Mika Rautiainen, CEO,
Business Review for 1 January–31 March 2026, 6 May 2026

“Tokmanni Group’s revenue grew by 6.4% in the first quarter of 2026. Sales were supported particularly by the low-price programme, new store openings in Sweden, and the timing of Easter, which fell in March this year compared with April in the previous year. However, the development of revenue and profitability was twofold. Tokmanni segment improved its EBIT for the third consecutive quarter, while the first quarter of Dollarstore segment was weak in terms of like-for-like revenue and profitability.

Net cash flow from operating activities improved clearly year-on-year and amounted to EUR -13.7 million (-75.2) in the first quarter, mainly driven by disciplined working capital management. Inventory levels decreased compared with the previous year even though 11 new stores were opened in the last 12 months, as improved demand planning reduced goods tied up in warehouses, while securing store availability.

We implemented successful actions to support sales growth in Tokmanni segment, and like-for-like customer visits increased in Tokmanni segment by 5.2%. Sales were also positively impacted by the timing of Easter. Our campaigns were very popular, which was reflected in a lower gross margin. Overall costs remained under control, even though property expenses increased due to higher electricity and heating costs. Tokmanni segment’s revenue increased by 6.5% in the first quarter. Tokmanni segment’s comparable EBIT amounted to EUR -2.2 million (-2.5). In Tokmanni segment, our focus is now especially on succeeding in the spring and summer season. In addition, we are developing our SPAR business and grocery store concept, where we have already achieved very good results.

For Dollarstore segment the beginning of the year was challenging. The Billigast campaign, which was launched in March and emphasises low prices, together with Easter sales, improved performance towards the end of the review period, with customer traffic increasing and sales developing more positively. Operating expenses increased because of new store openings and higher property costs. In the first quarter, Dollarstore segment’s revenue grew by 7.3%. Comparable EBIT amounted to EUR -10.5 million (-7.8).

The challenges in Dollarstore are primarily company-specific and relate to customer traffic and perceived attractiveness of the concept. These are exactly the areas we are addressing in a determined and structured manner. We launched the first pilot store in Erikslund in September 2025, and a modified second pilot store in Kållered in March 2026. These pilots have shown promising results with a broader assortment than other stores in the Dollarstore segment. For the existing store network, the rollouts based on pilot stores will proceed in phases through 2026 and 2027, ensuring operational control and disciplined execution. The first phase will take place already before summer. The second phase of the rollout will take place during the fall before Christmas sales. The third phase of the rollout will take place during the first quarter of 2027. We expect to complete the rollout of the new assortment into all Dollarstore stores by the end of 2027.”