Statement by CEO – Karl Kristian Bergman Jensen
After reducing our marketing and innovation investments in the 3rd quarter, results has improved. We will continue this plan for the remaining part of the year. The Swedish Krona is weakening and it is relevant to look at our figures with this in mind. Revenue for the first nine months and Q3 separately decreased with 10 percent in local currencies. Gross margin decreased from 68,9 percent to 66,2 percent due to product mix displacements and sell-off of particular overstocked products in North America. During the first nine months of the year, personnel and other external costs are up three percent and sales revenue in SEK down by five percent. In Q3 the costs decreased three percent while revenue just decreased two percent. The 3rd quarter is an improvemen compared to the first two quarters of the year and the profit after tax for the year is now positive again. It is also positive that inventories are down four million SEK since the end of Q2 and 12 million since Q1. A great achievement in a time where sales are lower than planned. The cashflow has been negative in the quarter despite reduction in inventory and profitability as current receivables has increased. On the management side, I can inform that Mrs. Ditte Søndergaard Bihorac, who held the position as Chief Operating Officer since september 2021, choose to leave the company by the end of the quarter On the other hand, I am pleased that Mr. Tage Juhl Finninge has started as Chief Commercial and Operating Officer. The position is an extension of the company’s COO position and Tage will be responsible for daily operations, sales, and execution of our strategy.
Together with CFO, Ivan Ruscic and myself, Tage will form the Executive Management Team. Tage worked 25 years for E. Sæther and the last 11 years as CEO where he helped accomplish an impressive growth. Tage has a M. Sc. (Cand. Merc. IMM) from Copenhagen Business School and Ivey Business School, Canada. The market situation continues to be challenging. All employees have shown great willingness to adapt to necessary changes. I am very grateful. New Nordic is bursting with possibilities and the employees are ready for continued growth. As soon as consumer confidence grows and when our potential customers are again more willing to spend money on premium supplements, we are ready to take advantage. I am confident that we are facing a good development.
Karl Kristian Bergman Jensen, CEO
New Nordic Healthbrands AB
Södra Förstadsgatan 3 C
SE-211 43 Malmö
Share and shareholders
Find the 10 largest shareholders and follow the development of New Nordic share..
Reports and presentations
FInd latest interrim reports, annual reports and much more from New Nordic Investor