Fenix Outdoor: first results after Globetrotter's incorporation
today May 4, 2016
In November 2014, the Fenix Outdoor International group made its European ambitions clear by creating Frilufts Retail Europe. The new conglomerate brought together three names from the sporting goods and great outdoors distribution sector, in Scandinavia and German-speaking countries: Globetrotter in Germany, Naturkompaniet in Sweden and Partioaitta in Finland.
Globetrotter's incorporation into the group led by Martin Nordin was finalised in June 2015, with the acquisition of a 100% interest in the company, founded in 1979 and operating 13 stores. The Fenix Outdoor International group has now published its 2015 results, and the first figures on this new retail heavyweight are available.
A first tale is told by the group's revenue, which grew from €237 million to €451 million. A 90% increase which the group must own up to, as it changes its identity profoundly. Until last year, Fenix Outdoor was a specialist in outdoor brands, generating nearly €172 million out of its €237 million sales with Fjällräven, Primus, Tierra, Hanwag and Brunton. The remainder was produced by retail brands Naturkompaniet in Sweden and Partioaitta in Finland, which was bought in 2011.
With Globetrotter, the group has taken a decisive turn towards retailing.
In 2015, the retail business generated €261 million, of which nearly €49 million in Sweden, €24 million in the other Scandinavian countries and over €188 million in Germany. The brand business was driven by Fjällräven, which has notably expanded in North America, opening stores in Chicago, Minneapolis and St. Paul. Last year the segment grew significantly, reaching a revenue of nearly €190 million.
On the profitability side, the brand business' EBIT grew from €38.6 million to €47 million. The retail business on the other hand recorded operational losses for €8 million. The challenge for the group is therefore to make its retail business profitable, a business which operates 60 stores in three countries.
To meet the challenge, Fenix Outdoor International will rely notably on harmonising operations among its three retail brands, as well as on the launch of a new e-commerce website for Globetrotter. The group currently claims the number 2 spot in European outdoor equipment distribution.
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