The Coronavirus Pandemic is Likely to Weaken Kamux's Financial Development in 2020
HELSINKI, March 20, 2020 /PRNewswire/ -- The world-wide pandemic and related regulations and restrictions will cause considerable changes in the operating environment of Kamux Corporation ("Company"). According to the Company's estimate, the changes will decrease the volume of its business and profitability in 2020, and it is not likely that the Company will be able to reach its medium-term targets this year.
"We are in an exceptional situation that has a profound impact on people's lives and health, economy and business. There are so many uncertainties related to the current situation and to the spread of the epidemic that it is too early to make a reasoned assessment of possible impact. However, we want already at this point openly communicate that this situation is affecting also our business this year. Our average annual growth (CAGR) over the past five years has been 28 percent and adjusted operating margin approximately 4 percent. Even though Company's strongly digital business model, stock management and strong balance sheet help us to cope in this changed operating environment, we will be affected by the current operating environment" says Juha Kalliokoski, CEO.
"Our committed employees work purposefully every day, and home delivery, web shop, chat, whatsapp, phone and email enable sales and serving customers in their mobility needs also in current situation. We pay particular attention to the health of our employees and customers. It is of utmost importance to us."
According to the principles that Company follows, the Company does not provide guidance or estimates. Because of the situation, no changes have been made to the medium-term targets set by the Board of Directors.
The Company's medium-term financial targets for 2019-2022 are to increase revenue by over 10% annually and to reach an operating profit margin of at least 4% annually.
On 15th May, Kamux will publish its interim report for January-March 2020.
For more information:
Juha Kalliokoski
CEO
Tel. +358-50-544-5538
Kamux Corporation is a retail chain specializing in the sale of used cars and related integrated services that has grown rapidly. Kamux combines online shopping with an extensive showroom network to provide a great customer experience anytime, anywhere. In addition to digital channels, the company has total of 72 car showrooms in Finland, Sweden and Germany. Since its founding, the company has sold more than 250,000 used cars, 55,432 of which were sold in 2019. Kamux's revenue reached EUR 658.5 million in 2019. In 2019, Kamux's average number of employees was 595 in terms of full-time equivalent employees. The shares of Kamux are listed on the Nasdaq Helsinki stock exchange.
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SOURCE Kamux
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