Verkkokauppa.com: Profit warning: Weak consumer confidence and high inflation undermines outlook for the second half of the year – Company lowers its financial guidance for 2022

Verkkokauppa.com         INSIDE INFORMATION                13 July 2022 at 8:00pm EEST

Verkkokauppa.com: Profit warning: Weak consumer confidence and high inflation undermines outlook for the second half of the year – Company lowers its financial guidance for 2022

Verkkokauppa.com's business environment has continued to be challenging. Consumer confidence is at an all-time low and inflation continues to grow. This has undermined consumers’ purchasing power and dampened discretionary demand. In light of this development in the operating environment, demand and costs, the company estimates that its revenue and operating profit will fall short of its previous estimates.

New guidance for 2022:

The company expects the revenue to be between EUR 530–570 million (in 2021: EUR 574.5 million) and adjusted operating profit (adjusted EBIT) to be between EUR 8–14 million (in 2021: EUR 20.4 million) in 2022.

The financial guidance includes the acquisition of e-ville.com. The impact of the acquired e-ville.com operations on Verkkokauppa.com are estimated to be of EUR 5-8 million on Verkkokauppa.com’s revenue in 2022. The acquired business was consolidated into Verkkokauppa.com’s figures from the beginning of the second quarter of 2022.

Previous guidance for 2022, published on 23 March 2022:

The company expects the revenue to be between EUR 530–590 million (in 2021: EUR 574.5 million) and comparable operating profit (comparable EBIT) to be between EUR 12–19 million (in 2021: EUR 20.4 million) in 2022.

Verkkokauppa.com will publish its Half-year 2022 Financial report on 14 July 2022 around at 8.00 EEST.

More information:

Panu Porkka, CEO

Verkkokauppa.com Oyj

Marja Mäkinen, Head of Investor Relations and Corporate Communications

Verkkokauppa.com Oyj



Tel. 9

Distribution:

Nasdaq Helsinki

Main media

Verkkokauppa.com empowers its customers to follow their passion by providing a wide product assortment of around 80,000 products. Verkkokauppa.com Oyj serves its retail and corporate customers through its webstore, megastores, 24h kiosk and network of collection points as well as fast deliveries and various services. As Finland’s most popular and most visited domestic online retailer, its deliveries cover around 75 percent of the Finnish population within the next day. The Company has four megastores: in Oulu, Pirkkala, Raisio, and Helsinki, where its headquarters is also located. Verkkokauppa.com employs more than 750 people and its shares are listed on the Nasdaq Helsinki stock exchange with the ticker VERK.