Fiskars Corporation
Half-year financial report
July 17, 2025 at 8:30 a.m. (EEST)
Fiskars Corporation Half-year Financial Report for January-June 2025
Net sales and comparable EBIT declined in a challenging market environment characterized by tariff-driven uncertainty
This release is a summary of the Fiskars Corporation's Half-year Financial Report for January-June 2025 published today. The complete Half-year Financial Report with tables is attached to this release as a pdf-file. It is also available at https://fiskarsgroup.com/investors/reports-and-presentations/annual-and-interim-reports/ and on the company website at www.fiskarsgroup.com. Investors should not rely on summaries of financial reports only, but should review the complete reports with tables.
April-June 2025 in brief:
- Comparable net sales1 decreased by 6.8% to EUR 258.3 million (Q2 2024: 277.3). Reported net sales decreased by 8.1% to EUR 258.3 million (281.0).
- Comparable EBIT2 decreased to EUR 3.0 million (19.2), or 1.2% (6.8%) of net sales. EBIT increased to EUR 5.2 million (0.3).
- Cash flow from operating activities before financial items and taxes decreased to EUR 30.2 million (64.5).
- Free cash flow decreased to EUR 12.4 million (49.3).
- Comparable earnings per share were EUR -0.05 (0.10). Earnings per share (EPS) were EUR -0.03 (-0.08).
January-June 2025 in brief:
- Comparable net sales1 decreased by 2.5% to EUR 550.2 million (Q1-Q2 2024: 564.2). Reported net sales decreased by 2.4% to EUR 550.2 million (564.0).
- Comparable EBIT2 decreased to EUR 29.8 million (44.2), or 5.4% (7.8%) of net sales. EBIT decreased to EUR 0.7 million (6.7).
- Cash flow from operating activities before financial items and taxes decreased to EUR 28.0 million (59.0).
- Free cash flow decreased to EUR -4.9 million (29.2).
- Comparable earnings per share were EUR 0.10 (0.35). Earnings per share (EPS) were EUR -0.19 (-0.05).
- Comparable net sales exclude the impact of exchange rates, acquisitions and divestments.
- Items affecting comparability in EBIT include items such as restructuring costs, impairment or provisions charges and releases, acquisition-related costs, and gains and losses from the sale of businesses. Comparable EBIT is not adjusted to exclude the EBIT contribution of acquisitions/divestments/disposals.
Guidance for 2025 (updated on June 12, 2025)
Fiskars Corporation expects comparable EBIT to be in the range of EUR 90-110 million (2024: EUR 111.4 million).
Assumptions behind the guidance
The operating environment has become increasingly challenging following the U.S. tariff announcements in early April 2025. The indirect impacts of these tariffs, particularly on retailer demand and inventory behavior, have materialized more rapidly and negatively than previously anticipated, especially in the United States. The U.S. represents approximately 30% of Fiskars Group's net sales and approximately 50% of Business Area Fiskars' net sales, the majority of which is based on sourcing from Asia.
Fiskars Group expects that its actions can over time largely mitigate adverse direct impacts of tariffs related to increasing sourcing and logistics costs. However, the benefits of these mitigation efforts are expected to materialize with a delay as Fiskars Group has prioritized maintaining its market share and securing cash flow.
Market visibility remains exceptionally limited, and the situation continues to evolve.
Fiskars Group is also subject to fluctuations in the U.S. dollar. While a weakening U.S. dollar benefits the company in currency transactions due to its net-buy position, it has a negative impact through translation risk.
The Group's EBIT generation is tilted towards the end of the year, highlighting the importance of the second half and especially the fourth quarter. During this period, the development of consumer sentiment and Business Area Vita's volumes play a significant role.
Interim President and CEO, Fiskars Group, Jyri Luomakoski:
"The market environment in the second quarter was challenging and marked by tariff-driven uncertainty. The quarter's comparable net sales decreased by 7%, and comparable EBIT declined markedly to EUR 3 million. This implies that we will not reach our long-term comparable net sales growth and comparable EBIT margin financial targets set in 2021 for the strategy period ending in 2025, as our focused efforts have been largely negated by external market pressures. In this highly tactical operating environment, we are focusing on actions that safeguard our market share and cash flow.
In June, we revised our guidance for 2025, now expecting comparable EBIT for the year to be in the range of EUR 90-110 million. As outlined in the profit warning, Fiskars Group has faced a rapid decline in U.S. retailer demand due to indirect impacts from tariffs. This sharp drop emerged abruptly in May-June 2025. We expect that our actions will over time largely mitigate adverse direct impacts of tariffs related to increasing sourcing and logistics costs. However, these benefits are expected to materialize from the second half of 2025 onwards. This means there will be a timing mismatch between the negative effects of the tariffs and when benefits from mitigation measures begin to take effect.
The U.S. is a particularly important market for Business Area (BA) Fiskars, representing approximately 50% of the BA's net sales, the majority of which is based on sourcing from Asia. To safeguard long-term shelf-space with key retail partners in the U.S., BA Fiskars has carefully balanced short-term commercial gains with long-term market share. Our teams are working persistently to mitigate tariff impacts, and once the situation stabilizes, we will continue actions to rebase some of our sourcing to optimize our supply chain in the long term.
Business Area Fiskars' comparable net sales in the second quarter decreased by 11% due to distribution losses in the U.S., as well as declines in Europe. One highlight was the continued good growth in Germany, which was supported by distribution gains and successful campaigns. Business Area Fiskars' comparable EBIT decreased to EUR 14 million due to the decline in volumes, as well as the negative tariff impacts on comparable gross margin, which decreased by 150 bps to 39.1%. The decline was partially offset by prudent cost management.
Looking at Business Area Vita's financials, its comparable net sales in the second quarter declined by 3%. A key driver of this decline was the weak performance of the Waterford brand, especially in the U.S. This is further intensified by the nature of Waterford's crystal production, which operates with a process industry logic and is consequently challenging to scale down when volumes decline. BA Vita's comparable EBIT declined to EUR -8 million, and its comparable gross margin declined by 410 bps to 54.7%. Some bright spots of the quarter were Moomin Arabia's continued strong profitable growth as it celebrates Moomin's 80th anniversary, as well as the good performances of our Nordic brands such as Arabia and Rörstrand.
I am pleased that we now have the leadership structure in place for both Business Areas: Dr. Steffen Hahn started as CEO of Fiskars in October 2024, and now during the second quarter of 2025, Daniel Lalonde assumed the role of CEO of Vita. With Daniel's extensive experience and strategic insight, he is well positioned to capitalize on long-term growth opportunities for the Business Area. While the Business Areas already operate as independent subsidiaries with their own CEOs, our teams are working to finalize their separate legal entity structures. These are expected to be completed by the end of the first quarter of 2026, unlocking the possibility to offer further transparency into BA-specific financials.
Fiskars Group's strategy is built on four transformation levers - commercial excellence, Direct-to-Consumer (DTC), the U.S., and China. Looking at the first half of 2025, our comparable gross margin, which is our key performance indicator for commercial excellence, decreased by 150 bps to 47.2%. Comparable DTC sales grew by 5%, particularly thanks to good growth in the Group's retail network. Net sales in China increased by 4%, recovering especially during the second quarter. In the U.S., comparable net sales decreased by 4% in the first half of the year, as demand declined rapidly by 14% during the second quarter following a good start to the year.
Although the operating environment is currently highly dynamic, we continue to invest in demand creation to engage consumers. For instance, during the quarter, several of BA Vita's brands participated in key design events, including Georg Jensen at Milan Design Week, and Royal Copenhagen and Iittala at 3daysofdesign in Copenhagen. These platforms provide valuable opportunities for our brands to engage with design-oriented consumers and connect with key current and prospective customers. Meanwhile, BA Fiskars continued its focus on delivering its innovation pipeline, including expansions to adjacent categories, as well as making strategic media investments for targeted exposure.
While visibility in the market remains exceptionally limited, we remain agile in navigating ongoing challenges in the short term while reinforcing our foundation."
Group key figures
| EUR million (unless otherwise noted) | Q2 2025 | Q2 2024 | Change | Q1-Q2 2025 | Q1-Q2 2024 | Change | 2024 |
| Net sales | 258.3 | 281.0 | -8.1% | 550.2 | 564.0 | -2.4% | 1,157.1 |
| Comparable net sales1) | 258.3 | 277.3 | -6.8% | 550.2 | 564.2 | -2.5% | 1,139.7 |
| EBIT | 5.2 | 0.3 | 0.7 | 6.7 | -90.2% | 37.1 | |
| Items affecting comparability in EBIT2) | -2.2 | 18.9 | 29.1 | 37.6 | -22.5% | 74.3 | |
| Comparable EBIT3) | 3.0 | 19.2 | -84.4% | 29.8 | 44.2 | -32.7% | 111.4 |
| Comparable EBIT margin | 1.2% | 6.8% | 5.4% | 7.8% | 9.6% | ||
| EBITDA | 24.4 | 21.5 | 13.8% | 38.7 | 47.9 | -19.2% | 119.6 |
| Comparable EBITDA4) | 22.2 | 40.5 | -45.3% | 67.8 | 85.5 | -20.6% | 193.5 |
| Profit before taxes | -3.0 | -7.7 | -60.5% | -19.1 | -4.1 | 18.5 | |
| Profit for the period | -2.2 | -6.0 | -64.0% | -15.2 | -3.6 | 27.3 | |
| Earnings per share, EUR | -0.03 | -0.08 | -64.7% | -0.19 | -0.05 | 0.33 | |
| Comparable earnings per share, EUR | -0.05 | 0.10 | 0.10 | 0.35 | -72.8% | 1.07 | |
| Cash earnings per share (CEPS), EUR | 0.29 | 0.69 | -57.6% | 0.17 | 0.52 | -66.9% | 1.39 |
| Equity per share, EUR | 8.51 | 9.32 | -8.7% | 9.80 | |||
| Cash flow from operating activities before financial items and taxes | 30.2 | 64.5 | -53.2% | 28.0 | 59.0 | -52.5% | 145.4 |
| Free cash flow | 12.4 | 49.3 | -74.8% | -4.9 | 29.2 | 81.7 | |
| Free cash flow/comparable net profit (LTM), % | 67.6% | 235.1% | 94.8% | ||||
| Net debt | 556.3 | 477.5 | 16.5% | 493.9 | |||
| Net debt/comparable EBITDA (LTM), ratio | 3.16 | 2.70 | 17.4% | 2.55 | |||
| Equity ratio, % | 41% | 45% | 47% | ||||
| Net gearing, % | 80% | 63% | 62% | ||||
| Capital expenditure | 15.4 | 13.0 | 18.1% | 24.1 | 23.8 | 1.1% | 52.5 |
| Personnel (FTE), average | 6,139 | 6,525 | -5.9% | 6,167 | 6,530 | -5.6% | 6,446 |
- Comparable net sales exclude the impact of exchange rates, acquisitions and divestments.
- In Q2 2025, items affecting comparability were mainly related to the sale of the U.S. Watering business. The sale was completed on February 1, 2022.
- EBIT excluding items affecting comparability. Comparable EBIT is not adjusted to exclude the EBIT contribution of acquisitions/divestments/disposals.
- EBITDA excluding items affecting comparability. Comparable EBITDA is not adjusted to exclude the EBIT contribution of acquisitions/divestments/disposals.
In addition to the financial performance indicators defined by IFRS, Fiskars Group publishes certain Alternative Performance Measures to better reflect the operational business performance and to facilitate comparisons between financial periods. Calculation of these can be found on Fiskars Group's website, in the Investors section (Investors-> Financials-> Calculation of financial indicators).
FISKARS CORPORATION
Jyri Luomakoski
Interim President and CEO
Webcast
A results webcast will be held on July 17, 2025 at 11.00 a.m. (EEST). It will be held in English and can be followed at https://fiskars.events.inderes.com/q2-2025.
Management presentation is followed by a Q&A session. Questions can be placed through the webcast chat function or by phone. To ask questions by phone, the participant is required to register at https://palvelu.flik.fi/teleconference/?id=50051614. After the registration you will receive the phone number and conference ID to access the conference. If you wish to ask a question, please press *5 on your telephone keypad to enter the queue.
Presentation materials will be available at www.fiskarsgroup.com.
An on-demand version of the webcast will be available on the Group's website. Personal details gathered during the event will not be used for any other purpose.
Further information:
Noora Huttula, Investor Relations Manager, tel. +358 40 528 0806
Fiskars Group in brief
Fiskars Group (FSKRS, Nasdaq Helsinki) is the global home of design-driven brands for indoor and outdoor living. Since 1649, we have designed products of timeless, purposeful, and functional beauty, while driving innovation and sustainable growth. In 2024, Fiskars Group's global net sales were EUR 1.2 billion and we had close to 7,000 employees. We have two Business Areas (BA), Vita and Fiskars.
BA Vita offers premium and luxury products for the tableware, drinkware, jewelry and interior categories. Its well-known brands include Georg Jensen, Royal Copenhagen, Wedgwood, Moomin Arabia, Iittala and Waterford. In 2024, BA Vita's reported net sales were EUR 605 million. Already 50% of BA Vita's net sales comes from direct-to-consumer sales, comprising approximately 500 stores and approximately 60 e-commerce sites.
BA Fiskars consists of the gardening and outdoor categories, in addition to the scissors and creating, as well as cooking categories. The brands include Fiskars and Gerber. In 2024, BA Fiskars' net sales were EUR 547 million.
Read more: fiskarsgroup.com
