Verkkokauppa.com updates its strategy to accelerate profitable growth
Verkkokauppa.com Oyj STOCK EXCHANGE RELEASE 21 November 2023 at 8:30 EET
Verkkokauppa.com updates its strategy to accelerate profitable growth
Verkkokauppa.com continues as a forerunner in the market with the vision of creating the new normal for buying and owning. With the 2024-2028 strategy, the company aims for faster than the market, annual revenue growth (CAGR) of over 5 percent, an annual operating profit margin of over 5 percent and to reduce fixed costs to less than 10 percent of revenue by the end of 2028. The company's target is to pay out 60-80 percent of annual net profit in quarterly growing dividends. However, in order to improve the company’s equity ratio, the Board of Directors will propose to the Annual General Meeting 2024 that no dividend be paid on the result for 2023.
Cornerstones of the strategy:
- Growing current business faster than the market
- New openings: assortment expansion, own brand products and new markets
- Significant growth of the services business
- Stronger profitability by continuously developing our own operations and platform
Growing current business faster than the market
Verkkokauppa.com aims to strengthen its market leadership by accelerating the online shift by making buying fast, extremely convenient and affordable. Optimized product flows, automated intralogistics and distribution network enable the fastest deliveries on the market. As the only operator in Finland, Verkkokauppa.com already delivers to 600,000 households around the clock in one hour, every day of the week. Verkkokauppa.com’s constantly expanding service is pioneering even by international standards and is fast increasing its share of all deliveries.
New openings: assortment expansion, own brand products and new markets
During the strategy period, assortment will be expanded with a special focus on product areas that are optimally suited for fast deliveries and Verkkokauppa.com’s platform. New operating models, automation, as well as data will enable cost-efficiency and scalability. The assortment will also be broadened with Verkkokauppa’s own brands and expected to become a substantial part of the offering.
During the next strategy period, the company continue pilots in new market areas also outside Finland, making versatile use of both own platform and selected partners.
Significant growth of the services business
In line with the vision, Verkkokauppa.com wants to offer genuine, sustainable alternatives to buying products. The company’s current customer financing service, Tili, combined with the trade-in service, provides a strong foundation for new value-added services and product openings. Company’s current trade-in service will expand, as will the assortment of recycled products. As a new opening, Verkkokauppa.com will introduce new subscription-based services to the market.
Stronger profitability by continuously developing own operations and platform
The ongoing profit improvement program provides an excellent starting point for building scalable growth. The company leverages artificial intelligence (AI) and data to operate goods flows, to streamline operations and to provide a superior personalized customer experience. Verkkokauppa.com’s own flexible platform and extensive software development expertise enable versatile utilization of leading technologies from selected partners and are the basis for the capabilities that will be built during the upcoming strategy period.
"Verkkokauppa.com continues to be a forerunner in the market. We will efficiently take advantage of market recovery and the new, sustainable business models will support the strengthening of our market position. We will exceed our customers' expectations by offering the fastest deliveries on the market and a superior customer experience – not forgetting affordable pricing and a winning assortment," sums up Panu Porkka, CEO of Verkkokauppa.com.
Panu Porkka, CEO, Verkkokauppa.com Oyj
Mikko Forsell, CFO, Verkkokauppa.com Oyj
Tel. +358 50 434 2516
Marja Mäkinen, Head of Investor Relations and Corporate Communications, Verkkokauppa.com Oyj
Tel. +358 40 671 2999
Verkkokauppa.com (Nasdaq Helsinki: VERK) is Finland's leading online store, offering a wide range of products from home technology to leisure as well as business needs. Operating since 1992, the company is one of the oldest online retailers in the world, combining its online store and brick-and-mortar stores for an omnichannel customer experience. Verkkokauppa.com's four megastores are located in Oulu, Pirkkala, Raisio and Jätkäsaari, Helsinki. To provide a superior customer experience, the company delivers products as fast as an hour to your door around the clock, utilizing automation and robotics. Verkkokauppa.com employs around 700 people. The company is listed on the Nasdaq Helsinki stock exchange, and it has more than 21,000 shareholders.
To view this piece of content from www.globenewswire.com, please give your consent at the top of this page.
To view this piece of content from ml-eu.globenewswire.com, please give your consent at the top of this page.
About GlobeNewswire by notified
One Liberty Plaza - 165 Broadway
NY 10006 New York
GlobeNewswire by notified is one of the world's largest newswire distribution networks, specializing in the delivery of corporate press releases financial disclosures and multimedia content to the media, investment community, individual investors and the general public.
Subscribe to releases from GlobeNewswire by notified
Subscribe to all the latest releases from GlobeNewswire by notified by registering your e-mail address below. You can unsubscribe at any time.
Latest releases from GlobeNewswire by notified
Opdateret prospekt for Investeringsforeningen Sparinvest1.12.2023 08:30:00 CET | pressemeddelelse
ID-Sparinvest, Filial af Sparinvest S.A., Luxembourg offentliggør opdateret prospekt for Investeringsforeningen Sparinvest med tilhørende afdelinger. For følgende afdelinger er der sket benchmarkændringer, der træder i kraft pr. 1. december 2023: Index Emerging Markets, Index Europa Value, Index Globale Aktier Minimum Risk og Index USA Value. Herudover er tal og satser iht. regnskabet for 2022 opdateret for foreningens afdelinger. Afslutningsvist er der foretaget øvrige ændringer, herunder bl.a. sletning af ÅOP-afsnittet og indirekte handelsomkostninger, samt redaktionelle ændringer. Foreningens nye prospekt er vedhæftet denne fondsbørsmeddelelse og kan endvidere downloades på sparinvest.dk. Med venlig hilsen ID-Sparinvest, Filial af Sparinvest S.A, Luxembourg Vedhæftet fil Prospekt_IF_Sparinvest_01122023_final_inkl_RTS_bilag
Ajourført prospekt for Værdipapirfonden Sparinvest (SparIndex)1.12.2023 08:30:00 CET | pressemeddelelse
Copenhagen, Dec. 01, 2023 (GLOBE NEWSWIRE) -- ID-Sparinvest, Filial af Sparinvest S.A., Luxembourg offentliggør opdateret prospekt for Værdipapirfonden Sparinvest med tilhørende afdelinger. For følgende afdelinger er der sket benchmarkændringer, der træder i kraft pr. 1. december 2023: Index Globale Aktier KL og Index Globale Aktier Min. Risiko Akk. KL. Herudover er tal og satser iht. regnskabet for 2022 opdateret for foreningens afdelinger. Afslutningsvist er der foretaget øvrige ændringer, herunder bl.a. sletning af ÅOP-afsnittet og indirekte handelsomkostninger, samt redaktionelle ændringer. Værdifondens nye prospekt er vedhæftet denne fondsbørsmeddelelse og kan endvidere downloades på sparinvest.dk Henvendelser vedrørende nærværende fondsbørsmeddelelse kan rettes til Morten Skipper på email@example.com. Med venlig hilsen Morten Skipper Direktør, ID-Sparinvest, Filial af Spainvest S.A., Luxembourg Vedhæftet fil Prospekt_VPF_Sparinvest_011223_final_inkl_RTS_bilag
Signify announces new customer-centric organization and structural cost reductions1.12.2023 08:00:00 CET | Press release
Press Release December 1, 2023 Signify announces new customer-centric organization and structural cost reductions New operating model includes four verticalized businesses to enhance customer-centricity and speed of executionStructural measures to reduce non-manufacturing costs, generating expected annualized savings in excess of €200mChanges to be implemented through 2024 Eindhoven, the Netherlands –Signify (Euronext: LIGHT), the world leader in lighting, announces it is adapting its organization to enhance customer-centricity, speed of execution and reduce its structural costs. “After the major transformation we achieved through the past decade, we are taking the next step by organizing our company around four vertically integrated businesses. Three of these will focus on customers: Professional, OEM and Consumer. The fourth will be dedicated to conventional lighting technologies. Aligned to the new customer-centric structure, we will further adjust the size of our central organizati
eQ Community Properties Fund divests 15 properties for 75 million euros1.12.2023 08:00:00 CET | Press release
Press release 1 December 2023 at 9:00 am eQ Community Properties Fund has sold a portfolio of 15 care properties to a fund managed by Northern Horizon. The purchase price of the portfolio is EUR 75 million. “The property transaction market remains slow. This transaction, however, provides good evidence that the social infrastructure segment is attractive also in the present market sentiment. After this transaction nearly 70% of the fund’s 120 properties is located in the capital and Tampere region, and the remaining part in university cities. The number of properties in the portfolio will decrease and at the same time the unit size will increase, making the Fund's operations more efficient. Northern Horizon, as a buyer, is a respected player as an owner of care properties." says Tero Estovirta, Head of Real Estate Investments at eQ Asset Management. eQ Community Properties Fund was established in 2012. The value of the assets managed by the Fund amounted to 2.1 billion euros at the end
International Petroleum Corporation Announces TSX Approval for Renewal of Normal Course Issuer Bid1.12.2023 08:00:00 CET | Press release
International Petroleum Corporation ("IPC" or the "Corporation") (TSX, Nasdaq Stockholm: IPCO) is pleased to announce that the Toronto Stock Exchange (the "TSX") has approved IPC's notice of intention to renew the Corporation's normal course issuer bid (the "NCIB"). Under the NCIB, the Corporation is authorized to purchase, through the facilities of the TSX and/or Nasdaq Stockholm, or as otherwise permitted under Canadian securities laws, as and when considered advisable by IPC, up to 8,342,119 common shares in the capital of the Corporation (the "Common Shares"), representing approximately 6.50% of the 128,224,820 Common Shares outstanding as at November 22, 2023 (or 10% of IPC's "public float" (as defined in the TSX Company Manual) of 83,421,196 Common Shares as at November 22, 2023), over a period of twelve months commencing on December 5, 2023 and ending on December 4, 2024, or until such earlier date as the NCIB is completed or terminated by IPC. The maximum number of Common Share