Kjell Group, the parent company behind the electronics retail chain Kjell & Company, has left a challenging year behind it. Following a start to the year characterized by empty shelves and a second quarter where sales began to grow again, the interim report for the third quarter of 2026 shows that the turnaround is now impacting the bottom line.
During the quarter, net sales increased by 8.1 percent to SEK 639.0 million, up from SEK 590.9 million during the corresponding period last year. Adjusted EBITA profit more than doubled to SEK 40.0 million, compared to SEK 16.7 million the previous year, corresponding to an adjusted EBITA margin of 6.3 percent (2.8).
Operating profit (EBIT) turned to SEK 35.5 million, compared to -SEK 340.2 million in the third quarter of 2025, when the figures were weighed down by extensive write-downs. Profit after tax for the period amounted to SEK 28.8 million, against a loss of -SEK 344.5 million last year. According to the company, the result is the best and most profitable third quarter since 2023.
Where our work in the past year has largely focused on stabilizing, prioritizing and managing both planned and unplanned situations, the third quarter has rather been characterized by something that can best be described as a calm working environment, writes CEO Sandra Gadd in the report.
Platform lift in Denmark
Growth during the quarter is supported by all three Nordic markets where the group operates. In the main market of Sweden, sales increased by 5.1 percent to SEK 477.8 million. Sales were driven by increased e-commerce combined with a positive development in the physical store network, where improved product availability and campaign management had an impact.
In Norway, sales increased by 21.1 percent to SEK 122.6 million, which corresponds to a growth of 12.5 percent calculated in local currency.
At the same time, a turning point occurred in Denmark. After previously being pressured by a migration to a new e-commerce platform, the Danish business returned to positive growth for the first time since the third quarter of 2024. Sales in Denmark increased by 10.4 percent and landed at SEK 38.5 million.
Rebuilding the warehouse and changing business systems
In parallel with ongoing trade, Kjell Group is implementing several technical and logistical changes. In October, a rebuild of the packaging machine at the central warehouse in Staffanstorp will be completed, while the company is ramping up preparations for an upcoming change of business system (ERP).
Implementing infrastructure projects while daily trade is running requires a clear balancing act within the organization:
Sometimes I think of it as renovating a house while still living in it. Everyday life must work. Customers should receive the same service as always and sales should continue to develop. At the same time, we are rebuilding parts of the structure under our own feet, explains Sandra Gadd.
With the acute challenges behind it, management now shifts focus to the continued change work for the rest of the year and into the next phase:
I recently heard Dogge Doggelito say that he lives by the motto of having a small rearview mirror, a large windshield and the gas pedal to the floor. I think that describes our situation quite well. We have learned a lot from what lies behind us. But it is the road ahead that deserves the greatest part of our attention, concludes Sandra Gadd.