Net sales for the quarter amounted to SEK 875 million, which corresponds to a decrease of 4.8 percent compared to the previous year. According to the company, the decline reflects a conscious commercial discipline in a market characterized by high price competition. This strategy has contributed to strengthening the gross margin to 44.1 percent, up from 43 percent during the corresponding period in 2025.
Operating profit (EBIT) amounted to SEK 4 million. Adjusted for one-time costs of SEK 22 million related to the savings program, EBIT amounted to SEK 25 million, compared to SEK 28 million in Q1 2025.
Savings Program and Completed Investments
The cost savings program launched at the turn of the year is said to be on track and is expected to generate annual savings of approximately SEK 100 million. The program includes, among other things, stricter requirements for marketing return on investment and clearer guidelines for discount levels.
Within logistics, the new automated warehouse has now been fully handed over to the line organization. The company currently sees no further major investment projects ahead and has begun amortizing its loans to gradually reduce its debt.
Own Brands Grow
The focus on own brands continues to show growth. Sales within the segment increased by 14 percent to SEK 75 million, which now accounts for 8.5 percent of total net sales. In January, the makeup brand Gleeze was launched, which is the group's nineteenth own brand. The largest own brand, Waterclouds, is now the company's third largest brand overall.
Changes in Management and Board
In connection with the reporting period, changes in corporate governance have also been presented. As Ehandel.se previously reported, the nomination committee proposes that CEO Rickard Lyko leave the board ahead of the annual general meeting on May 19 to adapt the company to the Swedish Corporate Governance Code. David von Laskowski, CEO of Greenfood Group, is proposed as a new board member.
Rickard Lyko remains Chief Executive Officer and comments on the quarter's direction in the report:
I said we would simplify, optimize and deliver, and that's exactly what we're doing. The work is far from over, but the direction is clear: to continue with profitable growth.