss in the
comparable  period in 2018. In the first quarter, the focus was on improving the
e-store  at  www.ilu.ee  and  enhancing  customer  experience  and  changing the
assortment.  The growth of sales revenue  has been achieved thanks to successful
marketing campaigns and continued strong results produced by the e-store.

Car trade

The  sales revenue of the car trade  segment was 26.4 million euros in the first
quarter  of 2019. The sales revenue  decreased by 4.5% year-on-year, wherein the
sales  revenue generated  by the  sales of  KIAs dropped  by 11.6%. In the first
three  months of  the year,  1,143 new vehicles  were sold altogether. The sales
revenue generated by the car trade segment in the first quarter of 2018 included
revenue from public procurements that the Latvian company had won, which was not
achieved  in the reporting period. In the  first quarter of 2019, the car market
decreased  in all  Baltic States;  according to  the data of Statistics Estonia,
7.2% fewer new passenger cars were registered in Estonia in the first two months
of  2019. The pre-tax profit of  the segment was 0.6 million  euros in the first
quarter  of 2019, which is 0.3 million euros lower  than in the same period last
year.  In addition to the decreased sales revenue, one of the reasons behind the
weaker  profitability results in  the first quarter  of 2019 could be the slower
launch  of the Peugeot business  of the Estonian retail  unit of the Group's car
trade  segment.  The  result  of  the  car  trade  was  also  influenced  by the
manufacturers'  problems  with  the  production  of certain models, which caused
delays in the availability of cars and their delivery to customers.

Footwear trade

The  sales revenue of  the footwear trade  segment was 1.9 million  euros in the
first  quarter of 2019, decreasing by 13.8% on  the year-on-year basis. The loss
of  the first  quarter increased  by 0.2 million  euros compared to the previous
year,  remaining at 0.5 million euros. In  the first quarter of 2019, there were
business interruptions due to renovation works at Rocca al Mare ABC King and SHU
stores,  the SHU  store at  Kristiine Centre  was reopened, and renovation works
were  carried out at the SHU store in Ülemiste Centre. In order to reduce costs,
the  central warehouse and office were moved in the first quarter. In accordance
with  the strategic  decision of  the Group,  the managements  of the beauty and
footwear   trade  segments  were  merged  to  achieve  synergy  between  support
functions.  Anne-Liis Ostov,  the manager  of TKM  Beauty OÜ,  continues also as
member of the management board of the companies.

Real estate

The  sales revenue earned in the real  estate segment outside the Group was 1.4
million  euros in  the first  quarter of  2019. The sales  revenue grew by 7.3%
compared  to last  year. The  pre-tax profit  of the  real estate segment in the
first quarter of 2019 was 2.6 million euros, which is 7.8% lower than the result
earned  in the same period last year. The  sales revenue grew in all real estate
segment  companies in  the reporting  quarter. The  driver of  the sales revenue
growth  was the Latvian real  estate company, where the  commercial space at the
Ogre building was leased to a party outside of the Group. Tartu Kaubamaja Centre
showed  good results and  contributed remarkably to  the company's sales growth.
The  decrease of the profit of the segment was caused by the sales profit earned
from  the sales of real estate sold in Latvia in the first quarter of last year.
This  year,  the  development  of  the  Latvian  and Lithuanian car centres will
continue.

CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION

In thousands of euros

-------------------------------------------------------------------------
                                                 31.03.2019   31.12.2018
-------------------------------------------------------------------------
  ASSETS
-------------------------------------------------------------------------
  Current assets

  Cash and cash equivalents                          41,831       37,235

  Trade and other receivables                        13,732       16,093

  Inventories                                        73,696       78,212
-------------------------------------------------------------------------
  Total current assets                              129,259       131,54
-------------------------------------------------------------------------
  Non-current assets

  Long-term receivables and prepayments                 113          113

  Investments in associates                           1,794        1,738

  Investment property                                59,873       59,866

  Property, plant and equipment                     317,821      212,687

  Intangible assets                                   4,957        5,133
-------------------------------------------------------------------------
  Total non-current assets                          384,558      279,537
-------------------------------------------------------------------------
  TOTAL ASSETS                                      513,817      411,077
-------------------------------------------------------------------------

-------------------------------------------------------------------------
  LIABILITIES AND EQUITY
-------------------------------------------------------------------------
  Current liabilities

  Borrowings                                         38,374       26,002

  Trade and other payables                          117,242       90,775
-------------------------------------------------------------------------
  Total current liabilities                         155,616      116,777
-------------------------------------------------------------------------
  Non-current liabilities

  Borrowings                                         163,32       68,313

  Provisions for other liabilities and charges          370          370
-------------------------------------------------------------------------
  Total non-current liabilities                      163,69       68,683
-------------------------------------------------------------------------
  TOTAL LIABILITIES                                 319,306       185,46
-------------------------------------------------------------------------
  Equity

  Share capital                                      16,292       16,292

  Statutory reserve capital                           2,603        2,603

  Revaluation reserve                                95,064       95,587

  Currency translation differences                     -149         -149

  Retained earnings                                  80,701      111,284
-------------------------------------------------------------------------
  TOTAL EQUITY                                      194,511      225,617
-------------------------------------------------------------------------
  TOTAL LIABILITIES AND EQUITY                      513,817      411,077
-------------------------------------------------------------------------

CONDENSED CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE
INCOME

In thousands of euros

-------------------------------------------------------------------------------
                                                    3 months 2019 3 months 2018
-------------------------------------------------------------------------------
 Revenue                                                  163,695       158,633

 Other operating income                                       240           713



 Cost of sales                                           -123,326      -119,773

 Other operating expenses                                 -10,552       -13,837

 Staff costs                                              -17,246       -15,788

 Depreciation, amortisation and impairment losses          -7,637        -3,437

 Other expenses                                              -251          -308
-------------------------------------------------------------------------------
 Operating profit                                           4,923         6,203
-------------------------------------------------------------------------------
 Finance income                                                 0             0

 Finance costs                                               -714          -170

 Finance income on shares of associates                        56            52
-------------------------------------------------------------------------------
 Profit before tax                                          4,265         6,085
-------------------------------------------------------------------------------
 Income tax expense                                        -6,453        -6,249
-------------------------------------------------------------------------------
 NET LOSS FOR THE FINANCIAL YEAR                           -2,188          -164
-------------------------------------------------------------------------------
 Other comprehensive income:

 Items that will not be subsequently reclassified
 to profit or loss
-------------------------------------------------------------------------------
 Other comprehensive income for the financial year              0             0
-------------------------------------------------------------------------------
 TOTAL COMPREHENSIVE LOSS FOR THE FINANCIAL YEAR           -2,188          -164
-------------------------------------------------------------------------------

Raul Puusepp

Chairman of the Board

Phone +372 731 5000

Attachment

  * Börs_Kaubamaja_1Q2019_eng (https://ml-
    eu.globenewswire.com/Resource/Download/95cce47b-1b48-4598-b504-a84c418bd69f)