Annual Report
2023-2024
1 APRIL 2023 – 31 MARCH 2024
Table of contents
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04
Introducing Matas
Group
17
Strategy
and guidance
26
Results
34
Governance
51
Statements
57
Consolidated
financial statements
94
Parent company
financial statements
105
Other
Management review
Financial statements
Annual Report 2023/24
2
Dear shareholders,
Over the last five year, Matas has changed from
being a conventional retail chain to becoming a
successful omnichannel company. With the acqui-
sition in 2023 of KICKS Group, we are now posi-
tioned as leaders in the Nordic region and have a
solid foundation for long-term growth.
A milestone year
and a new beginning
2023/2024 was a year of fundamental transformation. After 75
years of progress in Denmark, Matas acquired KICKS Group
and became the Nordic leader in Beauty and Wellbeing.
#1
Nordic market leader
To our shareholders
The Group had proforma revenues of almost DKK
8 billion, and an EBITDA margin of above 14% had
we owned KICKS for the full year.
The strategic and cultural fit between Matas and
KICKS is strong and with a new joint strategy, we
now set out on a long-term growth journey to
Win the Nordics. But first, a look at what we have
achieved in the past year.
A milestone year: Results and execution
We are happy to report that 2023/24 was a
record year driven by underlying growth and
earnings improvement. We delivered DKK 6.7
billion in revenues and we passed a symbolic
mark, reaching for the first time DKK 1 billion
EBITDA before special items.
Gregers Wedell-
Wedellsborg
Group CEO
Lars Vinge Frederiksen
Chair
“Win the Nordics is
first and foremost
a long-term growth
strategy, but with
higher volumes
driving scale, we
also see a clear
path to improving
margins.”
Annual Report 2023/24
5
Matas (excluding KICKS) generated revenue of
DKK 4.8 billion – in line with our upgraded financial
guidance. Back in August 2021, we set an ambition
to reach DKK 5 billion by 2025/26. We are on track
to reach that ambition almost two years ahead
of time. The organic growth for Matas (excluding
KICKS) was 8%, fuelled by continued assortment
expansion and e-commerce growth. We launched
~300 new brands and e-commerce grew 24%
during the financial year as we continued to
improve the customer experience, delivery speed,
and value perception.
KICKS, which we owned for seven months during
the financial year, grew ~2% in local currency. In
the important Christmas quarter, both Matas
and KICKS reported all-time high revenues with
growth in all channels and markets despite macro-
economic uncertainty and ongoing integration
work. Based on the strong Christmas quarter, we
upgraded our revenue guidance for the full year in
January 2024.
Our customer satisfaction, measured as Net
Promotor Score (NPS), remained at a high level
both in stores and online. We strongly believe that
the omnichannel approach is the winning concept
and “connected retail” sales, where our physical
stores offer customers the entire online assort-
ment, grew 25% during the financial year.
As highlighted in our ESG Report, we are making
progress on key initiatives within Sustainable Retail,
Driving Inclusion and Championing Health. We are
On 1 April 2024, we launched a new international
organisational set-up and ways of working to drive
growth and efficiency across the business. We have
established two market facing functions, Matas and
KICKS, each addressing individual markets, and three
Nordic groupwide functions: Commercial, Digital
& Loyalty, and Operations (IT, Logistics and Data
Analytics).
This has indeed been a year of exceptional change
and progress, and we wish to thank all our colleagues
in the stores, in the logistic centers, and at our
offices for their dedicated daily efforts, delivering
strong results despite macroeconomic uncertainty
and ongoing integration. A special thanks to our
new colleagues from KICKS Group for engaging with
openness and ambition.
We also wish to thank our customers for their
engagement with, partners for the fruitful collabora-
tion and our shareholders for the continued support.
Based on the strong results, the Board of Directors
proposes a dividend of DKK 2.00 per share. The divi-
dend is subject to approval by the Annual General
Meeting on 19 June 2024.
We look forward to meeting our shareholders at the
Annual General Meeting on 19 June 2024.
Thank you.
Lars Vinge Frederiksen Chair
Gregers Wedell-Wedellsborg Group CEO
gaining even more solid data quality for tracking
and reporting and have decided to join the Science
Based Targets initiative.
Matas has a history of excellent strategy execution.
During the “Renewing Matas” strategy (from 2017
to 2020), we executed a successful digital trans-
formation, increasing the online share of revenue
from 4% to 26%. During the next strategy phase,
“Growing Matas” (2021-2024), we outgrew the
market, delivering annual average growth of above
5% driven by assortment expansion and continued
e-commerce growth.
Earnings have been stable throughout the period
allowing for continuous reinvestment in growth,
new capabilities, and acquisitions.
A new beginning: Win the Nordics
In connection with the publication of this annual
report, we will host a Capital Markets Day where
we will present our new growth strategy, “Win the
Nordics”, as well as new long-term financial ambi-
tions.
The Nordic health and beauty market is worth
approx. DKK 72 billion and our strategy, Win the
Nordics, aims at becoming the number one in all
Nordic markets, channels, and core categories.
Our starting point is strong, we are already number
one overall in Denmark, Sweden and Norway, and a
challenger in Finland. However, we see headroom
to expand our leadership in each market, improve
our online market positions, and lead in more
categories.
Win the Nordics is first and foremost a long-term
growth strategy, but with higher volumes driving
scale, we also see a clear path to improving
margins.
We have strong and longstanding supplier relation-
ships and our assortment expansion in Denmark
has been a key driver of growth. With our Nordic
scale, we can leverage both our sourcing strength
and assortment expansion even more.
On the e-commerce side, we can leverage the
successful online roll-out in Denmark to further
improve the solid online performance in Sweden,
Norway and Finland.
We are creating a logistics platform for long-term
growth across the Nordics with two new auto-
mated distribution centers. A new automated
logistic center outside of Stockholm is in operation
and handled first orders during Q3 2023, while
the upcoming automated logistic center in Lynge
is under construction and will start operating
in 2025. The two logistic centers will facilitate
expanded assortment, fast and efficient delivery,
and contribute to reducing overall logistic costs.
Both centers come with added benefits to the
environment including solar panels supplying
energy for production and solutions to reducing
packaging materials.
Annual Report 2023/24
6
Highlights 2023/24
Financial highlights
Organic growth (Matas excluding KICKS)
7.8%
EBITDA margin before special items
15.0%
in line with guidance
Proposed dividend per share of DKK
2.00
for approval at the Annual General Meeting
Strategy execution
New brands launched
~300
Online organic growth journey continued
+24%
New
automated warehouses
a platform for future
Growth
KICKS acquisition
Matas Group the Nordic market leader
#1
New markets
#1 #1 #3
Sweden Norway Finland
EBITDA improvement from transaction of DKK
million
>140
by 2025/26 from synergies and standalone
improvements
ESG
Committed to decarbonisation
Science Based Targets initiative
SBTi
Improved ESG rating from Nordea
BBB → A
Annual Report 2023/24
7
3.0
227
3.7
1,700
4.8
264
2.0
2,300
Matas
Matas
Matas
Matas
KICKS
KICKS
KICKS
KICKS
Creating the Nordic leader
KICKS and Matas
~500
Stores
70
Stores
128
Stores
29
Stores
7.8
Revenue (Proforma*, DKK billion)
~4,000
Employees
+5
Club members, millions
263
Stores
On 31 August 2023, Matas completed the acquisition of KICKS, a leading beauty actor in the Nordics with
operations in Sweden, Norway and Finland. By joining forces as Matas Group, we are well positioned to
create even better experiences for our customers. By combining two highly complementary businesses,
with a compelling strategic rationale, we are also well positioned to build on our Nordic leadership
position within Beauty and Wellbeing and bring value to our customers, partners and investors.
* Based on actual monthly exchange rates for 2023/24
Annual Report 2023/24
8
This is Matas Group
Revenue split by Matas/KICKS
2023/24 proforma, %
Revenue split by channel
2023/24, %
31%
2%
67%
Stores
Online
Wholesale
≈ 600
Supplier base
≈ 3 0 %
Share of revenues from
online
14.3 %
EBITDA margin proforma*
≈ 1 1 %
Estimated Nordic market share
# 1
Nordic market position
≈ 60,000
SKU base
Complementary footprint
Together as Matas Group, KICKS and Matas are
connecting an attractive approx. DKK 72 billion
Nordic market and more than 5 million members
in loyalty programmes with brands through online
and offline retail on a shared platform.
Strong omnichannel leadership position
Through a combination of ~500 stores and ~30%
of revenue from online, Matas Group is the Nordic
leader in Beauty and Wellbeing.
Top-of-mind brand
Both Matas and KICKS are the strongest top-of-
mind brands in respective geographies with
well-trained beauty experts and unique offering,
including a combination of exclusive distribution
rights, brands and in-house products.
38%
62%
KICKS
Matas
* Proforma EBITDA margin before special items 2023/24
Annual Report 2023/24
9
Proven model
Matas Group has a proven and scal-
able business model, with compet-
itive advantage througout the value
chain to deliver the best customer
experience.
Top-of-mind brand and
high customer satisfaction
When customers are asked where to
buy beauty they say "Matas"/"KICKS".
Customer satisfaction is measured
continously for stores and online.
Our
business
model
Beauty experts
+4,000 colleagues and
beauty professionals
Value beyond
the product
Strongest supplier relations
Decade-long supplier
relationships
Best terms and access to brands,
news, and exclusives
Loved “only in” brands
High-margin in-house brands
in multiple categories
Selective distribution/
authorised retailer
Powerful omni-channel presence
Leading store network of ~500 stores
and leading online sites
Cost advantages in customer
acquisition and fulfillment
Best in class supply chain
New centralised and highly
automated warehouses
Low fulfillment cost
Loyal customers
+5 million loyal club members
Own media suite with national reach
Lower marketing cost ratio
Matas Group has a proven and scalable business model to deliver the best customer experience. We are connecting
more than 5 million loyal club members to brands in an attractive approx. DKK 72 billion Nordic market while being the
Top-of-mind brand with high customer satisfaction.
Annual Report 2023/24
10
High margins sustained by hard-to-copy
business model with competitive advantages
National top-of-mind banners and brands
Value-adding
sourcing set-up
One-stop Beauty and
Wellbeing offering
Omni-channel
specialty retail
Customer relations
and loyalty
Competitive operating platform
Third party – Supplier relations
Efficient automated
warehouses
Scalable and stable
IT platform and data capability
ESG
action and accountability
Culture of
results and relations
High-end beauty Stores
App
E-commerce
Trained advisors
Brand building partner Everyday beauty Club
Own brands portfolio Health and Wellbeing Own media
Business model
Annual Report 2023/24
11
Matas (including subsidiaries)
Revenue (DKKm)
4,840
Organic growth
7.8%
(2022/23: 3.3%)
with growth in all channels
Gross profit margin
46.5%
(2022/23: 46.2%)
Matas Group (incl. KICKS 7 months)
Revenue (DKKm)
6,701
in line with guidance
Revenue growth
49%
EBITDA margin before special items
15.0%
in line with guidance
KICKS (7 months)
Revenue (DKKm)
1,861
Local currency growth
1.6%
with growth in stores and all markets
Gross profit margin
44.3%
(7 months in 2022/23: 44.8%)
Proforma highlights
(incl. KICKS 12 months)
Revenue (DKKm)*
7,834
Baseline for 2024/25 guidance
Revenue growth versus proforma 2022/23
6.1%
EBITDA margin before special items
14.3%
Baseline for 2024/25 guidance
Financial highlights 2023/24
* Based on actual monthly exchange rates for 2023/24
Annual Report 2023/24
12
ESG highlights 2023/24
• Matas Group commits to Science-
Based Targets initiative
• Matas enters into research project to
explore plastic recyclability.
• Matas Group reduces scopes 1 and 2
emissions by 37%.
>300
Matas employees trained
in mental health with True
North partnership.
Champion
health
Drive sustainable
retail
Promote
inclusion
• Matas adopts a no retouch policy on
brand marketing images. KICKS has not
allowed retouch since 2022.
• Matas Group Executive Management
Team reaches equal gender distribution.
• Matas reduces employee turnover by 7 pp.
>17%
increase in beauty products with recognised
environmental and health certifications.
Improved rating
from BBB.
A AA 13.4 (low)
Sustained rating. Improved rating from 13.6.
For Matas Group’s reporting on section 99a and
99d of the Danish Financial Statements Act, see
Annual Report 2023/24
13
ESG performance
2023/24
Environment Social Governance
Scopes 1 and 2 emissions
Absolute CO
2
e, tons
Reductions in our scopes 1 and 2
emissions are due to energy reductions,
better data quality on heating
consumption and renewable energy
investments.
We have secured a marginal
improvement, indicating high
satisfaction. Due to different methods,
KICKS data is not part of the KPI. For the
coming financial year we are aligning
methods.
36% suppliers committed to
Code of Conduct
36% of suppliers have committed
to the new Code of Conduct, that
was introduced in FY 2022/23.
Code of Business Conduct
We have introduced a Code
of Business Conduct to drive
responsbile behavior across our
organisation.
Human Rights Policy
We have launched a new Human
Rights Policy outlining our
commitment to upholding human
rights across our business.
10% of bonus agreements linked
to ESG goals
To ensure accountability, all
leadership bonus agreement are
linked to ESG targets.
The recorded increase in scope
3 emissions, driven by underlying
business activity growth and KICKS
consolidation, results in a significant
increase of CO
2
intensity.
We have seen an increase in the female
share of the overall gender distribution.
This is explained by the consolidation
of KICKS data, where women constitute
95% of the workforce.
Employee satisfaction
Satisfaction and motivation score
Scope 3 emissions
Absolute CO
2
e, tons
The increase is driven by the Group's
increasing purchase of goods sold. With
the KICKS acquisition, the combined
scope 3 increases as the account now
also includes KICKS' purchase of goods
sold.
We have reduced Matas’ employee
turnover significantly, with 7 pp. Due to
different data approach, this KPI does
not include KICKS data. Alignment will be
a focus for the coming financial year.
Plastic reductions are primarily driven
by improvement of in-house brands,
reductions in stores, with 100% recycled
plastic alternatives to virgin plastic bags
and the collection of plastic waste for
recycling.
Following the acquisition of KICKS and
a new Nordic Management structure
in place, this leads to a 50/50 gender
diversity on other management levels.
Employee turnover
%
CO
2
intensity
Revenue, tons/DKKm
Gender diversity, overall
% of female representation
Plastic reductions
Pieces
Gender diversity, other mmt. level
% of female representation
2023/24
3,627* 7.6
40.8
2022/23
2021/22
5,763
116,164*
12.5
12.8
46,360,320
44,019,944
39,081,783
17.9*
50,318
47,187
7.5
47.8
6,227 7.6
49.3
2023/24
2023/24
2023/24
2023/24
93*
50
2022/23
2022/23
2022/23
2022/23
2021/22
2021/22
2021/22
2021/22
91
41
92
36
2023/24
2022/23
2021/22
2023/24
2022/23
2021/22
2023/24
2022/23
2021/22
* FY 2023/24 data includes KICKS data from 1 September 2023 to 31 March 2024.
Since the acquisition of KICKS in August 2023, we have worked to consolidate KICKS data into Matas Group ESG data.
Due to different measuring methods and data availability, gaps remains to be closed. Throughout the report we have
disclosed when the reported ESG KPI is consolidated with KICKS data and when it is not. Consequently, the reported year
provides some limitations when comparing performance against previous years’ performance.
Annual Report 2023/24
14
5-year key financials
(DKKm)
Matas incl.
KICKS 7 months
2023/24 2022/23 2021/22 2020/21 2019/20
Statement of comprehensive income
Revenue 6,701 4,489 4,344 4,164 3,689
Gross profit 3,078 2,076 2,000 1,892 1,701
EBITDA 904 804 810 788 678
EBIT 379 423 388 380 293
Net financials (131) (50) (37) (27) (43)
Profit before tax 248 373 351 353 250
Profit for the period after tax 169 281 277 269 191
Special items 102 5 (7) 9 22
EBITDA before special items 1,006 809 803 797 700
Adjusted profit after tax 302 322 358 358 283
Statement of financial position
Total assets 8,668 6,280 6,055 6,143 6,588
Total equity 3,462 3,363 3,152 3,039 2,764
Net working capital 378 23 (12) (126) 90
Net interest-bearing debt 3,140 1,642 1,649 1,727 2,500
Statement of cash flows
Cash flow from operating activities 645 678 505 935 447
Investments in tangible assets (251) (92) (51) (51) (124)
Cash flow from investing activities (1,021) (256) (232) (178) (336)
Free cash flow (376) 422 273 757 111
(DKKm)
Matas incl.
KICKS 7 months
2023/24 2022/23 2021/22 2020/21 2019/20
Ratios
Revenue growth 49.3% 3.3% 4.3% 12.9% 4.2%
Underlying like-for-like revenue growth 6.8% 3.1% 2.1% 13.5% 0.7%
Gross margin 45.9% 46.2% 46.0% 45.4% 46.1%
EBITDA margin 13.5% 17.9% 18.6% 18.9% 18.4%
EBITDA margin before special items 15.0% 18.0% 18.5% 19.1% 19.0%
EBIT margin 5.7% 9.4% 8.9% 9.1% 7.9%
Cash conversion 42.6% 59.9% 54.5% 109.7% 45.3%
Adjusted earnings per share 7.94 8.50 9.40 9.35 7.41
Earnings per share, DKK 4.45 7.41 7.27 7.04 5.01
Diluted earnings per share, DKK 4.43 7.37 7.20 6.96 4.96
Dividend per share (proposed), DKK 2.00 2.00 2.00 2.00 0.00
Share price, end of year, DKK 117.0 84.2 96.3 83.1 42.7
ROIC before tax including goodwill 11.3% 9.4% 9.9% 9.6% 8.5%
ROIC before tax excluding goodwill 35.4% 45.0% 50.1% 40.6% 35.4%
Net working capital as a percentage
of LTM revenue 4.8% 0.5% (0.3)% (3.0)% 2.4%
Investments
1)
as a percentage of revenue 15.2% 5.7% 5.3% 4.3% 9.1%
Investments excluding acquisitions as a
percentage of revenue 6.1% 5.7% 4.2% 3.6% 5.2%
Net interest-bearing
debt/EBITDA before special items 2.8 2.0 2.1 2.2 3.6
Number of transactions (millions) 31.9 23.2 22.0 20.9 20.9
Average basket size (DKK) 206.3 188.8 192.2 197.5 174.7
Number of stores 491 260 260 265 268
Club members Matas and KICKS (millions) 5.68 1.87 1.74 1.69 1.66
Club Matas Plus members (thousands) 100.7 68.9 52.6 21.5 -
Average number of employees (FTE) 2,931 2,124 2,164 2,152 2,197
1)
Total investments, i.e. CAPEX, acquisitions, etc.
Annual Report 2023/24
15
Investment case
Significant free cash
flow generation
from 2025/2026 after completion of large investments in
logistics and IT. Allowing for further investments in growth
A long-term growth journey to build
the #1 Nordic Beauty and Wellbeing
destination
Starting point
Ambition and capital allocation
Growth
potential
Growth strategy
to be the clear
#1 in all markets,
channels and core
categories
Nordic
leader
Matas Group is the
Nordic leader in
Beauty and Well-
being
Growing
market
Operating in an
attractive market
valued at approx.
DKK 72 billion and
expected to grow
~4% between
2023-2027
High profit
margins
Matas Group has
a scalable plat-
form and business
model to increase
market share (from
~11%) while main-
taining high profit
margins
2-3X
Gearing will remain between 2-3x
(Net debt/EBITDA before special items)
>20%
Dividend and share buyback, distribution of minimum 20% of
adjusted profit after tax.
15.0-16.0%
EBITDA margin in 2027/28, supported by operating leverage,
synergies and automated warehouses
DKK >10 billion
Revenue in 2027/28, fuelled by continued assortment expan-
sion and e-commerce proposition, improving the customer
experience both in store and online
Annual Report 2023/24
16
Strategy execution
2023/24
2023/24 has been yet another year of strong
strategy execution at Matas. During the “Renewing
Matas” strategy (from 2017 to 2020), we executed
a successful digital transformation that increased
the online share of revenue from 4% to 26%.
During the “Growing Matas” strategy (2021-2024),
we outgrew the market and delivered organic
annual average growth of around 5%, strongly
supported by assortment expansion. On top of
this, we made a successful acquisition of the
largest Nordic competitor, KICKS Group, in 2023.
This allows for a new growth strategy period to be
#1 Commercial:
Significant assortment
expansion driving growth
In 2023/24, almost 300 new
brands were launched, which was
the key driver for the ~8% organic
growth in Matas. Since the strategy
launch, Matas has entered new
categories such as dermatological
skincare, professional hair care,
sexual wellness, and mother and
child, while also deepening assort-
ment within existing strongholds in
Beauty and Health. During 2023/24,
Matas became the leading retailer
within professional hair care, just
two years after launch. Within
the Mother and child category,
launched in 2023/24, almost 1,200
new products have been added,
while building a strong destination
and creating awareness of the new
category. All part of the proven
playbook of launching new catego-
ries in Matas.
#2 E-commerce:
Extended market leader-
ship through ecommerce
excellence
Matas.dk continues to be the
second most visited web shop
in Denmark and the #1 online
destination for Health and Beauty
in Denmark. In 2023/24, online
organic revenue growth was 24%,
which drove a new milestone: more
than 30% of revenues are now
generated from online channels.
Main driver of growth has been the
assortment expansion. This has
been complemented by second-
to-none e-commerce excellence.
shared at the Capital Markets Day in connection
with publishing this Annual Report.
Following a successful growth journey, where
we have outgrown the market, our starting point
is strong for the next strategy phase which is
described in the “Win the Nordics” section.
Strong delivery in all seven organic tracks of the
Growing Matas strategy in 2023/24
Annual Report 2023/24
18
#6 Internationalisation:
Geographical expansion
of in-house brands in
Germany
Besides the focus on our Nordic
home markets, we are also
strengthening our presence of
Matas Beauty brands in Germany,
with a total store count to 240
doors by March 2024. Nilens Jord
is available in 70 doors of which
around one third are not selling
Matas Beauty brands. Sell-out of
Nilens Jord in Germany is very
promising, indicating interest and
relevance for the brand outside
of Denmark. In March 2024, the
Flora Danica fragrances were also
launched in 70 doors in Germany.
#5 Logistics:
Building logistics centers
to expand capacity and
automate operations
To expand capacity, advance
logistics capabilities and to drive
down transaction costs for e-com-
merce, Matas has commenced
the construction of Matas
Logistics Center (“MLC”), a new
state-of-the-art logistics center
in Lynge. The building process is
well underway and progresses
according to the plan to be opera-
tional in 2025.
KICKS has opened a similar new
automated logistics center outside
of Stockholm. This went into oper-
ation and handled the first orders
during Q3 2023.
#4 Brands:
Growing the portfolio of
House brands
Our loved in-house brands are
available in multiple categories. The
in-house brands are high-margin
and accounted for around 18% of
total revenue in Matas (excluding
KICKS) in 2023/24.
The two biggest brands in Matas
are Matas Striberne and Nilens
Jord. In Q3 2023/24, we launched
BeautyAct, KICKS' own makeup
brand, online in Matas, as this has
been a strong performing brand
in KICKS in recent years. In March
2024, the newest in-house brand,
Flora Danica, was launched as
a high-end beauty brand. The
first products in this brand are
fragrances, developed by some of
the world’s best perfumers.
#7 ESG:
Improved ratings from
continuous strong efforts
Matas’s ESG ratings have improved
from both Nordea (from BBB to A)
and from Sustainalytics, while the
AA rating from MSCI was main-
tained though with an improved
E-score. We are committed to
decarbonisation through the
Science Based Targets initiative.
Read more about Matas Group's
ESG initiatives in our ESG Report
2023/24 here:
#3 Connected retail:
Continued expansion of
stores and omnichannel
initiatives
We are strong believers in physical
stores and that omnichannel is the
winning concept. Our customer
satisfaction, measured as Net
Promotor Score (NPS), remained
at a high level both in stores and
online at 73 and 74, respectively.
The most significant omnichannel
initiative is “Connected retail” sales,
where the stores offer the entire
online assortment, grew almost
at the same pace as the online
channel at 25% in 2023/24. Further,
pick-in-store, which drives traffic
and up-sale opportunities to the
stores from matas.dk, while at the
same time lowering freight and CO
2
emissions, accounted for around
11% of all orders from matas.dk. The
store network was expanded by
4 new stores in 2023/24, among
others by opening a large store in
Copenhagen with an immersive
shopping experience.
Annual Report 2023/24
19
The market
The Nordic market is big
and attractive, and expected
to grow at
~4%
01
Big and attractive
market valued at
DKK 72 billion
Highlights
02
Driven by structural
demand trends
03
Unconsolidated with
shift in competitive
landscape
04
High margins across
the value chain
The Nordic Beauty and Wellbeing market size
2017 – 2027, DKK billion
Finland Norway
Denmark Sweden
2017
11 11
12 12
13 13
57
20
2019
11
13
13
59
22
2021
12
15
16
65
22
2023
13
15
17
72
27
2025
14
16
18
77
30
2018
58
21
2020
11
13
15
61
22
2022
12
15
17
69
25
2024
13
16
17
75
28
2026
14
16
18
80
31
2027
15
17
19
83
33
+4.1%
+3.6%
Forecast
Source to graph: Euromonitor
Annual Report 2023/24
20
Following 75 years of progress in Denmark, where
we are the clear market leader, the acquisition of
KICKS also moved Matas Group to become the
Nordic market leader in Beauty and Wellbeing.
01 Big and attractive market
The Nordic market for Beauty and Wellbeing is
big and attractive, estimated to be worth DKK
72 billion in 2023 and expected to grow at an
annual rate of ~4% from 2024 to 2027 (source:
Euromonitor), This is higher than the expected
Gross Domestic Product (GDP) growth. The spend
per capita is high in the Nordics, and the market
is less affected by cyclicality, partly due to so
called lipstick effect, where consumers continue
to prefer beauty products also in an economic
downturn.
Sweden is the largest market for Beauty and
Wellbeing in the Nordics, followed by Norway,
Denmark and Finland.
The spend per capita for Beauty and Wellbeing
is the highest in Norway, followed by Denmark,
Sweden and Finland.
The Nordic market is expected to have grown
around 4% in 2023. The Swedish market is
expected to have the highest growth rate with
close to 5% annually from 2023 to 2027, followed
by Norway, Finland and lastly Denmark. This
means opportunity for Matas Group in scaling up
in the three new home markets with higher growth
than in Denmark.
02 Driven by structural trends
The market is driven by structural demand trends.
Mature customers want to stay younger for
longer, and the younger customers are starting
earlier and shopping more. The beauty industry
has an important role in providing the right advice
and suitable products for the consumers. Social
Media is driving interest in all customer age
groups.
03 Unconsolidated
The market is unconsolidated with a shift in
competitive landscape, where specialty retail
has shown resilience and consumer preference
for the omnichannel concept, also evidenced by
online players moving towards brick-and-mortar.
It further appears that hyper and supermarkets
are losing market shares to value retail and that
department stores are in decline.
04 High margins across value chain
There are high margins across the value chain,
with a focus on building brands. The market is
characterised by demand for newness and inno-
vation with disciplined suppliers.
~11%
Matas Group have ~11% market
share and significant growth
potential in a growing market
Annual Report 2023/24
21
Win the Nordics
Matas Group strategic priorities
All for you
Potential value creating M&A
Expand and
improve
portfolio of
in-house brands
Roll out
”one-stop”
offering and
concept
Take
e-commerce
market shares
and fuel omni
experience
Refresh,
upgrade
andopen
stores
Integrate
and share
to operate
efficiently
Build
long-term
platform and
culture
Following a successful execution of the
“Growing Matas” strategy, performance
ahead of plan, and the acquisition of
KICKS, Matas Group is starting the
next strategic growth phase from the
number one position.
The starting point is strong:
• Successful strategy execution, with perfor-
mance ahead of plan
• Profitability remains stable and as expected
despite inflationary pressure
• Post-COVID come-back for the stores has been
greater than anticipated
• Double-digit e-commerce revenue growth with
significant market share capture
• Strongest and top-of-mind brand with leading
market position and unrivaled customer insight
and reach
• Acquisition of KICKS to become the Nordic
market leader, with integration off to a good
start
• A winning omni-channel business model, which
has a proven and successful track record and is
hard-to-copy, has been further strenghtened
More for you Closer to you Stronger for you
Annual Report 2023/24
22
We operate in a Nordic market with headroom
for growth. The Nordic market is big, attractive,
growing and is unconsolidated.
We have the strongest top-of-mind brand and the
leading market position with unrivaled customer
insight and reach. Our business model has a
proven and successful track-record, is hard-to-
copy and can be scaled up in all Nordic markets.
To win the Nordics, we have set six customer
centric strategic priorities for the mid-term to
outgrow the market while improving margins and
building the long-term platform.
More for you
01 Roll out "one-stop" offering and concept
We will roll out “one-stop” offering and concept,
with continued assortment expansion, which has
been a key strategic growth initiative. We have
strong and decade long supplier relationships
with best terms and access to brands, news and
exclusives for our customers.
02 Expand and improve portfolio
of in-house brands
We will expand and improve our portfolio of
in-house brands across the Nordics. We see
great potential in strenghtening the in-house
brands portfolio and cross-sell across Matas and
KICKS. This creates strong differentation towards
competitors driving traffic and improves margins.
Closer to you
03 Take e-commerce market shares
and fuel omni experience
We will continue the focus on gaining market
share in e-commerce and fuel the omni-expe-
rience. Both online and Connected Retail deliv-
ered strong growth in 2023/24, emphasising the
winning omni-channel business model, preferred
by consumers and delivering superior profitability.
04 Refresh, upgrade and open stores
The stores play an important role in the omni-
channel and still account for more than two thirds
of revenues. With ~500 stores across Denmark,
Sweden, Norway and Finland, we will continue
to refresh, upgrade and open stores to be close
to the consumer, deliver strong advisory and
continously improving the customer experience
in-store and online.
Stronger for you
05 Integrate and share to operate
efficiently
As of 1 April 2024, our new organisational struc-
ture was implemented with focus on closeness
to the markets and with three Nordic Group-
wide functions to drive efficiency, synergies and
leverage our scale.
Our new automated distribution centers are a
platform for long-term profitable growth across
#1
A long-term growth journey to
build the #1 Nordic Beauty and
Wellbeing destination
the Nordics. The two logistic centers will facilitate
expanded assortment, strengthen fast and effi-
cient deliveries and contribute to reducing overall
logistic costs.
06 Build long-term platform and culture
We are building a long-term platform and culture.
This includes a consolidated Group IT platform to
foster collaboration and scale benefits to among
others drive enhanced investments in AI and
analytics, both in the front-end and back-end
as this is fundamental to maintain a competitive
advantage.
Annual Report 2023/24
23
Consolidated revenue
Reported consolidated revenue for 2023/24
amounted to DKK 6,701 million, in line with
our revenue guidance for the year which was
upgraded on 9 January 2024 following a strong
Christmas quarter. The reported consolidated
revenue includes revenue for KICKS for seven
months of ownership during the financial year.
The consolidated revenue on a proforma basis,
had we owned KICKS for the full year, amounted
to DKK 7,834 million. The proforma consolidated
revenue is the base for the revenue guidance
for 2024/25. For 2024/25, the currency neutral
consolidated revenue growth is expected to range
from 4% to 7%, assuming the same exchange rates
as in 2023/24. Exchange rate adjusted revenue
growth is expected to range from ~3.2% to 6.2%,
based on forward rates for NOK/DKK of 0.626 and
SEK/DKK of 0.638 as of 14 May 2024.
Consolidated revenue growth in 2024/25 is
expected to be driven by continued market
growth and our continued assortment expansion
together with continued growth in e-commerce
as well as the roll-out of our Win the Nordics
strategy across our markets.
Matas Group financial guidance 2024/25
* Based on 2023/24 proforma revenue and assuming the same exchange rates as in 2023/24:
NOK/DKK of 0.647 and SEK/DKK of 0.648.
4 - 7%
Revenue growth, currency neutral*
~3.2 - 6.2%
Exchange rate adjusted revenue growth
14.5% - 15.5%
EBITDA margin before special items
Total consolidated Group revenue is expected to grow between 4% and 7%
currency neutral, ~3.2% to ~6.2% exchange rate adjusted, in 2024/25 (based
on proforma revenue for 2023/24, had we owned KICKS for the full year).
The EBITDA margin before special items is expected to be in the 14.5% to
15.5% range. CAPEX, excluding M&A, is expected to be DKK ~650 million,
including approximately DKK 325 million for Matas Logistics Center.
Financial guidance
2024/25
Annual Report 2023/24
24
Consolidated EBITDA margin
Reported EBITDA margin before special items for
2023/24 was 15.0%, in line with our guidance for
the year of “around 15%”. The reported EBITDA
margin before special items includes KICKS
EBITDA for seven months of ownership during
financial year. The consolidated EBITDA margin
before special items on a proforma basis, had we
owned KICKS for the full year, amounted to 14.3%.
The proforma consolidated EBITDA margin before
special items is the starting point for the consol-
idated EBITDA margin guidance for 2024/25. For
2024/25, the consolidated EBITDA margin before
special items is expected to be in the range of
14.5% to 15.5%.
The consolidated EBITDA margin in 2024/25 is
expected to be driven by operating leverage
and synergies, while negative margin impact is
expected from continued investments in assort-
ment expansion and impact from channel mix and
market. The automated new Matas Logistic center
is planned to open in 2025, and a positive effect
on margin is expected in 2025/26.
The guidance for 2024/25 is based on under-
lying growth assumptions across the markets on
a currency neutral basis. Average rates for the
proforma actual performance are SEK/DKK of
0.648 and NOK/DKK of 0.647. Actual exchange
rates will impact revenues.
* Guidance for 2024/25 is based on proforma numbers for 2023/24 (had we owned KICKS for the full year)
CAPEX
CAPEX, excluding M&A, is expected to be DKK
~650 million, including approximately DKK 325
million for Matas Logistics Center to support
Matas’ long-term growth and profitability.
New financial ambitions for 2027/28
In connection with the publication of this Annual
Report, Matas Group will also host a Capital
Markets Day where we present our new growth
strategy, “Win the Nordics” as well as new finan-
cial ambitions: revenue of DKK >10 billion in
2027/2028 and EBITDA margin before special
items of 15.0-16.0% in 2027/28. CAPEX, excluding
M&A, is expected to be 3-4% of revenue. Gearing
policy is unchanged at 2-3x (Net interest-bearing
debt / EBITDA). The policy for distribution by way
of dividends and share buybacks is unchanged at
minimum 20% of adjusted net profit.
Forward-looking statements
The annual report contains statements relating
to the future, including statements regarding
Matas Group’s future operating results, financial
position, cash flows, business strategy and future
targets. Such statements are based on Manage-
ment’s reasonable expectations and forecasts at
the time of release of this report. Forward-looking
statements are subject to risks and uncertainties
and a number of other factors, many of which
are beyond Matas Group’s control. This may
have the effect that actual results may differ
significantly from the expectations expressed
in the report. Without being exhaustive, such
factors include general economic and commer-
cial factors, including market and competitive
conditions, supplier issues and financial and
regulatory issues, IT failures as well as any effects
of healthcare measures that are not specifically
mentioned above.
Annual Report 2023/24
25
Matas Group results
Revenue
Q4 performance
Matas Group generated a total revenue of DKK
1,758 million in Q4 2023/24, a year-on-year
increase of 67.3% from DKK 1,051 million in Q4
2022/23 when the Group did not own KICKS.
Retail sales were up by 70.0% to DKK 1,727 million.
Total revenue grew by DKK 707 million compared
to Q4 2022/23, whereof organic revenue growth
was 4.4% or DKK 47 million and the remaining
growth of 62.8% or DKK 660 million related to
KICKS.
Most of the KICKS revenue was generated within
the High-End Beauty category and the rest in
Mass Beauty thus reflecting the significant growth
in both categories in Q4 2023/24 consolidated
revenue compared to last year.
Growing sales by DKK 471 million, Physical stores
recorded the largest absolute increase and online
sales grew by DKK 240 millions. Organic revenue
in stores grew by 0.4%, while online had an
organic growth of 15.8% compared to Q4 2022/23.
The number of transactions increased by 48.4%
to 8.2 million compared to 5.5 million in Q4
2022/23, while the average basket size increased
by 14.6% to DKK 211 per transaction in the quarter
compared to DKK 182 in Q4 2022/23. The increase
in transactions and basket size were mainly
attributable to the acquisition of KICKS. The
organic number of transactions decreased by
1.3% to 5.5 million in Q4 2023/24 but the organic
average basket size increased by 5.1% to DKK 196
per transaction in Q4 2023/24 compared to the
year earlier period.
Full-year performance
Revenue for 2023/24 amounted to DKK 6,701
million corresponding to an increase of 49.3%
compared to 2022/23, while organic sales grew by
7.8%. Revenue was up across all sales channels.
In 2023/24 the number of transactions increased
by 37.8% to 31.9 million, while the average basket
size grew 9.1% to DKK 206. The increase was
mainly attributable to the KICKS transaction. The
organic number of transactions increased by 5.3%
to 24.4 million in 2023/24 and the organic average
basket size increased by 2.5% to DKK 194 per
transaction in 2023/24 compared to 2022/23.
(DKKm)
Matas incl.
KICKS 7 months
2023/24 2022/23 Growth
Q4
2023/24
Q4
2022/23 Growth
Categories
High-End Beauty 3,064 1,561 96.3% 835 310 169.6%
Mass Beauty 2,056 1,536 33.8% 512 362 41.3%
Health and Wellbeing 1,346 1,157 16.3% 353 313 12.6%
Other 123 126 (2.7)% 27 30 (8.2)%
Retail revenue 6,589 4,380 50.4% 1,727 1,015 70.0%
Retail revenue by category (%)
High-End Beauty 47% 36% 48% 30%
Mass Beauty 31% 35% 30% 36%
Health and Wellbeing 20% 26% 20% 31%
Other 2% 3% 2% 3%
Sales channels
Physical stores 4,522 3,175 42.4% 1,178 707 66.7%
Online 2,067 1,205 71.5% 549 309 77.9%
Wholesale 112 109 2.9% 31 35 (13.4)%
Total revenue 6,701 4,489 49.3% 1,758 1,051 67.3%
Revenue by sales channel (%)
Physical stores 67% 71% 67% 67%
Online 31% 27% 31% 30%
Wholesale 2% 2% 2% 3%
Annual Report 2023/24
27
Performance by category
Both High-End and Mass Beauty reported signif-
icantly higher sales in Q4 2023/24 compared
to Q4 2022/23 mainly due to the acquisition of
KICKS. The Beauty segment accounted for 78%
of the retail revenue, compared to 66% in Q4
2022/23.
Health and Wellbeing was the primary growth
driver in Q4 2023/24 with 12.5% growth when
looking at the organic performance. Sales of
special skincare and Mother and child products
recorded ongoing significant growth during the
quarter.
Private label sales, including Nilens Jord and Miild,
accounted for 18.3% of the revenue generated by
Matas stores and matas.dk in Q4 2023/24, same
level as Q4 2022/23.
In 2023/24, the Beauty categories had the highest
absolute growth of DKK 2,023 million partly due
to the acquisition of KICKS. Organically, Health
and Wellbeing was the primary growth driver in
2023/24, with 16.1% growth. Matas private label
sales accounted for 17.3% of the revenue gener-
ated by Matas stores and matas.dk in 2023/24,
same level as 2022/23.
Performance by sales channel
Physical stores grew revenue by 66.7% or DKK
471 million to DKK 1,178 million in Q4 2023/24
compared to Q4 2022/23. Organic revenue
increased by 0.4% in stores. The number of Matas
stores at 31 March 2024 amounted to 264, a year-
on-year increase of four, while KICKS added 227
physical stores at 31 March 2024.
Online sales were up by 77.9% or DKK 240 million
to DKK 549 million. The organic online business
grew 15.8%. Overall, online sales accounted for
31% of Q4 2023/24 revenue against 29% in Q4
2022/23.
In Q4 2023/24 wholesale fell by DKK 4 million to
DKK 31 million.
Revenue for 2023/24 amounted to DKK 6,701
million, an increase of 49.3% from the year earlier
period. Physical stores grew revenue by 42.4%,
while online sales were up by 71.5%. The increase
was mainly attributable to the KICKS transaction.
Wholesale reported revenue growth of DKK 3
million to DKK 112 million in 2023/24.
Annual Report 2023/24
28
Categories
Matas is characterised by its wide assortment of beauty, personal care, health,
wellbeing and problem-solving household products. This broad product range
creates a unique one-stop retail value proposition for the Group's customers
in the shape of four categories:
Sales channels
At 31 March 2024, Matas consisted of 264
physical stores – 263 stores in Denmark
and one on the Faroe Islands. In addition,
Matas has one associated store in Green-
land. KICKS added 227 physical stores
at 31 March 2024. 67% of Q4 2023/24
revenue was generated by the Group's
physical stores.
In addition, the Group was present online
through matas.dk, nilensjord.dk and
several web shops operated by Firtal.
KICKS is present online through kicks.
se/.no/.fi and skincity.com/se/no/fi. 31%
of consolidated revenue was generated
through Matas Group’s online channels.
Wholesale mainly consists of wholesale
from Web Sundhed, Grænn and interna-
tional wholesale of Matas’ house brands in
Germany. Wholesale accounted for 2% of
revenue for the year.
High-End Beauty
Luxury beauty products, including
cosmetics, skin and haircare prod-
ucts and fragrances.
Mass Beauty
Everyday beauty products and
personal care, including cosmetics,
skin and haircare products.
Health and Wellbeing
MediCare (OTC medicine and
nursing products). Vitamins,
minerals, health supplements,
specialty foods and herbal medic-
inal products. Sports, nutrition and
exercise. Mother and child. Personal
care products (oral, foot and inti-
mate care and hair removal) and
special skincare.
Other
Clothing and accessories (footwear,
hair ornaments, jewellery, toilet
bags, etc.). House and gardening
(cleaning and maintenance, elec-
trical products, interior decoration
and textiles) and other.
Costs and operating performance
Gross profit for Q4 2023/24 amounted to DKK
845 million, up from DKK 498 million in Q4
2022/23. KICKS contributed with DKK 301 million
of the total rise of DKK 347 million.
The gross margin for Q4 2023/24 was 48.0%,
up from 47.5% in the year-earlier period due to
product mix.
Gross profit for 2023/24 amounted to DKK 3,078
million, up by DKK 1,002 million from DKK 2,076 in
2022/23. The gross margin was 45.9% down from
46.2%.
Other external costs and staff costs excluding
special items amounted to 37.0% of revenue in Q4
2023/24 against 32.2% the year before and were
up by DKK 312 million compared to Q4 2022/23.
Other external costs amounted to DKK 255 million
in Q4 2023/24, up by DKK 124 million from DKK 131
million in Q4 2022/23. The increase was besides
the KICKS addition mainly driven by higher IT
costs related to the ongoing digitalisation of the
Group’s activities, execution of the Growing Matas
assortment expansion and KICKS’ and Matas’
continuing digital growth.
Other external costs accounted for 14.5% of
revenue in Q4 2023/24 against 12.5% the year
before.
Annual Report 2023/24
29
The increase in other operating income, net was
mainly driven by income from merchandising and
promotions for suppliers in stores at KICKS and
insurance compensation at Matas.
Special items costs amounted to DKK 22 million
in Q4 2023/24 against zero million in Q4 2022/23.
Special items can be allocated to other external
costs/integration costs with KICKS of DKK 14
million, staff costs/integration costs with KICKS
of DKK 18 million and reversal of earn-out in Web
Sundhed income of DKK 10 million.
Special items, net amounted to DKK 102 million in
2023/24, up by DKK 97 million from DKK 5 million
in 2022/23.
The increase in special items costs came mainly
from the KICKS acquisition. Special items of
DKK 49 million related to the transaction, DKK
63 million related to integration of KICKS and
income DKK 10 million from reversal of earn-out
in Web Sundhed. Special items in 2022/23 of DKK
5 million was related to non-recurring costs in
connection with Matas celebration party.
EBITDA before special items came to DKK 204
million in Q4 2023/24 against DKK 161 million in Q4
2022/23 and EBITDA margin before special items
was 11.6%, against 15.4% in the year-earlier period.
Reported EBITDA came to DKK 182 million against
DKK 161 million in Q4 2022/23 and the EBITDA
margin was 10.3%, against 15.4% in the year-earlier
period.
For the financial year 2023/24, EBITDA before
special items amounted to DKK 1,006 million,
against DKK 809 million in 2022/23. The EBITDA
margin before special items was 15.0% against
18.0% in 2022/23. Reported EBITDA amounted
to DKK 904 million, against DKK 804 million in
2022/23. The EBITDA margin was 13.5% against
17.9% in 2022/23.
The reduction in the EBITDA margin was primarily
linked to the acquisition of KICKS.
Depreciation, amortisation,
and impairment
The total depreciation, amortisation and impair-
ment charges were up by DKK 55 million to DKK
166 million in Q4 2023/24 against DKK 111 million in
Q4 2022/23.
The total depreciation, amortisation and impair-
ment charges were up by DKK 144 million to DKK
525 million in 2023/24 against DKK 381 million in
2022/23, and the increase was mainly attributable
to KICKS.
Net financials
Net financial expenses were up by DKK 43 million
to an expense of DKK 58 million in Q4 2023/24,
against DKK 15 million in Q4 2022/23.
Net financial expenses were up by DKK 81 million
to DKK 131 million in 2023/24. The development is
(DKKm)
Q4
2023/24
Q4
2022/23 Growth
Other external costs 255 131 94.5%
As a percentage of revenue 14.5% 12.5%
Staff costs 395 207 90.7%
As a percentage of revenue 22.5% 19.7%
(DKKm)
12 M
2023/24
12M
2022/23 Growth
Other external costs 792 445 77.9%
As a percentage of revenue 11.8% 9.9%
Staff costs 1,299 825 57.4%
As a percentage of revenue 19.4% 18.4%
Other external costs amounted to DKK 792 million
in 2023/24, up by DKK 347 million from DKK 445
million in 2022/23.
Q4 2023/24 staff costs amounted to DKK 395
million, up by DKK 188 million from DKK 207 million
in the year-earlier period.
The increase in staff costs was besides the
KICKS addition related to the recruitment of new
competencies to execute the Growing Matas
Group strategy and as a result of the increased
online sales.
Staff costs accounted for 22.5% of revenue in Q4
2023/24 against 19.7% the year before.
Staff costs amounted to DKK 1,299 million in
2023/24, up from DKK 825 million in 2022/23.
On 31 March 2024, Matas Group had 2,931 full-
time employees, against 2,124 on 31 March 2023.
Other operating income, net amounted to DKK 10
million in Q4 2023/24, up by DKK 9 million from
DKK 1 million in Q4 2022/23 mainly driven by
compensation from insurance regarding business
interruptions related to a Matas store in Odense
which had a fire in December 2022.
Other operating income, net amounted to DKK 19
million in 2023/24, up by DKK 16 million from DKK 3
million in 2022/23.
Annual Report 2023/24
30
primarily due to the financing of the acquisition
of KICKS. In addition, there has been increased
interest rates on loans and lease obligations.
Profit for the period
Profit for the period was a loss of DKK 45 million
after tax, against a profit of DKK 18 million in Q4
2022/23. Adjusted profit after tax amounted to a
loss of DKK 3 million in Q4 2023/24 compared to a
profit of DKK 28 million in the year-earlier period.
For the financial year 2023/24 profit after tax
amounted to DKK 169 million against DKK 281
million in 2022/23. Adjusted profit after tax for
2023/24 amounted to DKK 302 million against
DKK 322 million in 2022/23.
Statement of financial position
Total assets amounted to DKK 8.668 million on
31 March 2024, up from DKK 6,280 million at 31
March 2023.
Non-current assets increased by DKK 1,267 million
to DKK 6,468 million.
Current assets totalled DKK 2,200 million, a year-
on-year rise of DKK 1,121 million.
Inventories amounted to DKK 1,864 million at
31 March 2024 which is an increase of DKK 952
million compared to the end of 2022/23, whereof
KICKS accounted for DKK 809 million. Inventories
accounted for 27.8% of LTM revenue at 31 March
2024 compared to 20.3% at 31 March 2023.
Excluding KICKS, inventories accounted for 21.8%
of LTM revenue.
Trade receivables increased by DKK 32 million to
DKK 76 million. KICKS accounted for DKK 31 million.
Trade payables increased by DKK 436 million year
on year. KICKS accounted for DKK 430 million.
Net working capital excluding deposits was posi-
tive by DKK 378 million at 31 March 2024 against
a positive amount of DKK 23 million at 31 March
2023 mainly due to the increase from KICKS
inventory.
Cash and cash equivalents amounted to DKK 131
million, up from DKK 37 million the year before.
Equity amounted to DKK 3,462 million at 31 March
2024, compared to DKK 3,363 million at 31 March
2023.
Net interest-bearing debt amaounted to DKK
3,140 million at 31 March 2024, a year-on-year
increase of DKK 1,498 million. Of this increase, DKK
559 million was attributable to higher lease liabil-
ities. The gearing ratio was 2.8 times LTM EBITDA
before special items.
Gross interest-bearing debt stood at DKK 3,272
million at 31 March 2024, including lease liabili-
ties of DKK 1,210 million. At 31 March 2023 gross
interest-bearing debt stood at DKK 1,679 million,
including lease liabilities of DKK 651 million.
At 31 March 2024, Matas A/S’ nominal share
capital consisted of 38,291,492 shares of DKK
2.50 each, corresponding to a share capital
of DKK 95,728,730. 210,000 treasury shares
were purchased for future long-term incentive
programmes and 185,442 shares were vested
in the period under review in connection with
the exercise of the 2020/21 long-term incentive
programme. Matas held 382,981 treasury shares
at 31 March 2024.
Statement of cash flows
Cash generated from operations was an outflow
of DKK 163 million in Q4 2023/24 against an
outflow of DKK 15 million in Q4 2022/23.
Cash generated from operations was an inflow
of DKK 728 million for the financial year 2023/24
against an inflow of DKK 742 million in 2022/23.
For Q4 2023/24, cash flows from investing activ-
ities were an outflow of DKK 121 million against an
outflow of DKK 73 million in Q4 2022/23.
For the financial year 2023/24, cash flows from
investing activities were an outflow of DKK 1,021
million including sale and acquisition of subsid-
iaries and operations against an outflow of DKK
256 million in 2022/23. The increase of DKK 761
million was mainly attributable to the acquisition
of KICKS Group AB with DKK 617 million.
The Q4 2023/24 free cash flow was an outflow of
DKK 356 million, compared to an outflow of DKK
119 million in Q4 2022/23.
For the financial year 2023/24 free cash flow was
an outflow of DKK 376 million, compared to an
inflow of DKK 422 million in 2022/23.
Return on invested capital
The return on LTM invested capital before tax
including goodwill was 11.3% at 31 March 2024
against 9.4% at 31 March 2023. ROIC before tax
excluding goodwill was 35.4% at 31 March 2024
against 45.0% at 31 March 2023.
Annual Report 2023/24
31
Matas results
Revenue
Matas, excluding KICKS, generated revenue of
DKK 4,840 million in 2023/24 and is closing in on
the DKK 5 billion revenue ambition for 2025/26
almost two years ahead of target. Organic growth
was 7.8%. The key drivers of growth were the
continued assortment expansion and continued
strong online growth. Matas launched ~300 new
brands in 2023/24.
Performance by category
Organically, Health and Wellbeing was the primary
growth driver in 2023/24, with 16.1% growth. Matas
private label sales accounted for 17.3% of the
Matas Net Promotor Score (NPS)
Matas, excluding KICKS, grew 7.8%
organically in 2023/24 and customer
satisfaction increased further.
2021/22
69
73
2022/23 2023/24
72
revenue generated by Matas stores and matas.dk
in 2023/24, same level as 2022/23. In March 2024,
the newest in-house brand, Flora Danica, was
launched as a high-end beauty brand. The first
products in this brand are fragrances, developed
by some of the world’s best perfumers.
Performance by channel
Online organic growth was 23.8%. Organic
revenue from stores grew 1.9%. Connected retail,
where stores offer customers access to the entire
online assortment, grew 25%. The number of
Matas stores at 31 March 2023 amounted to 264,
a year-on-year net increase of four stores.
Gross profit
Matas gross profit amounted to DKK 2,253 million.
The gross margin was 46.5%, compared to 46.2%
in 2022/23.
“Matas continued the growth journey
and launched ~300 new brands in
2023/24, while customer satisfaction
improved further”
Annual Report 2023/24
32
KICKS results
Revenue
KICKS generated revenue of DKK 1,861 million
during the seven months of ownership in 2023/24.
Revenue in local currency grew 1.6%.
Performance by category
77% of KICKS revenue was generated within the
High-End Beauty category and 23% in Mass
Beauty. KICKS is not present in the Health and
Wellbeing category.
KICKS revenue grew 1.6% in local
currency during the seven months of
ownership in 2023/24.
Performance by channel and markets
KICKS revenue grew in stores as well as in all three
geographical markets. KICKS had 227 physical
stores at 31 March 2024. 31% of KICKS revenue
was generated online.
Gross profit
KICKS delivered gross profit of DKK 825 million
during the seven months of ownership in 2023/24.
The gross margin was 44.4%, compared to 44.8%
in the same period 2022/23.
New automated logistics center
KICKS' new automated logistics center outside
of Stockholm handled first orders in Q3 2023
and ramped up volumes in Q4. The new logistics
center will strengthen fast and efficient deliveries
and contribute to reducing overall logistic costs.
“KICKS revenue grew
in stores as well as in
all three geographical
markets”
Annual Report 2023/24
33
Risk management
Matas Group works continually to identify, assess and respond to the risks
to which Matas Group is exposed. Changes to macroeconomic factors within
Matas Group’s geographical areas may affect Matas Group through changes
in overall retail demand, specifically in the health and beauty market, and by
supply chain disruptions.
Risk management is an integral part of Matas
Group’s management process, the objective
being to limit uncertainties and risks with respect
to the defined financial targets and strategic
objectives for Matas Group.
The Executive Committee is responsible for
preparing, implementing and maintaining control
and risk management systems subject to the
approval of the Board of Directors. Based on
reporting from the Executive Committee, the
Audit Committee continually monitors whether
the Company’s internal control and risk manage-
ment systems are effective and complied with,
and it also continually monitors the development
and handling of key risks.
The Board of Directors is provided with an over-
view of Matas Group’s key risks and their potential
impact on earnings at least once a year so that
any measures necessary to mitigate such risks
can be implemented.
Annual Report 2023/24
35
Risk management
Risk Description Mitigation
Macroeconomic
development
Matas Group operates in a discretionary consumer spending category and is
exposed to changes in the macroeconomic environment within Matas Group’s
geographical areas and general changes in consumer behaviour, which may
affect Matas Group’s business in terms of demand for health and beauty prod
-
ucts.
By actively monitoring the macroeconomic trends and changes in consumer
behaviour, as well as monitoring the daily sales trends in Matas Group, the
management can respond swiftly, for instance in case of sudden declines in
sales, by adjusting campaigns and other sales promoting initiatives.
Brand and product
liability
The Matas and KICKS brands and product liability are crucial for the Matas
Group to keep and attract customers, shareholders, and employees.
Continuously build and maintain brand awareness through commercial initia-
tives. Furthermore, Matas Group has developed a risk management policy and
procedures in case of potential claims related to product liabilities, including
personal injury claims, and has also taken out an insurance in this area.
Industry
developments
and international
competition
Matas Group is strongly exposed to the development in overall retail sales in
Denmark, Sweden, Norway and Finland, where we see a general shift towards
online channels.
Historically, Matas Group has competed with a large number of Danish retail
market players, including supermarkets, local perfumeries, health food shops,
pharmacies, department stores and travel retailers. As consumer behaviour
continues its shift toward online channels, competition from international
players has intensified, and Matas Group is currently facing increasing competi
-
tion from Nordic and international health, beauty and wellbeing web shops.
The growing online sales are supported by new ways of launching and marketing
brands and by new technology-driven options. Strategically, Matas Group aims
to bring its many assets into play in new ways to pursue the potential provided
by a stronger market position. It strives to do this by increasing its focus on
online sales, launching of marketing campaigns, leveraging the Club Matas and
KICKS loyalty programmes, developing the store network and enhancing the
customer experience.
Annual Report 2023/24
36
Risk management
Risk Description Mitigation
Cyber and IT security
Reliable IT systems and infrastructure are critical to Matas Group’s daily
operation.
M
atas Group has a modern, upgraded IT infrastructure focusing on data security
and protection of the Company’s and its customers’ data. Matas Group contin-
ually considers security issues and risks when choosing system solutions and
h
as established comprehensive safeguards to prevent data security breaches.
Matas Group is exposed to digital attacks and constantly seeks to improve its
cyber security. Matas Group pursues a highly segmented network structure
segregating data flows from stores, suppliers, employees and other business
partners. Matas Group continually monitors network traffic and performs regular
data backups.
Supply chain
disruption
A global supply chain disruption may cause delays or absence in delivery of
specific goods.
In order to meet any changes in terms of
delivery or reduced access to important
product categories, Matas Group deals with
a large number of different suppliers and
markets a broad range of different brands
within each product category.
Financial
risks
Matas Group is to some extent exposed to financial risks such as interest rate,
exchange rate, liquidity and credit risks.
Reference is made to note 31 to the consol-
idated financial statements for additional
i
nformation on the financial risks.
Annual Report 2023/24
37
Corporate governance
Exercising corporate governance is of the utmost importance
to Matas Group, and the Board of Directors evaluates the
Company's management processes at least once a year
to ensure that the structure is appropriate in relation to
shareholders and other stakeholders.
Corporate governance recommendations
Nasdaq Copenhagen has incorporated the
recommendations of the Danish Committee on
Corporate Governance in its Rules for Issuers of
Shares. These recommendations are available
at the website of the Committee on Corporate
Governance, matasgroup.com/governance/
Matas Group complies with all these recom-
mendations. The Company’s corporate govern-
ance statements are available at the Company's
website at matasgroup.com/governance/
Communicating with shareholders
and other stakeholders
Matas Group is committed to maintaining a
constructive dialogue and a high level of trans-
parency when communicating with share-
holders and other stakeholders to enable them
to exercise the highest possible level of active
ownership. The Board of Directors has adopted
a Communication and Stakeholder policy, an
Investor Relations policy and an ESG policy.
These policies are available on
matasgroup.com/governance/policies/
Annual Report 2023/24
38
All company announcements are published via
Nasdaq Copenhagen and can subsequently
be accessed from the Company’s website at
matasgroup.com/
The date of the Annual General Meeting (AGM)
and the deadline for submitting requests for
specific proposals to be included on the agenda
are announced not later than eight weeks before
the contemplated date of the Company’s AGM.
In accordance with the Articles of Association,
general meetings are convened by the Board of
Directors at not more than five weeks’ and not
less than three weeks’ notice. Notices convening
general meetings are posted on the Company’s
website at matasgroup.com/
Duties and responsibilities of
the Board of Directors
At Matas Group, management duties and respon-
sibilities are divided between the Company's
Board of Directors and Executive Committee.
No person is a member of both of these bodies,
and no member of the Board of Directors has
previously been a member of the Executive
Committee. Matas Group has Rules of Procedure
for the Board of Directors, which is reviewed and
approved by the Board of Directors.
The Board of Directors holds seven ordinary
board meetings plus a strategy seminar each
year and will further convene as required. In the
2023/24 financial year, eleven board meetings
and one strategy seminar were held. The Exec-
utive Committee is in charge of the day-to-day
management, while the Board of Directors super-
vises the work of the Executive Committee and
Annual Report 2023/24
39
is responsible for the overall management and
strategic direction.
In relation hereto, the Board of Directors every
year considers the Company’s overall strategy
and purpose to ensure continuous value creation.
The requirements for the Executive Committee’s
timely, accurate and adequate reporting to the
Board of Directors and for the communication
between these two corporate bodies are laid
down in the Rules of Procedure of the Executive
Committee, which are reviewed and approved by
the Board of Directors.
Election of members to the
Board of Directors
The Board of Directors consists of up to seven
members elected by the annual general meeting
for terms of one year. Board members are eligible
for re-election. The Board of Directors elects a
Chair and a Deputy Chair from among its own
members.
Composition of the Board of Directors
The members of the Board of Directors are a
group of experienced business professionals who
also represent diversity, international experience
and skills that are considered to be relevant
to Matas Group. All board members are inde-
pendent.
Once a year, in connection with the board evalu-
ation, the Board of Directors defines the qualifi-
cations, continuity, renewal, diversity and compe-
tencies the Board of Directors must possess in
order for the Board of Directors to best perform
Present
Absent
The board and committee meetings Board meetings Strategy seminar Audit Committee Nomination Committee Remuneration Committee 2023/24 total
Lars Vinge Frederiksen (Chair)
100% 100% 100% 100% 100%
Mette Maix
91% 100% 100% 100% 95%
Birgitte Nielsen
100% 100% 100% 100%
Henrik Taudorf Lorensen
100% 100% 100% 100% 100%
Kenneth Melchior
100% 100% 100% 100%
Malou Aamund
1)
86% 100% 100% 92%
Lars Jensen
2)
25% 50% 33%
2023/24 meetings 11 1 6 3 5
1) Joined the Board of Directors 29 June 2023
2) Resigned 29 June 2023
its tasks, taking into account the Company’s
current needs.
The Board of Directors evaluates its work on an
annual basis. The Chair of the Board is responsible
for the evaluation process, which in the financial
year 2023/24 included an external advisor to
give an independent view on the performance
and compositions of the Board of Directors. This
year, the evaluation process included a review
of competencies needed to support the Group
Strategy; a qualitative assessment and workshop
to further strengthen the cooperating between
board members; and 360-degree feedback
for each member. The evaluation process also
brought valuable input for selecting and nomi-
nating new candidates for the Board of Directors.
Overall, the evaluation concluded that the Board
of Directors is very well-functioning with a clear
plan to add relevant competencies.
The Board of Directors has set up three commit-
tees – an Audit Committee, a Nomination
Committee and a Remuneration Committee –
charged with assisting the Board of Directors in
its work.
Audit Committee
The Board of Directors has set up an Audit
Committee, the Chair of which is independent
and is skilled in accounting. The Audit Committee
is chaired by Birgitte Nielsen and also consists
of Kenneth Melchior and Malou Aamund. The
duties of the Audit Committee include monitoring
the financial reporting process, Matas Group’s
internal control and risk management systems,
Annual Report 2023/24
40
the organisation and efficiency of the accounting
function and the collaboration with the inde-
pendent auditors. The Audit Committee held six
meetings during the financial year 2023/24.
Nomination Committee
The Board of Directors has set up a Nomina-
tion Committee, which is chaired by Lars Vinge
Frederiksen and also consists of Mette Maix and
Henrik Taudorf Lorensen. The overall purpose of
the Nomination Committee is to help the Board
of Directors ensure that appropriate plans and
processes are in place for the nomination of
candidates to the Board of Directors and the
Executive Committee. The Nomination Committee
held three meetings during the financial year
2023/24.
Remuneration Committee
The Board of Directors has set up a Remunera-
tion Committee, which is chaired by Lars Vinge
Frederiksen and also consists of Mette Maix
and Henrik Taudorf Lorensen. The purpose of
the Remuneration Committee is to ensure that
Matas Group maintains a Remuneration Policy
for the members of the Board of Directors and
the Executive Committee and to assist with the
preparation of the Company’s annual Remunera-
tion Report.
The Remuneration Committee held five meetings
during the financial year 2023/24. The current
Remuneration Policy was approved at the Annual
General Meeting in June 2021. An updated Remu-
neration Policy is subject to approval at the
Annual General Meeting in June 2024. In addition,
the Remuneration Committee defined KPIs for the
remuneration of the Executive Committee and
followed up on these. Lastly, the Remuneration
Committee oversaw the preparation of a separate
Remuneration Report for 2023/24.
Remuneration of members of the Board of
Directors and the Executive Committee
The Board of Directors has adopted a Remuner-
ation Policy, which has been approved by the
general meeting.
The Remuneration Policy and the remuneration
paid to the Board of Directors and the Executive
Committee are detailed in the Company’s annual
Remuneration Report. Additional information may
be found in note 33 to the Consolidated finan-
cial statements and on the Company’s website,
matasgroup.com/
Internal controls and risk management in
relation to the financial reporting process
In order to ensure that the external financial
reporting is in accordance with IFRS and other
applicable rules, gives a true and fair view and
is free of material misstatement, a number of
internal control and risk management procedures
have been established for the financial reporting
process.
Annual Report 2023/24
41
Control environment
The Board of Directors sets the general frame-
work for internal controls and risk management
in Matas Group, while the Executive Committee
has the operational responsibility for establishing
efficient control and risk management in the
financial reporting. The Executive Committee
oversees that policies and working procedures in
connection with the financial reporting are appro-
priate to mitigate the risk of errors. The internal
controls are the responsibility of the individual
departments, and the accounting and controlling
functions are segregated.
The Audit Committee assists in monitoring the
financial reporting process. This includes an
annual evaluation of the efficiency of the risk
management and internal controls, including a
review of policies and working procedures and
an evaluation of staffing and qualifications in the
finance and IT organisations.
Each year, the Audit Committee assesses the
need for an internal audit department. Based on
the relatively low complexity of Matas Group,
the controlling function’s line of reference to the
Group CFO and the ongoing dialogue with the
auditors, it has, as yet, not been deemed neces-
sary to establish an internal audit department for
the Group.
Risk assessment
The Board of Directors and the Executive
Committee regularly assess the key risks involved
in the financial reporting based on a materiality
concept. This includes an evaluation of general
accounting policies and critical accounting
estimates and the related risk and sensitivity
assessment. The risk of fraud is also assessed.
For additional information on critical accounting
estimates, see note 2 to the consolidated finan-
cial statements.
Control activities
In order to monitor results, store performance,
financing and other risks, standardised monthly
reports following up on budgets and a number of
key performance indicators (KPIs) are prepared.
Interim financial statements are closed according
to a planned process which includes, among other
things, reconciliation of all material line items and
additional financial controls in order to identify
and eliminate any errors as early as possible. In
order to ensure segregation of duties, the Group
controlling function reports to Group CFO, not to
local Executive Management Teams.
In order to counter fraud in the stores, cash funds
are reconciled on a regular basis, and cash is
deposited with banks. Dual approval procedures
in connection with bank transfers have been set
up in the finance function.
Information and communication
Matas Group has established a standardised
process for external reporting to ensure that a
true and fair view is provided of its performance.
With regards to Matas Group’s internal rules on
inside information, the Company maintains an
open communication process which ensures
efficient control of its performance and finan-
cial reporting that provides a true and fair view.
Providing clarity for each employee with respect
to his or her role and relevant working procedures
is an important element of this.
Monitoring
Management conducts its ongoing monitoring
based on the monthly financial reporting, liquidity
analyses and KPI reports combined with a contin-
uous dialogue with the accounting and controlling
functions.
The Audit Committee monitors and reports to
the Board of Directors on the procedures for
the key line items and checks that the Execu-
tive Committee observes Group policies and
addresses any weaknesses. The external auditors
attend all Audit Committee meetings and at least
once a year without the Executive Committee and
report any material weaknesses in their long-form
audit report.
Matas Group has also established a whistleblower
scheme, through which breaches of laws and
regulations can be reported anonymously if the
person reporting a concern wishes to avoid using
the normal channels of communication. More
details on the whistleblower scheme can be found
in the section on ESG.
Matas Group has also established a Compli-
ance Steering Group, consisting of Group CFO
(Chair), Group General Counsel, EVP KICKS, EVP
Matas Denmark and the Director for CSR, HR
and Communication. The Compliance Steering
Group meets quarterly plus ad hoc if needed and
reports to the Executive Management Team.
Annual Report 2023/24
42
Lars Vinge Frederiksen
Chair
Mette Maix
Deputy Chair
Birgitte Nielsen
Board member
Born 1958, Danish nationality
Professional board member
Member of the Board of Directors since 2013
Re-elected in 2023
Chair of the Remuneration and Nomination Committees
Independent board member
Born 1969, Danish nationality
Professional board member
Member of the Board of Directors since 2017
Re-elected in 2023
Member of the Remuneration and Nomination Committees
Independent board member
Born 1963, Danish nationality
Professional board member
Member of the Board of Directors since 2013
Re-elected in 2023
Chair of the Audit Committee
Independent board member
Other
directorships
Member of the board of directors and of the remuneration and
nomination committees of Tate & Lyle PLC, London. He is chair
of the supervisory board of PAI Partners SA, Paris and chair of
the Danish Hearth Association (Hjerte foreningen).
Member of the board of directors of Aarstiderne A/S, Good
Food Group A/S, UNICEF Danmark and Danske Spil.
Member of the board of directors of Kirk Kapital A/S, Topsøe
Holding A/S and De Forenede Ejendomsselskaber A/S.
Expertise Special expertise in general management, strategic devel
-
opment and financial communication for listed international
companies as well as his expertise in corporate governance,
mergers and acquisitions and business development.
Special expertise in international sales, brand development and
retail, including omnichannel and physical retail, and experi-
ence in general management, ESG, digitalisation and strategic
development.
Special expertise in general management and strategic devel
-
opment, board experience, including extensive financial and
accounting expertise, and capital markets experience.
Board of Directors
Annual Report 2023/24
43
Board of Directors
Henrik Taudorf Lorensen
Board member
Kenneth Melchior
Board member
Malou Aamund
Board member
Born 1971, Danish nationality
Founder and CEO of TAKT A/S
Member of the Board of Directors since 2020
Re-elected in 2023
Member of the Remuneration and Nomination Committees
Independent board member
Born 1983, Danish nationality
Vice President, General Manager, Zalando Lounge
Member of the Board of Directors since 2021
Re-elected in 2023
Member of the Audit Committee
Independent board member
Born 1969, Danish nationality
Professional board member
Member of the Board of Directors since 2023
Elected in 2023
Member of the Audit Committee
Independent board member
Other
directorships
Member of the board of directors of Louisiana Museum of
Modern Art and Pongo Partners ApS and Director of TAKT A/S’
subsidiary TAKT Export ApS.
Member of the board of directors of Lex Deux ApS and member
of the board of directors of LCB ApS.
Member of the board of directors of DSV A/S, KIRKBI A/S,
WSAudiology A/S and LEGO Foundation.
Expertise Special expertise in strategy development, consumer and
corporate branding, ESG, internationalisation, and general
management for PE-backed and listed ownerships.
Special expertise in international retail, in-depth insights into
digital marketing, international knowledge of customer clubs
and loyalty programmes and experience in launching e-com
-
merce in several European markets.
Special expertise within cross-sector in digital transformation,
sustainability and cybersecurity, in both a PE-backed and
corporate context.
Annual Report 2023/24
44
Executive Committee
Gregers Wedell-Wedellsborg
Group CEO*
Per Johannesen Madsen
Group CFO*
Born 1972, Danish nationality
Group CEO at Matas since November 2017
Born 1968, Danish nationality
Group CFO at Matas since August 2022
Experience
and directorship
G
regers holds a MSc in political science from University of
Copenhagen and a MPA from Harvard University
• Group Executive Vice President, Coop Denmark
• Digital Director, TV 2 Denmark
• Management positions, Berlingske Media
• Consultant, Accenture
• Officer, Royal Danish Guard
• Board experience since 2012
Per holds a MSc in Business Administration Economics and
Auditing from Copenhagen Business School
• Group CFO, Scandlines
• Executive Vice President & CFO, Copenhagen Airport
• Senior Finance positions Nordic & Germany, The CocaCola
Company
• Auditor & Consultant, Arthur Andersen
* The Group CEO and Group CFO together consitute the Executive Committee.
Annual Report 2023/24
46
Executive Management Team
Lise Ryevad
EVP Matas
Carola Lundell
EVP KICKS
Brian Andersen
EVP Group Digital &
Loyalty
David Heeroma
EVP Group Operations
Alice Wassard
EVP Group Commercial
Born 1970, Danish nationality
EVP at Matas since September
2023
Born 1974, Swedish nationality
EVP at KICKS since September 2023
Born 1975, Danish nationality
EVP Group Digital & Loyalty since
April2024
Born 1984, Swedish nationality
EVP Group Operations since
September 2023
Born 1970, Danish nationality
EVP Commercial Matas Group since
April 2024
Experience
and directorship
Lise holds a bachelor’s degree in
Business Administration (BBA) from
South Bank University, London
and an Executive certificate from
Copenhagen Business School
• CCO at Matas since October 2018
• Director of Airport Sales, Copen
-
hagen Airports A/S
• Commercial Director, L’Oréal
Denmark
• Marketing Director, L’Oréal Paris
• Product Management positions
at Mars and Nestlé
• Board Experience since 2016
Carola holds a MSc in Business and
Administration from University of
Stockholm
• Chief Marketing Officer, KICKS
• Chief Commercial Officer,
Nelly.com
• Management positions, TV 4
• Head of Digital, Coop
• Vice President Digital, Electrolux
• Board experience since 2016
Brian holds a MSc in Human
Computer Interaction from Aarhus
School of Business
• E-commerce director at Matas
since January2018
• Head of E-commerce, The Masai
Clothing Company
• Director of coop.dk, Coop
Denmark
• Online Sales & Marketing
Manager, FDM Travel
• E-commerce Manager, Bon’ A
Parte
• Board experience since 2020
David holds a MSc in Industrial
Engineering from the Royal Institute
of Technology in Stockholm
• COO, CIO/CDO KICKS
• Board of Directors, Skincity
• Principalm Axholmen Consulting
• Consultant, Applied Value Group
Alice holds a MSc in Economics
and Business Administration from
Copenhagen Business School
• Head of procurement and
supplier relation Beauty and In
house brands Matas
• Management and Director posi
-
tions, Estee Lauder companies
• Management and Director posi
-
tions, LÓréal Nordic
• Board experience since 2020
Annual Report 2023/24
47
Share capital (DKK) 95,728,730
Number of shares
(of DKK 2.50) 3
8,291,492
Nominal value per
share DKK 2.50
Shares classes 1
Restrictions on
transferability and
voting rights None
Stock exchange Nasdaq Copenhagen
Trading symbol MATAS
ISIN code DK0060497295
Closing price at 31
March, 2023 DKK 84.20
Closing price at 31
March, 2024 DKK 117.00
Change in share price
during the financial year
+39%
Shareholder information
Matas A/S is listed on Nasdaq Copenhagen and is a component of
the OMX Copenhagen Mid Cap index.
Share capital
Matas A/S held 382,981 treasury shares at 31 March 2024 (358,423
at 31 March 2023). Treasury shares are held for the purpose of
cancelling shares bought back and meeting the obligations under
the long-term incentive program. In addition, treasury shares may
be used for deferred payment for acquisitions.
At 31 March 2024, Matas A/S’ market capitalisation was DKK 4.5
billion (31 March 2023: DKK 3.2 billion). The average daily turnover in
Matas A/S’ shares was DKK 8.8 million, an increase of 40% compared
DKK 6.3 million in 2022/23.
Authorisations relating to the share capital
At the Annual General Meeting held on 27 June 2019, the Board of
Directors was authorised as described below in relation to the share
capital.
• In the period until 1 April 2024, the Board of Directors is author-
ised to increase the Company's share capital in one or more
issues without pre-emption rights for the Company’s existing
shareholders by up to a nominal amount of DKK 9,570,000. The
capital increase must take place at market price and may be
effected by cash payment or as consideration for a full or partial
acquisition of business activities or other assets.
• In the period until 1 April 2024, the Board of Directors is author-
ised to increase the Company’s share capital in one or more
issues without pre-emption rights for the Company’s existing
shareholders by up to a nominal amount of DKK 1,000,000 in
connection with the issue of new shares for the benefit of the
Company’s employees and/or employees in its subsidiaries. The
new shares will be issued at a subscription price to be determined
by the Board of Directors that may be below the market price.
• New shares issued in pursuance of the above authorisations,
which are not to exceed a nominal amount of DKK 9,570,000,
must be issued to named holders and be registered in the name
of the holder in the Company’s register of shareholders, must be
fully paid up, must be negotiable instruments and must in every
respect carry the same rights as the existing shares. The Board
of Directors is authorised to lay down the terms and conditions
for capital increases pursuant to the above authorisations and to
make any such amendments to the Articles of Association as may
be required as a result of the Board of Directors’ exercise of the
said authorisations.
The Board of Directors is further authorised to purchase treasury
shares to the extent the Company’s holding of treasury shares at no
time exceeds 10% of the share capital. The purchase price must not
deviate by more than 10% from the listing price on Nasdaq Copen-
hagen at the time of the purchase. The authorisation is valid until 19
June 2024. The Board of Directors proposes that the authorisation be
renewed at the Annual General Meeting to be held on 19 June 2024.
Annual Report 2023/24
48
Financial calendar 2024/25
19 June 2024 Annual General Meeting for 2023/24
14 August 2024 Interim report – Q1 2024/25
15 November 2024 Interim report – Q2 2024/25
7 January 2025 Trading update for Q3 2024/25
5 February 2025 Interim report – Q3 2024/25
2 May 2025 Deadline for the Company’s share
-
holders to submit in writing requests
f
or specific proposals to be included
on the agenda for the Annual General
Meeting
23 May 2025 Annual Report 2024/25
16 June 2025 Annual General Meeting for 2024/25
Allocation of capital and dividend policy
Matas Group’s capital structure must always ensure the finan-
cial flexibility required to implement the strategic objectives
announced.
Matas has a long-term financial gearing ratio target of 2.0-3.0x,
measured as net interest-bearing debt to EBITDA before special
items. The financial gearing ratio may under exceptional circum-
stances temporarily exceed 3x on a quarterly basis.
Distributions by way of dividends and share buybacks are expected
to amount to at least 20% of adjusted profit after tax, subject to
gearing target and near-term risk and opportunities.
Ownership
During the financial year 2023/24, Matas’ shareholder base grew
by 4% to 21,414 registered shareholders. The proportion of shares
held by Danish shareholders was 65%, compared to 66% in the
preceding year.
Shareholders holding more than 5% of the share capital in Matas A/S
according to attest shareholding notifications are:
• Brightfolk A/S, Denmark (10.0%)
• ATP, Denmark (7.39%)
Dividend
The Board of Directors proposes that DKK 2.00 per share, equivalent
to 76.6 million and 25.4% of Matas Group’s adjusted profit after tax
for 2023/24, be distributed as dividends.
Investor relations website
Information about Matas A/S and its shares, share price, company
announcements, financial data, annual and interim reports,
investor presentations, financial calendar etc. can be found on
matasgroup.com/
Investor relations
It is the policy of Matas A/S to communicate precisely, actively and
in a timely manner to its stakeholders in the financial markets in
order to ensure that all investors have equal and adequate access
to relevant information as a basis for trading in and pricing of the
Company’s shares. This is done taking into account the rules and
legislation applicable to companies listed on Nasdaq Copenhagen.
For further details on our investor relations policy, please visit
matasgroup.com/
At 31 March 2024, Matas A/S is covered by four equity analysts. For
a full list of analysts, please see matasgroup.com/
Annual Report 2023/24
49
Executive Committee
Board of Directors
Annual Report 2023/24
52
Independent auditor's report
Report on the audit of the
Financial Statements
Annual Report 2023/24
53
Annual Report 2023/24
54
Annual Report 2023/24
55
CVR no 33 7 7 12 31
Annual Report 2023/24
56
Consolidated financial statements
Consolidated
financial statements
58 Statement of comprehensive income →
59 Statement of cash flows →
60 Statement of financial position →
61 Statement of changes in equity →
63 Summary of notes to
the financial statements →
64 Notes to the financial statements →
93 Matas Group →
Annual Report 2023/24
57
Statement of comprehensive income
for the year ended 31 March
(DKKm) Note 2023/24 2022/23
Revenue 3, 4 6,701 4,489
Cost of goods sold 5 (3,623 ) (2,413 )
Gross profit 3,078 2,076
Other external costs 6 (792 ) (445 )
Staff costs 7 (1,299 ) (825 )
Other operating income and expenses, net 19 3
EBITDA before special items 1,006 809
Special items 6, 8 (102 ) (5 )
EBITDA 904 804
Depreciation, amortisation and impairment 9, 32 (525 ) (381 )
EBIT 379 423
Share of profit or loss after tax of associates 10 1 (5 )
Financial income 11 12 1
Financial expenses 12 (144 ) (46 )
Profit before tax 248 373
Tax on profit for the year 13 (79 ) (92 )
Profit for the year 169 281
(DKKm) Note 2023/24 2022/23
Other comprehensive income
Currency adjustment of foreign entities and loan 21 -
Tax on currency adjustment of foreign entities and loan (4 ) -
Other comprehensive income after tax 17 -
Total comprehensive income for the year 186 281
Distributed as follows:
Shareholders of Matas A/S 186 281
Minority shareholders - -
Earnings per share:
Earnings per share, DKK 14 4.45 7.41
Diluted earnings per share, DKK 14 4.43 7.37
Annual Report 2023/24 Consolidated financial statement
58
Statement of cash flows
for the year ended 31 March
(DKKm) Note 2023/24 2022/23
Profit before tax 248 373
Depreciation, amortisation and impairment 9 525 381
Share of profit or loss after tax of associates 10 (1 ) 5
Financial income 11 (12 ) (1 )
Financial expenses 12 144 46
Other non-cash operating items, net 11 8
Cash generated from operations before changes in working capital 915 812
Changes in working capital 28 (187 ) (70 )
Cash generated from operations 728 742
Corporation tax paid (83 ) (64 )
Cash flow from operating activities 645 678
Acquisition of intangible assets 16 (155 ) (162 )
Acquisition of property, plant and equipment 18 (251 ) (92 )
Sale of subsidiaries 2 -
Acquisition of subdisiaries and operations 29 (617 ) (2 )
Cash flow from investing activities (1,021 ) (256 )
Free cash flow excluding sale and acquisition of subdisiaries and
operations 239 424
Free cash flow (376 ) 422
(DKKm) Note 2023/24 2022/23
Raising of loans with credit institutions 26 1,121 -
Repayment of loans with credit institutions (189 ) (126 )
Repayment of lease liabilities 32 (289 ) (172 )
Interest received 11 4 1
Interest paid 12 (84 ) (40 )
Dividend paid (76 ) (76 )
Acquisition of treasury shares (21 ) -
Cash flow from financing activities 466 (413 )
Net cash flow from operating, investing and financing activities 90 9
Currency adjustment 4 -
Cash and cash equivalents, beginning of period 37 28
Cash and cash equivalents, end of period 131 37
The above cannot be derived directly from the statement of comprehensive income and the statement of finan
-
cial position.
Annual Report 2023/24 Consolidated financial statement
59
Statement of financial position
at 31 March
(DKKm) Note 2024 2023
ASSETS
Non-current assets
Goodwill 16, 17 4,096 3,999
Trademarks and trade names 16 184 58
Software 16 258 151
Other intangible assets 16 132 85
Total intangible assets 4,670 4,293
Lease assets 32 1,157 622
Land and buildings 18 108 88
Other fixtures and fittings, tools and equipment 18 89 65
Leasehold improvements 18 208 27
Plant in progress 18 170 60
Total property, plant and equipment 1,732 862
Investments in associates 10 1 1
Deferred tax 23 17 -
Deposits 47 44
Other securities and investments 1 1
Total other non-current assets 66 46
Total non-current assets 6,468 5,201
Current assets
Inventories 20 1,864 912
Trade receivables 21 76 44
Corporation tax receivable 17 20
Other receivables 38 25
Prepayments 74 41
Cash and cash equivalents 131 37
Total current assets 2,200 1,079
Total assets 8,668 6,280
(DKKm) Note 2024 2023
EQUITY AND LIABILITIES
Equity
Share capital 22 96 96
Translation reserve 17 -
Treasury share reserve (43 ) (44 )
Retained earnings 3,315 3,234
Dividend proposed for the financial year 15 76 76
Equity, shareholders in Matas A/S 3,461 3,362
Non-controlling interests 1 1
Total equity 3,462 3,363
Liabilities
Deferred tax 23 227 199
Lease liabilities 32 850 462
Provisions 25 28 28
Credit institutions, non-current 26 2,007 918
Other payables 27 5 13
Total non-current liabilities 3,117 1,620
Credit institutions, current 26 55 110
Lease liabilities 32 360 189
Provisions 25 19 2
Prepayments from customers 24 221 161
Trade payables 1,070 634
Other payables 27 364 201
Total current liabilities 2,089 1,297
Total liabilities 5,206 2,917
Total equity and liabilities 8,668 6,280
Annual Report 2023/24 Consolidated financial statement
60
Statement of changes in equity
at 31 March
(DKKm)
Share
capital
Translation
reserve
Treasury
share
reserve
Proposed
dividend
Retained
earnings Total
Non-
controlling
interests
Total
equity
Equity at 1 April 2023 96 - (44 ) 76 3,234 3,362 1 3,363
Currency adjustment of foreign entities and
loan - 21 - - - 21 - 21
Tax on currency adjustment of foreign entities
and loan (4 ) (4 ) (4 )
Other comprehensive income - 17 - - - 17 - 17
Profit for the year - - - 76 93 169 - 169
Total comprehensive income - 17 - 76 93 186 - 186
Transactions with owners
Dividend paid - - - (76 ) - (76 ) - (76 )
Dividend on treasury shares - - - - - - - -
Exercise of LTIP - - 23 - (23 ) - - -
Acquired for future LTIP - - (22 ) - - (22 ) - (22 )
Share-based payment after tax - - - - 11 11 - 11
Total transactions with owners - - 1 (76 ) (12 ) (87 ) - (87 )
Equity at 31 March 2024 96 17 (43 ) 76 3,315 3,461 1 3,462
Annual Report 2023/24 Consolidated financial statement
61
Statement of changes in equity
at 31 March
(DKKm)
Share
capital
Translation
reserve
Treasury
share
reserve
Proposed
dividend
Retained
earnings Total
Non-
controlling
interests
Total
equity
Equity at 1 April 2022 96 - (76 ) 76 3,055 3,151 1 3,152
Other comprehensive income - - - - - - - -
Profit for the year - - - 76 205 281 - 281
Total comprehensive income - - - 76 205 281 - 281
Transactions with owners
Dividend paid - - - (76 ) - (76 ) - (76 )
Dividend on treasury shares - - - - - - - -
Exercise of LTIP - - 32 - (32 ) - - -
Share-based payment after tax - - - - 6 6 - 6
Total transactions with owners - - 32 (76 ) (26 ) (70 ) - (70 )
Equity at 31 March 2023 96 - (44 ) 76 3,234 3,362 1 3,363
Annual Report 2023/24 Consolidated financial statement
62
Summary of notes to the financial statements
Note 1 Accounting policies 64
Note 2 Significant accounting estimates,
assumptions and judgments 70
Note 3 Segment information 71
Note 4 Revenue 72
Note 5 Cost of goods sold, etc. 73
Note 6 Fees to the auditors appointed by
the shareholders in general meeting 73
Note 7 Staff costs 74
Note 8 Special items 74
Note 9 Depreciation, amortisation and impairment 75
Note 10 Share of profit or loss after tax of associates 75
Note 11 Financial income 75
Note 12 Financial expenses 75
Note 13 Tax 76
Note 14 Earnings per share 76
Note 15 Dividend per share 76
Note 16 Intangible assets 77
Note 17 Impairment testing 77
Note 18 Property, plant and equipment 79
Note 19 Treasury shares 80
Note 20 Inventories 80
Note 21 Trade receivables 80
Note 22 Equity 81
Note 23 Deferred tax 81
Note 24 Prepayments from customers 82
Note 25 Provisions 82
Note 26 Amounts owed to credit institutions 83
Note 27 Other payables 83
Note 28 Changes in working capital 84
Note 29 Acquisition of subsidiaries and contingent
consideration 84
Note 30 Contingent liabilities and security 86
Note 31 Financial risks and financial instruments 86
Note 32 Leases 88
Note 33 Management’s remuneration, share options
and shareholdings 89
Note 34 Related parties 92
Note 35 Events after the date of the statement
of financial position 92
Note 36 New financial reporting regulation 92
Annual Report 2023/24
63
Notes to the financial statements
Annual Report 2023/24 Consolidated financial statement
64
Notes to the financial statements
Note 1 – Accounting policies continued
Annual Report 2023/24 Consolidated financial statement
65
Notes to the financial statements
Note 1 – Accounting policies continued
Annual Report 2023/24 Consolidated financial statement
66
Notes to the financial statements
Note 1 – Accounting policies continued
Annual Report 2023/24 Consolidated financial statement
67
Notes to the financial statements
Note 1 – Accounting policies continued
Annual Report 2023/24 Consolidated financial statement
68
Notes to the financial statements
Note 1 – Accounting policies continued
Annual Report 2023/24 Consolidated financial statement
69
Notes to the financial statements
Note 1 – Accounting policies continued
Note 1 – Accounting policies continued
Annual Report 2023/24 Consolidated financial statement
70
Notes to the financial statements
Note 2 – Significant accounting estimates, assumptions and judgments
continued
Annual Report 2023/24 Consolidated financial statement
71
Notes to the financial statements
Annual Report 2023/24 Consolidated financial statement
72
Notes to the financial statements
Note 4 – Revenue continued
Annual Report 2023/24 Consolidated financial statement
73
Notes to the financial statements
Annual Report 2023/24 Consolidated financial statement
74
Notes to the financial statements
Annual Report 2023/24 Consolidated financial statement
75
Notes to the financial statements
Annual Report 2023/24 Consolidated financial statement
76
Notes to the financial statements
Annual Report 2023/24 Consolidated financial statement
77
Notes to the financial statements
Note 17 – Impairment testing continued
Annual Report 2023/24 Consolidated financial statement
78
Notes to the financial statements
Note 17 – Impairment testing continued
Annual Report 2023/24 Consolidated financial statement
79
Notes to the financial statements
Annual Report 2023/24 Consolidated financial statement
80
Notes to the financial statements
Annual Report 2023/24 Consolidated financial statement
81
Notes to the financial statements
Note 23 – Deferred tax continued
Annual Report 2023/24 Consolidated financial statement
82
Notes to the financial statements
Annual Report 2023/24 Consolidated financial statement
83
Notes to the financial statements
Annual Report 2023/24 Consolidated financial statement
84
Notes to the financial statements
Note 29 – Acquisition of subsidiaries and contingent consideration continued
1
1
Annual Report 2023/24 Consolidated financial statement
85
Notes to the financial statements
Note 29 – Acquisition of subsidiaries and contingent consideration
continued
Note 31 – Financial risks and financial instruments continued
Annual Report 2023/24 Consolidated financial statement
86
Notes to the financial statements
Note 31 – Financial risks and financial instruments continued
Annual Report 2023/24 Consolidated financial statement
87
Notes to the financial statementsNotes to the financial statements
Note 31 – Financial risks and financial instruments continued
Annual Report 2023/24 Consolidated financial statement
88
Notes to the financial statements
Annual Report 2023/24 Consolidated financial statement
89
Notes to the financial statements
Note 33 – Management’s remuneration, share options and shareholdings continued
Annual Report 2023/24 Consolidated financial statement
90
Notes to the financial statements
Note 33 – Management’s remuneration, share options and shareholdings continued
Annual Report 2023/24 Consolidated financial statement
91
Notes to the financial statements
Annual Report 2023/24 Consolidated financial statement
92
* Companies not audited by PWC.
Annual Report 2023/24 Consolidated financial statement
93
Parent company financial statements
Parent company
financial statements
95 Statement of comprehensive income →
95 Statement of cash flows →
96 Statement of financial position →
97 Statement of changes in equity →
98 Summary of notes to
the financial statements →
99 Notes to the financial statements →
Annual Report 2023/24
94
Statement of
comprehensive income
for the year ended 31 March
(DKKm) Note 2023/24 2022/23
Other operating income 3 10 10
Other external costs 16 (3) (3)
Staff costs 4 (29) (22)
EBIT before special items (22) (15)
Special items 5 (8) -
EBIT (30) (15)
Financial income 6 1 -
Financial expenses 7 (4) (5)
Profit/loss before tax (33) (20)
Tax on profit/loss for the year 8 5 3
Profit/loss for the year (28) (18)
Other comprehensive income
Other comprehensive income after tax - -
Total comprehensive income for the year (28) (18)
Proposed appropriation of profit
Proposed dividend: DKK 2.00 per share (2022/23: DKK 2.00 per share) 76 76
Retained earnings (104) (94)
Total (28) (18)
(DKKm) Note 2023/24 2022/23
Profit/loss before tax (33) (20)
Financial income (1) -
Financial expenses 7 4 5
Non-cash operating items, etc. 8 8
Cash generated from operations before changes in working capital (22) (7)
Changes in working capital 11 1 1
Cash generated from operations (21) (7)
Corporation tax paid (83) (64)
Cash flow from operating activities (104) (71)
Change in receivables from Group entities - -
Acquisition of subsidiaries and operations (5) -
Cash flow from investing activities (5) -
Free cash flow (109) (71)
Dividend paid (76) (76)
Share buyback programme (21) -
Interest paid (4) (5)
Debt raised/settled with Group entities 210 152
Cash flow from financing activities 109 71
Net cash flow from operating, investing and financing activities - -
Cash and cash equivalents, beginning of period - -
Cash and cash equivalents, end of period - -
The above cannot be derived directly from the statement of comprehensive income and the statement of
financial position.
Statement of
cash flows
for the year ended 31 March
Annual Report 2023/24
95
Parent company financial statements
Statement of financial position
at 31 March
(DKKm) Note 2024 2023
ASSETS
Non-current assets
Investments in subsidiaries 9 2,041 2,036
Deferred tax assets 8 5 5
Total non-current assets 2,046 2,041
Current assets
Receivables from Group entities 13 - -
Corporation tax receivable 8 119 28
Other receivables - -
Total current assets 119 28
Total assets 2,165 2,069
(DKKm) Note 2024 2023
EQUITY AND LIABILITIES
Equity
Share capital 10 96 96
Treasury share reserve (43) (44)
Retained earnings 1,611 1,727
Dividend proposed for the financial year 76 76
Total equity 1,740 1,855
Liabilities
Payables to Group entities 423 213
Trade payables 13 2 1
Total current liabilities 425 214
Total liabilities 425 214
Total equity and liabilities 2,165 2,069
Annual Report 2023/24
96
Parent company financial statements
Statement of changes in equity
at 31 March
(DKKm)
Share
capital
Treasury
share
reserve
Proposed
dividend
Retained
earnings Total
Equity at 1 April 2023 96 (44) 76 1,727 1,855
Other comprehensive income - - - - -
Profit/loss for the year - - 76 (104) (28)
Total comprehensive income - - 76 (104) (28)
Transactions with owners
Dividend paid - - (76) - (76)
Dividend on treasury shares - - - - -
Exercise of LTIP - 23 (23) -
Acquired for future LTIP - (22) - (22)
Share-based payment after tax - - 11 11
Total transactions with owners - 1 (76) (12) (87)
Equity at 31 March 2024 96 (43) 76 1,611 1,740
Equity at 1 April 2022 96 (76) 76 1,847 1,943
Other comprehensive income - - - - -
Profit/loss for the year - - 76 (94) (18)
Total comprehensive income - - 76 (94) (18)
Transactions with owners
Dividend paid - - (76) - (76)
Dividend on treasury shares - - - - -
Exercise of LTIP - 32 - (32) -
Share-based payment after tax - - - 6 6
Total transactions with owners - 32 (76) (26) (70)
Equity at 31 March 2023 96 (44) 76 1,727 1,855
Annual Report 2023/24
97
Parent company financial statements
Summary of notes to the financial statements
Note 1 Accounting policies 99
Note 2 Accounting estimates and judgments 100
Note 3 Other operating income 100
Note 4 Staff costs 100
Note 5 Special items 100
Note 6 Financial income 100
Note 7 Financial expenses 101
Note 8 Tax 101
Note 9 Investments in subsidiaries 101
Note 10 Equity and treasury shares 101
Note 11 Changes in working capital 102
Note 12 Contingent liabilities and security 102
Note 13 Financial risks and financial instruments 103
Note 14 Related parties 104
Note 15 New standards and interpretations 104
Note 16 Fees to the auditors appointed by
the shareholders in general meeting 104
Annual Report 2023/24
98
Parent company financial statements
Notes to the financial statements
Note 1 – Accounting policies
The separate financial statements of the Parent Company are incorporated in the Annual Reports. The Danish
Financial Statements Act requires separate parent company financial statements for companies reporting under
IFRS.
The financial statements of the Parent Company are prepared in accordance with IFRS Accounting Standards as
adopted by the EU and further requirements in the Danish Financial Statements Act.
The accounting policies are consistent with those of last year.
Description of accounting policies
The Parent Company's accounting policies differ from the accounting policies applied in the consolidated financial
statements (see note 1 to the consolidated financial statements) in the following respects:
Other operating income
Other operating income consist of management fees from subsidiaries.
Financial income
Dividend in subsidiaries is recognised in the Parent Company's statement of comprehensive income in the finan
-
cial year in which the dividend is declared. An impairment test is performed if more than the comprehensive
income of a subsidiary is distributed.
Investments in subsidiaries
Investments in subsidiaries are measured at cost in the Parent Company's financial statements. Cost includes the
purchase consideration calculated at fair value plus direct acquisition costs.
If there is an indication of impairment, an impairment test is performed as described in the accounting policies
applied in the consolidated financial statements. Where the carrying amount exceeds the recoverable amount,
the investment is written down to this lower value.
When distributing other reserves than retained earnings in subsidiaries, the distribution reduces the cost of the
investments if the distribution is in the nature of a repayment of the Parent Company's investment.
Tax
Matas A/S is subject to the Danish rules on compulsory joint taxation of the Group's Danish subsidiaries. Matas
A/S is the administration company in respect of the joint taxation and accordingly settles all corporation taxes
with the tax authorities. Joint taxation contributions to/from subsidiaries are recognised under tax on the profit
for the year. Tax payable and tax receivable are recognised under current assets/liabilities. Joint taxation contri
-
butions payable and receivable are recognised in the statement of financial position under receivables from and
payables to Group entities.
Companies using the tax losses of other entities pay a joint taxation contribution to the Parent Company at an
amount corresponding to the tax base of the tax losses used. Companies whose tax losses are used by other
entities receive joint taxation contributions from the Parent Company corresponding to the tax base of the losses
used (full distribution).
Matas has applied the exception to recognise and disclose information about deferred tax in the OECD/ EU Pillar
Two Model Rules and their local implementation.
Annual Report 2023/24
99
Parent company financial statements
Notes to the financial statements
Note 2 – Accounting estimates and judgments
Estimation uncertainty
The determination of the carrying amount of certain assets and liabilities requires estimates as to how future
events will affect the value of such assets and liabilities at the date of the statement of financial position. Esti
-
mates material to the Parent Company's financial reporting are made, inter alia, by reviewing investments in
subsidiaries for impairment.
The estimates used are based on assumptions which Management believes to be reliable, but which are inherently
subject to uncertainty. Such assumptions may be incomplete or inaccurate, and unexpected events or circum
-
stances may arise. Furthermore, the Company is subject to risks and uncertainties that may cause the actual
results to differ from these estimates. The financial risks affecting the Matas Group are described in note 2 and
note 17 to the consolidated financial statements.
The notes to the financial statements comprise disclosures on assumptions of future events and other estimation
uncertainties at the date of the statement of financial position involving a considerable risk of changes that could
lead to a material adjustment of the carrying amount of assets or liabilities in the coming financial year.
Note 3 – Other operating income
(DKKm) 2023/24 2022/23
Management fee from Group entities 10 10
Total 10 10
Note 4 – Staff costs
Remuneration of the Parent Company's Board of Directors and Executive Committee is recognised in profit or loss.
Fees to the Board of Directors are recognised in the amount of DKK 3 million (2022/23: DKK 3 million).
The remuneration of the Executive Committee is recognised in profit or loss in the amount of DKK 19 million
(2022/23: DKK 11 million).
Share-based payment is recognised in the amount of DKK 11 million (2022/23: DKK 8 million) for the Executive
Committee and other executives.
Average number of FTEs is 2 (2022/23: 2).
For additional information on remuneration of the Board of Directors and the Executive Committee, see note 33 to
the consolidated financial statements.
Note 5 – Special items
(DKKm) 2023/24 2022/23
Costs related to the acquisitions of KICKS Group AB:
Transaction costs 8 -
Total special items 8 -
Special items relate to staff costs in the income statement.
Note 6 – Financial income
(DKKm) 2023/24 2022/23
Interest, Group entities 1 -
Total financial income 1 -
Annual Report 2023/24
100
Parent company financial statements
Notes to the financial statements
Note 7 – Financial expenses
(DKKm) 2023/24 2022/23
Interest, Group entities 4 5
Total financial expenses 4 5
Note 8 – Tax
(DKKm) 2023/24 2022/23
Tax on the profit/loss for the year breaks down as follows:
Tax on the profit/loss for the year (5) (3)
Total (5) (3)
Tax on the profit/loss for the year has been calculated as follows:
Joint taxation contributions (6) (5)
Deferred tax - 2
Prior-year tax adjustment 1 1
Total (5) (3)
Tax on the profit/loss for the year is explained as follows:
Computed 22.0% tax on profit/loss before tax (7) (5)
Interest expense limitation - 1
Cash settlement of LTIP 2020/21 through equity - (1)
Provisions - 1
Other 2 2
Total (5) (3)
Effective tax rate (15.2)% (12.7)%
Deferred tax assets as of 31 March 2024 are recognised by DKK 5 million (2022/23: DKK 5 million) regarding Matas
Group share-based payments (PSUs). The change in the deferred tax assets in 2023/24 of DKK zero million is
recognised in the income statement (2022/23: DKK 2 million).
Note 9 – Investments in subsidiaries
(DKKm) 2023/24 2022/23
Cost at 1 April 2,036 2,036
Addition of Matas Sverige AB 5
Carrying amount at 31 March 2,041 2,036
The Company's equity investment in Matas Operations A/S was 100% at 31 March 2023 (31 March 2022: ownership
interest 100%). In agreement with subsidiary Matas Operations A/S, Matas A/S acquired Matas Sverige AB for SEK 7
million on 28 August 2023.
Impairment test have been made with no indication for impairment.
Note 10 – Equity and treasury shares
Share capital
The nominal value of the share capital is DKK 95,728,730 divided into shares of DKK 2.50, equivalent to 38,291,492
shares and 38,291,492 votes. The shares are not divided into share classes.
Capital structure
The Company regularly assesses the need for adjustment of the capital structure. The capital is managed for the
Group as a whole.
The ratio of equity to total equity and liabilities was 80.4% at 31 March 2024 (31 March 2023: 89.3%).
Treasury shares
See note 19 to the consolidated financial statements.
Annual Report 2023/24
101
Parent company financial statements
Notes to the financial statements
Note 11 – Changes in working capital
(DKKm) 2023/24 2022/23
Change in receivables, prepayments and deferred income - 1
Change in trade payables and other payables 1 -
Total 1 1
(DKKm) 1 April 2023 Cash flows 31 March 2024
2023/24
Group entities (213) (210) (423)
Receivables/payables, financing activities (213) (210) (423)
(DKKm) 1 April 2022 Cash flows 31 March 2023
2022/23
Group entities (157) (56) (213)
Receivables/payables, financing activities (157) (56) (213)
Note 12 – Contingent liabilities and security
The Parent Company is jointly taxed with the other Danish companies of the Matas Group. As the administration
company, the Company has unlimited and joint and several liability with the other entities participating in the joint
taxation for Danish corporation tax payable by the jointly taxed entities. Corporation tax payable amounted to DKK
zero at 31 March 2024 (31 March 2023: DKK zero). Any adjustments to the taxable joint taxation income may cause
the Parent Company's liability to increase.
The Parent Company and a number of Matas Group's Danish subsidiaries are jointly and severally liable for the
joint registration of VAT.
Security
The Company has guaranteed all debt raised under the agreement with credit institutions.
Debts to credit institutions raised by the Company’s subsidiaries stood at DKK 2,065 million at 31 March 2024 (31
March 2023: DKK 1,030 million).
Annual Report 2023/24
102
Parent company financial statements
Notes to the financial statements
Note 13 – Financial risks and financial instruments
The Company has no activity and no direct foreign currency risks.
Liquidity risk
The Company has no material liquidity risk.
(DKKm)
Carrying
amount
Contractual
cash flows
Within
1 year
1 to 5
years
After 5
years
2023/24
Non-derivative
financial instruments
Trade payables 2 2 2 - -
31 March 2024 2 2 2 - -
2022/23
Non-derivative
financial instruments
Trade payables 1 1 1 - -
31 March 2023 1 1 1 - -
Maturity analysis assumptions
The maturity analysis is based on all undiscounted cash flows including estimated interest payments. The esti
-
mates of interest payments are based on current market conditions.
On the basis of the Company’s expectations regarding future operations and the Company’s current cash
resources, no significant liquidity risks have been identified.
Credit risk
The maximum credit risk related to financial assets corresponds to the values recognised in the statement of
financial position.
The Company has no material credit risk.
(DKKm)
Carrying
amount
2023/24
Fair value
2023/24
Carrying
amount
2022/23
Fair value
2022/23
Financial assets at amortised cost - - - -
Suppliers 2 2 1 1
Financial liabilities at amortised cost 2 2 1 1
Financial liabilities measured at amortised cost have a short credit period and are deemed to have a fair value that
is equivalent to the carrying amount.
Annual Report 2023/24
103
Parent company financial statements
Notes to the financial statements
Note 14 – Related parties
In addition to the disclosures in note 34 to the consolidated financial statements, the Parent Company's related
parties comprise subsidiaries, see note 9 to the parent company's financial statements.
Matas A/S is jointly taxed with its subsidiaries. Joint taxation contributions from subsidiaries amounted to DKK (7)
million in 2023/24 (2022/23: DKK (5) million).
Matas A/S has set up a management fee scheme with its subsidiaries, see note 3 to the Parent Companys financial
statements, and a cash pool scheme.
No other transactions were made during the year with members of the Board of Directors, members of the Execu
-
tive Committee, significant shareholders or other related parties with the exception of management remuneration.
For additional information, see note 4 to the Parent Company's financial statements and note 33 to the consoli
-
dated financial statements.
Note 15 – New standards and interpretations
The description in note 36 to the consolidated financial statements of new standards not yet in force also fully
covers the Parent Company.
Note 16 – Fees to the auditors appointed by the shareholders in
general meeting
(DKKm) 2023/24 2022/23
Audit 1 -
Other assurance engagements - -
Tax and VAT assistance - -
Other services - -
Total fees to auditors appointed by the shareholders in general meeting 1 -
Annual Report 2023/24
104
Parent company financial statements
Definitions of key financials
In the Annual Report, Matas applies the following non-GAAP measures:
Underlying (like-for-like)
revenue growth
Growth reported by retail stores included in two comparable periods
EBITDA Earnings before interest, tax, depreciation, amortisation and impairment
EBITDA margin EBITDA as a percentage of revenue
EBITDA before special items EBIT plus amortisation, depreciation and impairment losses plus specific costs/
income which Management does not consider part of normal operations
EBITDA margin before
special items
EBITDA margin before special items as a percentage of revenue
EBITA EBIT plus amortisation of trademarks and other intangible assets except software
plus any impairment losses in respect of goodwill and other intangible assets
plus specific costs/income which Management does not consider part of normal
operations
EBITA margin EBITA as a percentage of revenue
EBIT Earnings before interest and tax
EBIT margin EBIT as a percentage of revenue
Adjusted profit after tax Profit after tax for the year plus the tax-adjusted effect of amortisation of intan-
gible assets except software and impairment losses and special items which are
not considered part of normal operations
Adjusted earnings per share Adjusted profit after tax divided by average outstanding number of shares
Cash conversion EBITDA before special items plus change in net working capital less capital
expenditure divided by EBITDA before special items
Net financials The sum of financial income and financial expenses
Net working capital The sum of inventories, trade receivables, other receivables and prepayments
less the sum of prepayments from customers, trade payables and other current
liabilities
Free cash flow Cash flow from operating activities less net capital expenditure including acqui-
sitions of subsidiaries and operations
Free cash flow excluding sale of
and acquisitions of subsidiaries
and operations
Free cash flow before sale of subsidiaries and acquisition of subsidiaries and
operations
Net interest-bearing debt Debt to credit institutions and other interest-bearing debt less cash and cash
equivalents
Net interest-bearing debt to EBITDA
before special items (gearing)
Ratio of net interest-bearing debt at year-end to LTM EBITDA before special
items
Invested capital The sum of property, plant and equipment, intangible assets and net working
capital less parts of deferred tax
Return on invested capital (ROIC)
before tax, including goodwill
EBITA as a percentage of average invested capital
Return on invested capital (ROIC)
before tax, excluding goodwill
EBITA as a percentage of average invested capital excluding goodwill
Investments as a
percentage of revenue
The year’s addition of intangible assets and property, plant and equipment,
including acquisitions of subsidiaries and operations as a percentage of revenue
Average basket size Average DKK amount a customer spends per visit in the physical stores or web
shops, calculated by dividing total retail sales revenue by number of transactions.
The financial ratios shown in the list of key financials in the consolidated financial statements have been calculated in accordance with the guidelines of the Danish Finance Society.
Revenue growth Revenue for the year less last year's revenue/last year's revenue Diluted earnings per share Profit for the year attributable to shareholders of Matas A/S divided by diluted
average number of shares
Gross margin Gross profit as a percentage of revenue Dividend per share Proposed dividend per share
Earnings per share Profit for the year attributable to shareholders of Matas A/S divided by average
number of shares
Annual Report 2023/24 Consolidated financial statement
106
Interim financial highlights
2023/24 2022/23
(DKKm) Q4 Q3 Q2 Q1 Q4 Q3 Q2 Q1
Statement of comprehensive income
Revenue 1,758 2,508 1,285 1,150 1,051 1,396 989 1,054
Gross profit 845 1,115 596 522 498 642 455 481
EBITDA 182 404 138 180 161 296 160 187
EBIT 16 249 25 89 51 201 73 98
Net financials (58) (29) (21) (23) (15) (13) (13) (9)
Profit before tax (42) 220 4 66 36 188 60 89
Profit for the period (45) 163 2 49 18 147 47 69
Statement of financial position
Assets 8,668 8,879 8,625 6,378 6,280 6,149 6,111 6,055
Equity 3,462 3,527 3,364 3,337 3,363 3,345 3,196 3,147
Net working capital 378 (46) 261 (50) 23 (119) 48 32
Net interest-bearing debt 3,140 2,490 3,003 1,483 1,642 1,235 1,584 1,562
Statement of cash flows
Cash flow from operating activities (235) 702 (74) 252 (46) 434 146 144
Investments in tangible assets (75) (109) (51) (16) (14) (16) (48) (14)
Cash flow from investing activities (121) (142) (707) (51) (73) (51) (86) (46)
Free cashflow (356) 560 (781) 201 (119) 383 60 98
Acquisition of subsidiaries and operations 2 - (617) - - - (2) -
Free cash flow excluding acqusition of subsidiaries and operations (358) 560 (164) 201 (119) 383 62 98
Net cash flow from operating, investing and financing activities (282) 149 193 30 (95) 89 (3) 18
(Unaudited - part of management review)
Annual Report 2023/24 Consolidated financial statement
107
Interim financial highlights – continued
2023/24 2022/23
(DKKm) Q4 Q3 Q2 Q1 Q4 Q3 Q2 Q1
Key performance indicators
Number of transactions (millions) 8.2 11.1 6.6 6.0 5.5 6.8 5.4 5.5
Average basket size (DKK) 210.6 222.9 182.7 188.2 182.3 202.8 179.4 187.1
Total retail floor space (thousands of square metres) 105.2 104.9 104.1 53.7 53.3 53.7 53.5 53.5
Avg. revenue per square metre (DKK thousands) - LTM 79.7 83.3 82.7 83.6 81.9 80.6 80.3 79.9
Organic growth 4.4% 9.2% 8.0% 9.2% 8.3% 1.2% 1.6% 2.9%
Adjusted figures
EBITDA 182 404 138 180 161 296 160 187
Special items included in EBITDA 22 20 39 21 - - - 5
EBITDA before special items 204 424 177 201 161 296 160 192
Depreciation of property, plant and equipment (43) (136) (96) (81) (98) (82) (75) (78)
EBITA before special items 161 288 81 120 63 214 85 114
Adjusted profit after tax (13) 190 47 78 28 157 55 82
Gross margin 48.0% 44.5% 46.4% 45.4% 47.5% 46.0% 46.0% 45.6%
EBITDA margin 10.3% 16.1% 10.7% 15.6% 15.4% 21.2% 16.2% 17.7%
EBITDA margin before special items 11.6% 16.9% 13.8% 17.5% 15.4% 21.2% 16.2% 18.2%
EBITA margin 2.8% 11.5% 6.3% 10.4% 6.1% 15.3% 8.6% 10.8%
EBIT margin 0.9% 9.9% 1.9% 7.7% 4.8% 14.4% 7.4% 9.3%
(Unaudited - part of management review)
Annual Report 2023/24 Consolidated financial statement
108
