Kitchen furniture manufacturer Nobia has announced net sales of SEK 3,622million, up 35%, in its interim financial report (January to June 2021).
It follows on from its “solid” start to 2021, with organic growth of 3% despite the UK lockdowns.
Nobia’s results also reported operating profit increased to SEK 347million, corresponding to an operating margin of 9.6%.
President and CEO of Nobia Jon Sintorn stated all stores and manufacturing facilities across the Group were in full operation during the second quarter, including retail in the UK, after a year of hampered conditions.
The company posted growth of 13% in the Nordics, compared to 11% in 2019, and sales growth of 29% in central Europe, as opposed to 9% in 2019.
According to Nobia, the growth was preominantely driven by retail sales, with flat project sales in the Nordics and slight growth in the Netherlands.
Jon Sintorn stated: “In the UK we are rebuilding the retail order book after having been closed during the very important Winter Sales in the first quarter.
“Organic growth in the region was 97% versus last year, however that corresponds to a decline of 15% compared to 2019.
“We expect retail sales to normalize in Q3, assuming no further lockdowns, whilst we anticipate it will take longer for the social housing segment and London property market to recuperate.
“On a positive note the growth in Magnet trade continues to perform well. We will continue to invest to strengthen the trade proposition further.
However, Sintorn also stated the global surge in demand for material has resulted in higher material cost and the company has adjusted pricing, adding Nobia anticipate further increases in the second half of 2021.
He concluded: “As we are heading towards a new normal, we are really excited about the future.
“We have a strong underlying market, and the eased restrictions allow us to operate more efficiently to cater for the demand.