In This Article:
TULIKIVI CORPORATION HALF YEAR FINANCIAL REPORT 16 AUG 2024 AT 1 PM
- The Tulikivi Group’s net sales were EUR 9.3 million (Q2/2023: EUR 13.3 million) in the second quarter and EUR 17.8 million (H1/2023: EUR 26.4 million) in the review period.
- The Tulikivi Group’s operating profit was EUR 0.8 (2.3) million in the second quarter and EUR 1.1 (3.6) million in the review period.
- The Tulikivi Group’s profit before taxes was EUR 0.6 (2.2) million in the second quarter and EUR 0.7 (3.3) million in the review period.
- The equity ratio at the end of the review period was 49.4 per cent (44.6).
- Order books stood at EUR 3.5 (13.9) million at the end of the review period.
- The conditions for the implementation of the talc project improved
- Future outlook: Net sales in 2024 are expected to be EUR 37 to 44 million and the comparable operating profit is expected to be EUR 3 to 5 million.
| Key financial ratios |
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| 1-6/24 | 1-6/23 | Change, % |
| 1-12/23 | 4-6/24 | 4-6/23 | Change, % |
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| Sales, MEUR | 17.8 | 26.4 | -32.5 % |
| 45.3 | 9.3 | 13.3 | -30.0 % |
| Operating profit/loss, MEUR | 1.1 | 3.6 | -69.8 % |
| 5.5 | 0.8 | 2.3 | -66.9 % |
| Operating profit/loss without impairment loss, MEUR | 1.1 | 3.6 | -69.8 % |
| 5.5 | 0.8 | 2.3 | -66.9 % |
| Profit before tax, MEUR | 0.7 | 3.3 | -78.9 % |
| 4.9 | 0.6 | 2.2 | -74.2 % |
| Total comprehensive income for the period, MEUR | 0.6 | 2.4 | -76.8 % |
| 3.7 | 0.4 | 1.6 | -73.7 % |
| Earnings per share, Euro | 0.01 | 0.04 |
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| 0.06 | 0.01 | 0.03 |
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| Net cash flow from operating activities, MEUR | 0.8 | 1.8 |
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| 4.9 | 1.0 | 2.5 |
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| Operating profit/loss without impairment loss, % | 6.1 | 13.7 |
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| 12.2 | 8.3 | 17.5 |
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| Equity ratio, % | 49.4 | 44.6 |
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| 47.8 |
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| Net indebtness ratio, % | 57.3 | 63.7 |
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| 58.4 |
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| Return on investments, % | 7.7 | 27.2 |
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| 20.8 |
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Comments by Heikki Vauhkonen, Managing Director:
Net sales for the first half of the year declined notably from the year before, when they were exceptionally high. Despite the decline in net sales, the relative profitability for the first half of the year remained at a satisfactory level. This profitability was made possible by the role of exports in sales, good cost control and successful profitability measures.
During the period under review, Tulikivi moved forward with its strategic projects. They are to grow the market share in the Central European fireplace market, to increase the net sales of the sauna business, and move the Suomussalmi talc project forward to the investment stage.
In Central Europe, the expansion of the distribution network for the new compact Jero collection continued. Consumers in Central Europe prefer products in the stove-size range, and the new Jero collection will enable Tulikivi to reach new customer groups. Tulikivi has around 350 distributors in export countries. The aim is to launch sales of the Jero collection in all sales offices and increase the total number of dealers by 50% by the end of 2026. During the review period, the Jero collection received product safety approval for the US market. Thanks to its advanced combustion technology, the collection was approved for consumer investment subsidies in Italy.