Inside information, profit warning: Tokmanni updates its financial outlook for 2023 following the completion of the acquisition of Dollarstore

Tokmanni Group Corporation        Inside information        1 August 2023 at 1:30 pm

Tokmanni has today closed the acquisition of one of the leading Swedish discount retail chains Ahlberg-Dollarstore AB and Ahlberg Dollarstore ApS. Tokmanni acquired 100 per cent of the shares in Storsjöbygdens Kapitalförvaltning AB, the holding company of Ahlberg-Dollarstore AB and Ahlberg Dollarstore ApS (together Dollarstore). The final purchase price was SEK 2.028 billion, or EUR 172.8 million according to the actual exchange rate.

Following the closing of the acquisition Tokmanni updates it financial outlook for 2023.

New outlook for 2023 including the acquisition of Dollarstore

In 2023, Tokmanni expects its revenue to be EUR 1,370-1,440 million. Comparable EBIT is expected to be EUR 90-110 million.

Approximate outlook assumptions for 2023

For the time being, Tokmanni and Dollarstore will continue to implement their current strategies and are opening new stores in accordance with their previous plans.

Dollarstore and Tokmanni will as a combined entity gain a strong position in the Nordic discount retail markets. Significant annual synergies have been identified by Tokmanni from the transaction. The identified synergy potential includes, but is not limited to, benefits of scale in sourcing and buying, as well as combined assortment. Expected value of identified net synergies, including additional running costs to support public company requirements and continued growth, amounts to over EUR 15 million annually, expected to be fully implemented within 30 months. One-time integration-related costs are excluded in the net synergy calculations.

Tokmanni disclosed a release about the acquisition of Dollarstore on 7 July 2023.

Previous outlook for 2023 (issued in the Financial Statement Bulletin on 10 February 2023)

In 2023, Tokmanni expects its revenue to be EUR 1,200–1,270 million. Comparable EBIT is expected to be EUR 85–100 million.

For further information, please contact

Tapio Arimo, CFO, tel. +358 20 728 7390, tapio.arimo(at)tokmanni.fi

Tokmanni in brief

Tokmanni is one of the leading variety discount retailers in the Nordics. Around 5,400 Tokmanni employees in Finland, Sweden and Denmark make customers’ everyday life and special occasions easier by offering a versatile and up-to-date assortment of Finnish and international brand-name products and other high-quality products at prices that are always affordable. With more than 360 Tokmanni, Dollarstore, Big Dollar, Miny, Click Shoes and Shoe House stores and online stores, Tokmanni is always close to its customers. In 2022, Tokmanni’s revenue was EUR 1,168 million and comparable EBIT amounted to EUR 86 million. Tokmanni's shares are listed on Nasdaq Helsinki.

Distribution

Nasdaq Helsinki
Key Media