Interim Report January - June 2020

THE INTERIM PERIOD JANUARY – JUNE 2020

• Net sales decresed -18% to SEK 2,558 million (3,134)
• Operating profit amounted to SEK 75 million (251)
• Profit after financial items amounted to SEK 34 million (208)
• Profit after tax amounted to SEK 22 million (156)
• Earnings per share amounted to SEK 0.23 (0.52)
• Cash flow from operating activities amounted to SEK 383 million (223)

In 2020, non-recurring items impacted the profit after financial items bySEK -42 million (75).

APRIL – JUNE 2020

• Net sales decresed -25% to SEK 1,142 million (1,531)
• Operating profit amounted to SEK 34 million (93)
• Profit after financial items amounted to SEK 7 million (72)
• Profit after tax amounted to SEK 4 million (54)
• Earnings per share amounted to SEK 0.04 (0.52)
• Cash flow from operating activities amounted to SEK 257 million (62)

In 2020, non-recurring items impacted the profit after financial items by SEK -30 million (36).

• Net debt amounted to SEK 2,149 million (2,644)

• Net debt excl. lease liability amounted to SEK 1,453 million (1,878)

IMPORTANT EVENTS DURING JANUARY – JUNE 2020

• The interim period was overshadowed by the Covid-19 pandemic, where focus has been on ensuring the health and safety of our employees and customers. Extensive measures in the form of cost adjustments, redundancy notices, temporary layoffs and redundancies has been made to adapt our operations to the reduced demand caused by the pandemic (see pg. 5).
• ITAB has renegotiated terms of its credit facilities and intends to enter into short-term shareholders’ loans (see pg. 5).
• A new Group structure and extended Group Management has been introduced to support the transformation of ITAB. A new CFO and a new COO has been assigned.
• ITAB and Ombori have developed the next generation of Ombori Grid, a digital platform, that together with our development partners Microsoft and Samsung will support retailers in their ambitions to create seamless multichannel experiences.
• ITAB Group appoints adviser with respect to its financial options to transform its business and consolidate its market position as the leading retail solution provider.
   

EVENTS AFTER THE REPORTING PERIOD

• ITAB’s Board of Directors has decided to announce the intention to raise new capital in order to strengthen the company’s balance sheet and provide additional financing flexibility, as well as to invest in the One ITAB transformation plan. The funds from a capital raise will be used to both reduce current bank debt and fund the One ITAB transformation plan.

This information is such information that ITAB Shop Concept AB (publ) is obliged to make public under the EU’s Market Abuse Regulation. The information was
submitted for publication at 1 pm July 10 2020.