Marimekko, the renowned Finnish design company, has reported a positive financial performance for the fourth quarter of the fiscal year. Net sales grew by 5 percent to reach 50.6 million euros, primarily driven by the company's international sales and the favorable development of retail sales in Finland.
For the full year, Marimekko's net sales increased by 5 percent, totaling 174.1 million euros. Tiina Alahuhta-Kasko, Marimekko's president and CEO, expressed satisfaction with the company's growth, stating, 'Marimekko's net sales continued to grow, and our operating profit improved. International sales experienced significant growth, demonstrating the success of our efforts to expand profitably.'
Within Finland, net sales experienced a modest 2 percent growth, largely attributed to increased retail sales. Meanwhile, the company's international sales achieved impressive growth of 10 percent. This was driven by favorable wholesale sales in the Asia-Pacific region and North America, as well as a rise in licensing income.
Marimekko's operating profit for the fourth quarter amounted to 8.1 million euros, with a comparable operating profit of 8.3 million euros, accounting for 16.4 percent of net sales. In comparison, during the previous year, the company's operating profit reached 31.4 million euros, with a comparable operating profit of 32 million euros, equal to 18.4 percent of net sales.
Looking ahead to 2024, Marimekko expects its net sales to continue growing from the previous year's 174.1 million euros. The company estimates a comparable operating profit margin of approximately 16 to 19 percent, reflecting the ongoing focus on scalability and growth in international markets. However, Marimekko acknowledges certain challenges that could impact their outlook, including fluctuations in consumer confidence and purchasing power, global supply chain disruptions, and general inflation developments.
As part of their strategic plan for 2023-2027, Marimekko aims to expand its presence and accelerate growth, particularly in international markets. With their iconic designs and commitment to quality, the company is well-positioned to capture the attention of global consumers.
In recognition of their strong financial performance, Marimekko's board of directors plans to propose a dividend of 0.37 euros to the annual general meeting. This reflects the company's commitment to delivering value to its shareholders.
Overall, Marimekko's fourth-quarter results indicate a positive trajectory for the company. With its focus on international expansion and profitable growth, Marimekko is set to continue its success in the coming years, while navigating potential challenges in the market.
