Net sales
In the second quarter of 2021, net sales were DKK 2,156 million (DKK 2,097 million). Adjusted for
negative exchange rate impact of DKK 97 million, the organic growth in net sales was positive by 7.5%.
For the first six months of 2021, net sales came to DKK 4,039 million (DKK 3,852 million).
Profit
Gross profit before special items for the second quarter of 2021 was DKK 1,071 million (DKK 940
million) driven by the positive organic growth in net sales, a DKK 23 million negative fair value adjust-
ment of inventories in the second quarter of 2020 and an improving gross margin. The gross margin
before special items was 49.7% (44.8%) with increasing margins in North America Branded & RoW
and Europe Branded and unchanged margins in North America Online & Retail.
Operating expenses for the second quarter increased to DKK 465 million (DKK 451 million) primarily
driven by the development in net sales, increased expenses for sales & marketing partly off-set by
continued savings from the integration of Agio Cigars. The OPEX ratio was unchanged at 21.6%
(21.5%) as consequence of the higher cost base combined with high sales for the second quarter.
EBITDA before special items for the second quarter of 2021 amounted to DKK 606 million (DKK 489
million). The development is explained by the organic growth in net sales, a positive contribution from
the integration of Agio Cigars, a positive impact from other cost efficiency improvements like Fuelling
the Growth and the DKK 23 million negative fair value adjustment in the second quarter of 2020. Ex-
change rate developments impacted negatively by DKK 12 million. Organic EBITDA growth was
20.8%.
EBITDA margin before special items for the second quarter of 2021 was 28.1% (23.3%).
During the quarter DKK 24 million (DKK 78 million) have been expensed as special items. Special
items relating to the integration of Agio Cigars were DKK 18 million (DKK 70 million). DKK 6 million
have been expensed in relation to the production footprint (DKK 7 million). See note 3 for an overview
of special items.
Net profit was DKK 376 million (DKK 254 million). Earnings per share (EPS) were DKK 3.9 (DKK
2.5). Earnings per share adjusted for special items, fair value adjustments and currency gains/losses
on financial items, net of tax increased to DKK 4.1 (DKK 3.0).
In the first six months of 2021, gross profit before special items was DKK 2,026 million (DKK 1,721
million) with a gross margin of 50.2% (44.7%). EBITDA before special items was DKK 1,133 million
(DKK 815 million) with an EBITDA margin of 28.1% (21.1%) Special items were DKK 41 million (DKK
234 million), net profit was DKK 700 million (DKK 274 million) with Earnings per share adjusted for
special items, fair value adjustments and currency gains/losses on financial items, net of tax increased
to DKK 7.4 (DKK 4.5).
Quarterly development, Q2 2020-Q2 2021