Financial Statements 2023
Key figures 3
Report by the Board of Directors 2023 4
Financial statements 37
Consolidated Financial Statements, IFRS 37
Consolidated income statement 37
Consolidated statement of comprehensive income 37
Consolidated balance sheet 38
Consolidated statement of cash flows 39
Statement of changes in consolidated equity 40
Notes to the consolidated financial statements 41
Contents
4 Operative assets and liabilities 67
4.1 Inventories 68
4.2 Trade and other receivables 69
4.3 Trade and other payables 70
4.4 Employee defined benefit obligations 70
4.5 Provisions 76
5 Capital structure and financial instruments 77
5.1 Share capital 78
5.2 Financial risk management 79
5.3 Financial assets 81
5.4 Financial liabilities 83
5.5 Lease liabilities 88
5.6 Derivatives 89
6 Other notes 90
6.1 Subsidiaries 91
6.2 Related party transactions 93
6.3 Acquisitions and divestments 96
6.4 Commitments and contingencies 99
6.5 Subsequent events after the
reporting period 99
Parent company financial statements, FAS 100
Parent company income statement 100
Parent company balance sheet 101
Parent company statement of cash flows 102
Notes to the parent company financial statements 103
Board's proposal for distribution
of profits and signatures 113
Auditors report 115
Other financial information 123
Items affecting comparability 123
Financial indicators 125
Five years in figures 125
Share related figures 126
Calculation of financial indicators 126
Shares 127
Shareholders 128
Notes to the consolidated financial
statements
1 General accounting principles 42
1.1 Basic information 43
1.2 Basis of preparation 43
1.3 Consolidation principles 43
1.4 Translation of foreign currency items 43
1.5 Use of estimates 44
1.6 New and amended standards applied
in financial year ended 44
1.7 Adoption of new and amended
standards January 1, 2024 44
2 Financial performance 45
2.1 Segment information 46
2.2 Other operating income 49
2.3 Total expenses 50
2.4 Employee benefits and number of
personnel 51
2.5 Share based payments 52
2.6 Financial income and expenses 55
2.7 Income taxes 55
2.8 Earnings per share 57
3 Intangible and tangible assets 58
3.1 Intangible assets 59
3.2 Property, plant and equipment 63
3.3 Right-of-use assets 65
3.4 Biological assets 66
3.5 Investment property 66
2
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Key figures
EUR million (unless otherwise noted) 2023 2022 Change
Net sales 1,129.8 1,248.4 -9.5%
Comparable net sales
1
1,076.0 1,192.2 -9.7%
EBIT 98.9 134.7 -26.6%
Items affecting comparability in EBIT 11.4 16.3 -29.9%
Comparable EBIT
2
110.3 151.0 -27.0%
Comparable EBIT margin 9.8% 12.1%
EBITDA 164.9 194.1 -15.1%
Comparable EBITDA
3
175.8 210.3 -16.4%
Profit before taxes 79.7 124.1 -35.7%
Profit for the period 70.0 99.1 -29.3%
Earnings per share, EUR 0.86 1.21 -28.6%
Comparable earnings per share, EUR 0.99 1.37 -27.9%
2020 2021 2022 2023
1,500
1,200
900
600
300
0
Net sales, EUR million
1,116.2
1,254.3
1,248.4
1,129.8
GeorgJensen’sshareofsales.
GeorgJensenwasconsolidated
intoFiskarsGroupinthefourth
quarterof2023.
2020 2021 2022 2023
1.0
0.8
0.6
0.4
0.2
0.0
Dividend per share, EUR
*
Board'sproposal
0.60
0.76
0.82*
0.80
15
10
5
0
200
150
100
50
0
2020 2021 2022 2023
Comparable EBIT and EBIT
margin, EUR million, %
ComparableEBITmargin
ComparableEBIT
9.8%
110.3
9.8%
109.0
12.3%
154.2
12.1%
151.0
United
States
Finland
Denmark
Sweden
Japan
China
Australia
Poland
Germany
U.K.
Largest countries by sales,
% of the Group net sales
~30%
>10%
~9%
~6%
~6%
~5%
~5%
~4%
~4%
~3%
BusinessAreaVita
BusinessAreaFiskars
EUR million (unless otherwise noted) 2023 2022 Change
Cash earnings per share (CEPS), EUR 2.68 -0.79
Equity per share, EUR 10.15 10.32 -1.7%
Cash flow from operating activities before
financial items and taxes
24 7.5 -24.9
Free cash flow 184.9 -100.7
Free cash flow/comparable net profit (LTM), % 231.0% -90.0%
Net debt 446.7 325.3 37.3%
Net debt/comparable EBITDA (LTM), ratio 2.54 1.55 64.3%
Equity ratio, % 47% 53%
Net gearing, % 54% 39%
Capital expenditure 50.8 48.1 5.5%
Personnel (FTE), average 6,133 6,273 -2.2%
1
Comparable net sales excludes the impact of exchange rates, acquisitions and divestments.
2
EBIT excluding items affecting comparability. Comparable EBIT is not adjusted to exclude the EBIT contribution of
acquisitions/divestments/disposals.
3
EBITDA excluding items affecting comparability. Comparable EBITDA is not adjusted to exclude the EBIT contribution
of acquisitions/divestments/disposals.
3
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Report by the Board of Directors 2023
Business model and strategy
Fiskars Group is the global home of design-driven
brands for indoor and outdoor living. The Group is
driven by its common purpose: Pioneering design to
make the everyday extraordinary. Fiskars Group has
a well-balanced portfolio of unique brands including
Fiskars, Georg Jensen, Gerber, Iittala, Moomin Arabia,
Royal Copenhagen, Waterford, and Wedgwood, as
well as several smaller tactical brands. The company's
brands are present in more than 100 countries in
Asia-Pacific, Europe and the Americas.
The Group serves wholesale customers and B2B
customers as well as consumers directly through its
own stores and ecommerce. Wholesale is Fiskars
Group's largest channel generating close to 70% of
the company's sales. Serving end consumers in the
direct-to-consumer (DTC) channels is a strategic
focus area for Fiskars Group. In 2023, DTC sales
amounted to 25% of the Group's sales, including
Georg Jensen. The Group has close to 450 own
stores around the world, a majority of them in the
Asia-Pacific region.
Fiskars Group has a diverse team of approximately
7,000 employees based in 29 countries. The
Group recognizes the importance of its people in
contributing to its success, and continually invests in
opportunities for employees to learn and grow. The
Group promotes employee engagement by creating
an open, inclusive working environment where
everyone can make a meaningful contribution and feel
that they belong.
Fiskars Group combines own manufacturing
operations with those of its carefully selected
suppliers. Fiskars Group has 13 own manufacturing
units located in Europe, Asia and the U.S. Fiskars
Group has approximately 170 finished goods
suppliers and a wide network of suppliers for raw
materials, components, and services. The company
has built a strong supplier network that meets its
business needs, as well as its values and social and
environmental expectations.
Fiskars Group's Growth Strategy outlines the strategic
choices that will put the company on a healthy path
of organic growth and profitability improvement.
The strategic logic is clear: the company focuses
on winning brands, winning channels, and winning
countries. The Growth Strategy consist of four
transformation levers; commercial excellence, direct
to consumer, the U.S. and China. These levers will
transform Fiskars Group across brands, channels, and
countries. The growth enablers for the strategy are
people, digital, innovation & design, and sustainability.
These enablers are at the core of Fiskars Group, and
they are critical for executing the Growth Strategy.
Fiskars Group is now halfway through its strategy
period and continues the transformation journey
while increasing precision in strategy execution. The
Group has sharpened its portfolio logic to further
accelerate the company profile improvement and has
set clear roles for each brand. For example, Fiskars
Group wants to accelerate brands such as Royal
Copenhagen, Wedgwood, and Georg Jensen, which
have high-end positioning as well as strong presence
in direct-to-consumer channels. The Group has also
taken several steps to simplify the way it operates to
enable teams to execute the strategy faster.
Operating environment in 2023
In 2023, the high costs of living affected consumer
sentiment and demand negatively in many regions
throughout the year.
The U.S. economy was resilient, although consumer
spending was tilted toward categories other than
discretionary goods. Retailers focused on inventory
management, which affected demand in this
customer segment.
Demand was strongest in China throughout the
year. The spread of the Covid-19 pandemic as well
as the timing of the Chinese New Year negatively
affected demand in the beginning of the first quarter.
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The strong growth rate stabilized during the second
half of the year.
In terms of weather conditions, cold spring weather
affected demand for gardening products during the
first half of the year. At the end of the year, snowfall
in the Nordics supported the demand of snow tools in
the region.
Year in brief: All-time high cash flow
despite a year of challenging market
conditions - sales and EBIT declined
Year 2023 was characterized by a challenging
operating environment, with low consumer
confidence and retailers' focus on inventory
management impacting demand negatively in most
of Fiskars Group's key markets, particularly in the
retailer customer segment. This resulted in net sales
decreasing by 9% in 2023 to EUR 1,130 (2021: 1,248)
million. Fiskars Group's own e-commerce developed
positively and increased by 14% in 2023. Comparable
EBIT declined to EUR 110 million (151) due to lower
volumes. Free cash flow was at an all-time high
level, amounting to EUR 185 million (-101) driven by
systematic actions to adjust supply volumes and
manage inventories.
During 2023, Fiskars Group continued its
transformation journey and the execution of the
Growth Strategy, which reached its halfway milestone
in the end of 2023. The strategy remains intact, while
the Group has increased precision in its execution.
In September, the Group announced that it is
expanding its portfolio of luxury brands by acquiring
the renowned Danish lifestyle brand Georg Jensen.
Georg Jensen is an example of a brand Fiskars Group
aims to accelerate; a sizeable lifestyle brand with
high high-end positioning and a strong presence
in direct-to-consumer channels. The acquisition
was completed on the 1st of October and Georg
Jensen's fourth quarter was consolidated into Fiskars
Group. The acquisition was financed with debt, and
Fiskars Corporation issued its debut bond under a
Sustainability-Linked Bond Framework in November.
To accelerate strategy execution and to increase
efficiency, Fiskars Group simplified its organizational
structure during the year. Through the changes
implemented, the role of the Business Areas and their
end end-to-end accountability was strengthened.
The implemented changes included combining
Business Areas Terra and Crea into one Business Area
called Fiskars and to delayering some of the Group's
central functions, in particular the global supply chain,
to increase efficiency and ensure competitiveness.
In total, the organizational changes resulted in a
reduction of approximately 500 roles globally.
Fiskars Group continued to make good progress in
sustainability, one of the key enablers of its strategy.
The key highlight of 2023 was that already 14% of
the Group's net sales were generated from circular
products and services. Fiskars Group's target is
that the majority of its sales comes from circular
products and therefore developing new solutions
continues. To reinforce the commitment to achieving
this ambition, advancing circular products and
services was included as a target in the share-based
incentive plan for the Group's key employees. During
the year, the Group also set the KPI for its fifth ESG
target measuring employees' inclusion experience.
The target is to be within the global top 10% of
high-performing companies in terms of inclusion
experience.
In March, Fiskars Group's first employee share
savings plan, “MyFiskars”, was launched. The aim of
MyFiskars is to offer employees the opportunity to
acquire and own Fiskars shares thereby creating a
stronger culture of ownership and entrepreneurship,
as well as to further strengthen employees' long-term
commitment to Fiskars Group. At the end of 2023,
13% of all employees and 32% of office employees
had joined the plan.
Group performance
In 2023, Fiskars Group's organizational structure
featured two Business Areas (BA): Vita and Fiskars.
Fiskars Group's three primary reporting segments
are Vita, Fiskars and Other. In addition, Fiskars
Group reports net sales for three geographical areas:
Europe, Americas and Asia-Pacific.
BA Vita offers premium and luxury products for the
tableware, drinkware, jewelry and interior categories.
It consists of brands such as Iittala, Georg Jensen,
Royal Copenhagen, Moomin Arabia and Wedgwood.
BA Fiskars consists of the gardening, watering
and outdoor categories as well as the scissors and
creating, and cooking categories. The brands include
Fiskars and Gerber.
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The Other segment contains the Group's investment
portfolio, the real estate unit, corporate headquarters
and shared services.
In January-September, Fiskars Group reported in four
primary segments, which were Vita, Terra, Crea and
Other. Business Areas Terra and Crea were combined
into one Business Area called Fiskars in October.
Net sales
EUR million 2023 2022 Change
Comparable
change*
Group 1,129.8 1,248.4 -9.5% -9.7%
Vita 555.3 563.7 -1.5% -7.2%
Fiskars 570.5 680.8 -16.2% -12.0%
Other 4.0 3.9
* Comparable net sales exclude the impact of exchange rates, acquisitions
and divestments.
Fiskars Group's comparable consolidated net sales
decreased by 9.7% to EUR 1,076.0 million (2022:
1,192.2). Reported net sales decreased by 9.5%.
Georg Jensen's fourth quarter sales are included in
reported net sales.
Comparable net sales decreased in both Business
Areas due to low consumer confidence and retailer
customers' focus on inventory management. In terms
of geographical segments, comparable net sales
decreased in Europe and the Americas and were
relatively stable in Asia-Pacific.
Fiskars Group's comparable DTC sales developed
positively and increased by 4%. The growth was
driven by 14% growth in e-commerce and stable
development in the company's own retail network.
Comparable EBIT
EUR million 2023 2022 Change
Group 110.3 151.0 -27.0%
Vita 62.3 85.6 -27.2%
Fiskars 73.8 82.6 -10.7%
Other -25.8 -17.2
Items affecting comparability in EBIT include items such as restructuring
costs, impairment or provisions charges and releases, acquisition-related
costs, and gains and losses from the sale of businesses. Comparable EBIT
is not adjusted to exclude the EBIT contribution of acquisitions/divestments/
disposals.
Fiskars Group's comparable EBIT was EUR 110.3
million (2022: 151.0), or 9.8% (12.1%) of net sales.
Comparable EBIT decreased in both Business Area
Vita and Business Area Fiskars. Georg Jensen's
fourth quarter EBIT contribution is included in Vita's
comparable EBIT.
Comparable EBIT declined due to lower volumes.
Improved gross margin mitigated the negative impact
from volumes.
Reporting segments and geographies
Vita segment in 2023
EUR million 2023 2022 Change
Net Sales* 555.3 563.7 -1.5%
Comparable EBIT 62.3 85.6 -27.2%
Capital Expenditure 26.8 20.9 28.0%
* Using comparable exchange rates excl. acquisitions and divestments,
net sales decreased by 7.2%
Net sales in the Vita segment decreased by 1.5%
to EUR 555.3 million (2022: 563.7), including Georg
Jensen's fourth quarter sales. Comparable net sales
decreased by 7.2% due to lower demand in the retailer
customer segment and the continuing execution
of the channel strategy. Vita's own e-commerce
developed positively.
Including Georg Jensen, net sales in DTC channels
were 47% (42%) of total Vita net sales.
Comparable EBIT in the Vita segment declined to
EUR 62.3 million (85.6), or 11.2% of net sales (15.2%).
Comparable EBIT includes Georg Jensen's EBIT
contribution in the fourth quarter. EBIT declined
mainly due to lower sales volumes as well as a decline
in gross margin.
6
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Fiskars segment in 2023
EUR million 2023 2022 Change
Net Sales* 570.5 680.8 -16.2%
Comparable EBIT 73.8 82.6 -10.7%
Capital Expenditure 20.0 21.5 -6.7%
* Using comparable exchange rates excl. acquisitions and divestments,
net sales decreased by 12.0%
Net sales in the Fiskars segment decreased by 16.2%
to EUR 570.5 million (2022: 680.8). The figures from
the comparison period include the North American
Watering business in January 2022, as it was divested
on February 1, 2022. Comparable net sales decreased
by 12.0%.
Net sales decreased, as low consumer confidence
and retailers' focus on inventory management
impacted sales negatively throughout the year. The
cold spring also had a negative impact during the
gardening season in the first half of the year.
Comparable EBIT in the Fiskars segment declined to
EUR 73.8 million (82.6), but the margin improved to
12.9% of net sales (12.1%). Significantly lower volumes
were the main reason for the decline in EBIT. The
impact of the decline in sales volumes was partially
mitigated by an improved gross margin and prudent
cost management.
Other segment in 2023
EUR million 2023 2022
Net Sales 4.0 3.9
Comparable EBIT -25.8 -17.2
Capital Expenditure 4.0 5.7
Net sales in the Other segment amounted to EUR
4.0 million (2022: 3.9), consisting of timber sales and
rental income. The comparable EBIT for the Other
segment declined to EUR -25.8 million (-17.2) due to
some unallocated development expenses related to
strategic programs.
Net sales by geography in 2023
EUR million 2023 2022 Change
Comparable
change*
Europe 552.2 596.0 -7.3 % -9.2%
Americas 362.4 432.0 -16.1 % -12.9%
Asia-Pacific 211.3 209.4 0.9 % -1.3%
Unallocated** 3.9 11.1
Group Total 1,129.8 1,248.4 -9.5 % -9.7%
* Comparable net sales exclude the impact of exchange rates, acquisitions
and divestments.
** Geographically unallocated exchange rate differences.
Net sales in Europe decreased by 7.3%, amounting
to EUR 552.2 million (2022: 596.0). Comparable net
sales decreased by 9.2%. Sales in Europe decreased
across the board, apart from Norway.
Net sales in the Americas decreased by 16.1% to
EUR 362.4 million (432.0). Comparable net sales
decreased by 12.9%.
Net sales in Asia-Pacific were stable at EUR 211.3
million (209.4). Comparable net sales decreased by
1.3 %, with growth of 25% in China offsetting declines
elsewhere.
Research and development
In 2023, research and development expenses totaled
EUR 19.8 million (2022: 20.8), equivalent to 1.8%
(1.7%) of net sales.
Personnel
The average number of full-time equivalent
employees (FTE) was 6,133 (2022: 6,273) in 2023.
At the end of the year, the Group employed 7,162
(6,595) employees, including approximately 1,200
of Georg Jensen's employees. In Finland, the Group
employed 1,078 (1,172) people. In 2023, personnel
costs amounted to EUR 289.2 million (289.0), of
which wages and salaries constituted EUR 233.9
million (238.0).
Financial items, net result and cash
flow
In 2023, financial income and expenses amounted
to EUR -24.0 million (2022: -11.7). Foreign exchange
differences accounted for EUR -4.8 million (-1.1) of
financial items. Net interest expenses from funding,
currency hedging and leasing liabilities amounted
to EUR -21.2 million (-7.4) and were impacted by
higher net debt level as a result of the Georg Jensen
acquisition and higher interest rates.
7
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Profit before taxes was EUR 79.7 million (124.1).
Income taxes were EUR -9.7 million (-25.0). Earnings
per share were EUR 0.86 (1.21). Comparable earnings
per share were EUR 0.99 (1.37).
Cash flow from operating activities before financial
items and taxes increased to EUR 247.5 million
(-24.9). Cash flow was positively impacted by the
decrease of inventories of EUR 114.9 million (-89.7).
Cash flow from financial items and taxes amounted to
EUR -26.7 million (-36.6).
Cash flow from investing activities was EUR -169.8
million (-7.8), including EUR -50.8 million of capital
expenditure and EUR -121.3 million relating to
business combinations. The comparison figure from
2022 included EUR -48.1 million of capital expenditure
on fixed assets, EUR 43.9 million of proceeds from the
sale of assets held for sale and EUR -9.2 million from
the impact of the disposal of the Russian subsidiary.
Cash flow from financing activities was EUR -40.0
million (149.8), including EUR 198.8 million of
proceeds from non-current debt, EUR -145.6 million
of change in current debt, EUR -65.1 million of
dividends paid and EUR -30.8 million of payments
of lease liabilities. The comparison figure from 2022
included EUR 130.1 million proceeds from non-current
debt, EUR 129.3 million of change in current debt,
EUR -62.9 million of dividends paid, EUR -26.5 million
of payments of lease liabilities.
Capital expenditure totaled EUR 50.8 million (48.1)
and was mainly related to IT and the supply chain.
Depreciation, amortization and impairment amounted
to EUR 66.0 million (59.4).
Balance sheet and financing
Fiskars Group's working capital totaled EUR 304.2
million (337.2) at the end of December. The equity
ratio was 47% (53%), and net gearing was 54% (39%).
Cash and cash equivalents at the end of the period
totaled EUR 127.3 million (115.8). Net debt amounted
to EUR 446.7 million (325.3), of which lease liabilities
classified as interest-bearing debt under IFRS 16
accounted for EUR 150.8 million (115.5). Long-term
lease liabilities were EUR 117.4 million (92.9), and
short-term lease liabilities EUR 33.3 million (22.5).
The lease liabilities increased due to the renewal of
the U.S. distribution center lease agreement and the
inclusion of Georg Jensen lease agreements.
Excluding lease liabilities, short-term borrowing
totaled EUR 92.5 million (195.2), and long-term
borrowing EUR 330.7 million (130.4). Short-term
borrowing consisted mainly of commercial paper
maturing in 2024. In November, an unsecured
sustainability linked bond with the nominal amount of
EUR 200 million was issued to refinance the bridge
funding for the acquisition of Georg Jensen and for
general corporate purposes. Long-term borrowing
also included bilateral loans from financial institutions.
Fiskars Group had EUR 250.0 million (250.0) of long-
term committed credit facilities and uncommitted
overdraft facilities of EUR 49.4 million (47.0).
A commercial paper program of EUR 400.0 million
was available with Nordic banks. The long-term
committed credit facilities were not in use (50.0).
Of the commercial paper program, EUR 92.4 million
(145.6) was in use.
Reporting of non-financial
information
In this section of the Report by the Board of Directors,
we describe the material sustainability topics and
disclosures around Fiskars Group's commitments,
along with material sustainability topics and KPIs
defined by the Non-Financial Reporting Directive.
Non-financial risks are covered in the section on
Risks and business uncertainties, and the Fiskars
Group business model can be found at the beginning
of the Report by the Board of Directors. This section
consists of information and data excluding Georg
Jensen (unless otherwise stated), as the acquisition
was not completed until Q4 2023.
More comprehensive information about the Group's
sustainability work and results can be found in the
2023 Sustainability Report and Corporate Governance
Statement, published as part of Fiskars Group's
Annual Report.
ESG in 2023
Sustainability is a key element and one of the
strategic growth enablers for Fiskars Group.
Sustainability represents an opportunity for
Fiskars Group to further strengthen its reputation
and increase brand love. Fiskars Group ensures
sustainable profitable growth in the long-term by
8
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setting concrete ESG targets and linking them to
decision making.
The ESG strategy ensures focus is placed on the
areas where the Group has the biggest impact.
The strategy is closely linked to the business and
purpose: Pioneering design to make the everyday
extraordinary.
The Fiskars Group ESG strategy prioritizes two
commitments and five key targets. The key targets
are monitored and frequently reported on at the
Group level, both internally and externally.
Commitments
• Pioneering design against throwaway culture
• Making the everyday extraordinary
Key targets and progress
In 2023, focus was placed on key priorities relating
to research and implementation for increasing the
use of circular materials, developing circular services,
further developing the carbon-neutral approach, and
working toward health and safety, as well as diversity
and inclusion.
During 2023, Fiskars Group launched its debut bond
under a Sustainability-Linked Bond Framework.
EUR 200 million sustainability-linked notes were
issued. The bond aligns the Group's long-term
financing strategy with its ESG targets. The financial
characteristics of the notes are linked to the
achievement of two of the Group's main ESG targets:
reducing GHG emissions from Fiskars Group's own
operations (Scopes 1 and 2) and the percentage of
suppliers by spend with set science-based emissions
reduction targets (Scope 3).
During 2023, we also made advancing circular
products and services one of the KPIs in
Fiskars Group's Performance Share Plan for
our key employees in the Plan's 2023–2025
performance period.
Environment
The responsible and reduced use of natural resources
and the careful recirculation and recycling of
materials are central to Fiskars Group's sustainability
approach. The Group's environmental approach is
guided by two main principles: supporting long-term
competitiveness and reducing negative impacts.
Fiskars Group is constantly experimenting with
alternative and recycled materials, and looking for
new ways to extend the lifecycle of its thoughtfully
Environmental
Pioneering design against throwaway culture
Social
Making the everyday extraordinary
Our own emissions
GHG (greenhouse gas) emissions
A majority
of our net sales
comes from circular
products and services
by 2030
Circular
economy
Base year
2021
50%
in 2030
2023
14%
1
60% of our suppliers by
spend covering purchased
goods and services will
have science-based targets
by 2024
Our suppliers’
emissions
Target set
2020
60%
in 2024
2023
45%
32
from own
operations
(Scope 1 and 2)
reduced by 60%
by 2030
Base year
2017
-60%
in 2030
2023
-56%
from
transportation
and distribution
(Scope 3) reduced
by 30% by 2030
Base year
2018
-30%
in 2030
2023
-46%*
Safe
workplace
1
Zero harm with
zero LTAF
(Lost time accident
frequency)
by 2030
2023
4.2
Target
0
Inclusive
workplace
2
Inclusion Experience
within the top 10%
of global
high-performing
companies
2023
70
Target
80**
** Current benchmark: 80 (Q2/2023). The
benchmark score is updated every 6 months with
the latest data and might change depending on
how the global benchmark develops.
Georg Jensen figures have been integrated in the ESG target progress presented, excluding transportation
and distribution emissions, and the inclusion target.
* Disclaimer: Notable emissions reduction primarily due to decrease in volume.
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designed products, as well as identifying ways to
reduce waste streams in production. Fiskars Group
is committed to promoting efficiency in energy and
resource utilization and identifying new solutions to
enable better efficiency across the value chain.
Policies and commitments
International standards and guidelines such as
ISO 14001 form an important foundation for the
Group's environmental management. The Fiskars
Group Environmental Policy emphasizes common
targets and ways of working within Fiskars Group's
manufacturing units. Fiskars Group's Supplier Code
of Conduct outlines expectations regarding suppliers'
management of environmental topics, such as energy
and emissions management, and every supplier must
sign and commit to it if they are to do business with
Fiskars Group.
Targets and actions
Target for 2030: A majority of our net sales comes from
circular products and services
The Fiskars Group target is to have the majority of net
sales coming from circular products and services by
2030. Creating lasting design and developing circular
solutions is key in fighting throwaway culture and
delivering sustainable growth. Business models based
on the circular economy both create and sustain value
by ensuring products and materials stay in use for as
long as possible.
The brands have created products that utilize
alternative or recycled materials, and services
that help elongate the lifecycle of our products.
For example, for the Fiskars brand, designing for the
long-term is a priority, bringing both materials and
services into play. The Fiskars All Steel frying pan
brings together recycled, emission-minimized raw
materials, lifecycle extension and recyclability. The
pans are made from emission-minimized stainless
steel, which Outokumpu launched in 2022. The
footprint of the steel is as much as 92% smaller
compared to the global average*. The All Steel frying
pans and casseroles have a non-plastic fluorine-free
ceramic Ceratec™ coating that can be extended by
recoating through the Fiskars pan care service. The
Fiskars pan care service restores the pans' best
features and saves natural resources compared to
buying a new pan.
In 2023, 13% of the Group's net sales were generated
from circular products and services. When integrating
Georg Jensen's figures for Q4 2023, the performance
for 2023 is 14% respectively. Fiskars Group will
further enhance the reporting scope of circular
products in the future, as the work on developing and
mapping solutions continues.
Mitigating waste
As part of Fiskars Group's commitment to fight
against throwaway culture and become more circular,
the Group is working on reducing landfill waste
from its own operations. The aim is for all waste
from Group operations (manufacturing, distribution
centers, retail and offices) to be recovered or
recycled by 2030 so that no waste ends up in
landfills.
New opportunities to improve material efficiency
and increase use of recycled or renewable materials
are continuously mapped. The performance and
management of waste is regularly assessed in
accordance with ISO 14001 to ensure compliance with
laws and regulations.
In 2023, the Group's factories and distribution
centers gained further insight into developing new
opportunities for recycling and recirculating materials,
while making changes to waste management
processes. As new electricity infrastructure was
constructed at the Iittala factory, as part of the
electric furnaces project, old glass waste and
contaminated soil was delivered to landfill. The
waste was stated to be non-hazardous, and the best
solution for the waste treatment was investigated by
an external party. Without the impact of the landfill
waste from the Iittala factory in 2023, overall landfill
waste would have been reduced by 83% compared to
the 2017 baseline year. However, due to the additional
landfill waste, compared to the baseline, landfill waste
has reduced by 47%.
In 2023, Fiskars Group continued work with external
partners to ensure they had the most efficient and
responsible disposal techniques in use for managing
the Group's waste. For example, the Group's own
manufacturing unit at Sorsakoski, Finland, changed
the steel surface treatment from polishing to
brushing. The switch reduced the factory's landfill
* The emission-minimized stainless steel has a 92% smaller carbon footprint
compared to the global average according to the GHG Protocol scopes 1 to
3. Figures do not include any carbon offsetting. These calculations aim to be
compliant with the ISO 14067:2018 (Greenhouse gases — Carbon footprint
of products) standard with certain identified simplifications. The calculations
have been reviewed by WSP, the strategic advisory, engineering, and design
services consultancy company.
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waste by 30% in 2023 compared to the previous
year. The change will be implemented gradually, and
as a result, the Sorsakoski manufacturing unit will
reach zero waste to landfill in 2025, as the waste
management partner is able to recycle the waste
occurring from brushing. By the end of 2023, six of
the Group's factories and distribution centers sent
zero waste to landfill, seven years ahead of 2030.
Emissions reduction targets:
• Target for 2030: Greenhouse gas emissions from
own operations (Scopes 1 and 2) reduced by 60%
from a 2017 base year
• Target for 2030: Greenhouse gas emissions from
transportation and distribution (Scope 3) reduced
by 30% from a 2018 base year
• 60% of our suppliers by spend covering purchased
goods and services will have science-based
targets by 2024
In 2023, the Group enhanced energy efficiency by
implementing various energy-saving activities that
have decreased energy consumption by 10,426 MWh.
Since 2018, energy-saving activities have contributed
to a decrease in energy consumption of 23,238
MWh. Energy savings consist of multiple actions in
manufacturing units and distribution centers.
The lower production volumes in 2023 contributed
to a reduction in energy consumption compared to
the previous year: Total energy consumption was
823 TJ (2022: 1,031 TJ), with 204 TJ of energy from
renewable sources. 25% of the Group's total energy
consumption came from renewable sources in 2023.
In 2023, Group-wide greenhouse gas emissions
decreased by 25% compared to the previous year.
Compared to the 2017 base year, the Group achieved
a reduction of 56% as a result of energy-saving
actions and investments in renewable energy but
also due to a decrease in production volumes in
the reporting year. In 2023, Fiskars Group saved
2,882 tons of CO
2
through energy and emissions
saving activities in the Group's own manufacturing
units and distribution centers. However, reducing
emissions (Scopes 1 and 2) by 60% will require
continuous efforts to improve energy efficiency at all
Group sites.
Fiskars Group has continued to invest in renewable
electricity. In June 2023, the Hämeenlinna distribution
center switched from using district heating to
geothermal energy in heating. The decision to install
the new geothermal power plant was agreed during
the renewal of the lease contract with the landlord.
The goal has been to increase renewable energy
solutions locally. Since 2021, Hämeenlinna DC has
had its own solar panels in use, generating renewable
electricity. The site's electricity consumption is 100%
from renewable sources, including the purchased
electricity. As electricity is also needed for producing
geothermal energy, the switch reduces Hämeenlinna
distribution center's carbon emissions by 4 tons of
CO
2
, cutting its carbon emissions to zero in 2024.
In 2022, Fiskars Group announced an energy
investment of approximately EUR 10 million* at the
Iittala glass factory in Hämeenlinna, Finland, where
Iittala's iconic glass products are manufactured for
sale in Finland and globally. The factory's existing
natural gas-powered furnaces are being gradually
replaced with electricity-powered furnaces. These
new furnaces incorporate high-technology solutions
and will use renewable energy. The project is planned
to be completed during 2026. With this investment in
electrically powered furnaces, the glass factory will
reduce its annual carbon dioxide emissions by 74%
by the end of 2026. In 2023, a 19% reduction of the
factory's carbon dioxide emissions was achieved due
to the investment and other factors.
In addition to reducing the Iittala factory's carbon
dioxide emissions, the new furnaces will decrease the
energy consumption of the glass melting furnaces
by 67%. The furnaces are responsible for most of the
factory's total energy consumption.
Energy
GRI 302-1 Energy consumption within the
organization, TJ
2023 2022 2021 2020
Direct energy consumption:
non-renewable
567 728 686 606
Direct energy consumption:
renewable
11 11 12 9
Indirect energy consumption 245 293 330 285
Total energy consumption 823 1,031 1,029 901
* Approximately 30% of the total investment will be covered by the European
Union's NextGenerationEU funding granted by the Ministry of Economic
Affairs and Employment of Finland on October 4, 2022. This energy
investment aid to the Iittala glass factory amounts to EUR 2.871 million.
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Fiskars Group's transportation emissions decreased
by 37% from 2022: the Group's emissions from
inbound and outbound transportation were
14,044 tCO
2
e (22,142 tCO
2
e). The decrease was
mostly due to noticeably lower transportation
volumes and to a steep decline in air freight use.
Due to air freight's high emissions, the development
is tracked monthly throughout the year. The 2023
decline in air freight was due to improvements in
planning and better availability of other modes of
transportation.
Overall, transportation emissions have been reduced
by 46% from the 2018 target base year, meaning that
the 2030 target for transportation emissions has been
surpassed. However, as this achievement is primarily
attributed to a reduction in transportation volumes
during the year, it remains important to continue the
work to further reduce these emissions. Discussions
with key logistics service providers regarding their
sustainability plans and emission targets continued,
as the aim is to partner with suppliers with similar
ambitions. Improving the efficiency of logistics also
continued, through further optimizing packaging
efficiency and delivery frequency.
In addition to transportation emissions, Fiskars Group
annually measures and reports the emissions from
business travel. The calculations take into account all
business-related trips made by air or rail from Fiskars
Group's main locations. To keep business travel
emissions as low as possible, the Group encourages
all employees to consider alternatives to travel such
as virtual meetings, and it is the aim to keep the
number of employees who travel to each event at a
minimum. Travel should only be undertaken for a valid
business purpose. In 2023, Fiskars Group's business
travel emissions increased by 58% from the previous
year as Covid-19 travel restrictions eased globally.
Business travel emissions for 2023 are 55% less
than in 2019, before the Covid-19 restrictions were
introduced.
Fiskars Group encourages suppliers to set science-
based targets for at least their Scopes 1 and 2
emissions. Fiskars Group engages with its suppliers to
communicate this message and to support them with
their climate work. In 2023, training sessions were
held for sourcing professionals to further reinforce the
importance of suppliers' science-based targets and
the support that can be provided to suppliers. During
the year, suppliers were given direct local support,
guidance materials and emissions calculation tools.
By collaborating with suppliers, Fiskars Group was
able to make noticeable progress in the supplier
engagement target. By the end of the year, 48%
(31.12.2022: 25%) of raw material, component, and
finished goods suppliers by 2022 spend had set
science-based targets. When integrating Georg
Jensen's figures for Q4 2023, the performance
for 2023 is 45%, respectively. The Group started
engaging with its suppliers on this topic in 2021, and
by the end of that year, approximately 6% by spend
had set science-based targets.
Annually, Fiskars Group collects energy consumption
data from key finished goods suppliers to monitor
the value chain emissions and the development of
their energy efficiency and Scopes 1 and 2 emissions.
In 2023, the Group gathered data from 64% of our
finished goods suppliers by spend.
Emissions
GRI 305-1 Direct (Scope 1) GHG emissions,
1,000 t CO
2
2023 2022 2021
Scope 1 emissions 31 40 38
GRI 305-2 Energy indirect (Scope 2) GHG
emissions, 1,000 t CO
2
2023 2022 2021
Scope 2 emissions
Market-based 7 10 16
Location-based 21 27 31
GRI 305-3 Energy indirect (Scope 3) GHG
emissions, 1,000 t CO
2
e
2023 2022 2021
Scope 3 emissions
Business travel
1
2,229 1,414 507
Upstream and downstream
transportation
2
14,044 22,142 23,100
1
The reported business travel emissions include all air and rail business
trips from the Group's main locations.
2
In 2023, 90% of Fiskars Group's transportation emissions inventory were
calculated using either GHG reports received from our logistics partners
or the distance-based method. The remaining 10% was extrapolated by
spend to cover all annual transportation emissions.
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Social and employee-related matters
Fiskars Group is committed to inspiring and
empowering employees to learn, develop as
professionals, and bring in new ideas, skills and
perspectives. Fiskars Group is building a globally
collaborative culture and diverse team so that it
can serve its stakeholders in the best possible
way. Fiskars Group wants to attract, develop and
retain high-performing employees from different
backgrounds and cultures. Fiskars Group focuses on
creating an extraordinary place to work, while caring
about the physical, emotional and social wellbeing of
its employees.
One of the key priorities in Fiskars Group's operations
is to ensure the safety and wellbeing of employees
and people involved in the Group's value chain.
Fiskars Group promotes a culture of zero harm to
increase safety and hazard awareness. A continuing
focus on reducing accidents and near-misses and
promoting the reporting of safety observations
are vital in developing and retaining a team that is
engaged and enabled to do its best.
Policies and commitments
Fiskars Group has outlined a set of policies and
guidelines related to social and employee-related
matters to guide its leadership and employees, as well
as its partners, in their day-to-day work.
Fiskars Group's Code of Conduct provides a detailed
description of Fiskars Group's approach to doing
business in an ethical way. Fiskars Group's Supplier
Code of Conduct outlines the same expectations of
suppliers.
Fiskars Group organizes regular mandatory training
sessions to help all employees implement the
principles and guidelines outlined in the Code of
Conduct in their everyday work. New employees
conduct the training during their onboarding.
In addition to the onboarding, all Fiskars Group
employees must complete the training every second
year. Classroom training is held at all Manufacturing
Units and Distribution Centers in local languages at
regular intervals by the local HR. By the end of 2023,
approximately 96% of employees had completed the
Code of Conduct e-learning course.
Fiskars Group's Employment Policy, which was
updated in 2023, aligns topics such as diversity and
inclusion, employee wellbeing, freedom of association
and employee contracts.
Fiskars Group's Health and Safety Policy promotes a
culture of zero harm and supports safety priorities.
Health and safety topics such as workplace safety,
emergency preparedness, and management and
communication on health and safety are also covered
in Fiskars Group's Supplier Code of Conduct.
Targets and actions
Health and safety
Target for 2030: Zero harm with zero Lost Time Accident
Frequency (LTAF)
In 2023, Fiskars Group's LTAF decreased to 4.6 from
the previous year (2022: 4.8). When integrating Georg
Jensen's figures for Q4 2023, the performance for the
year 2023 is 4.2, respectively. In 2023, the contractor
LTAF was 0 (2022: 0). In 2023, there were fewer
working hours due to smaller production volumes on
our sites. Currently, LTAF is measured for the Group's
own manufacturing units and distribution centers.
Reporting safety hazards, observations and incidents
is everyone's responsibility at Fiskars Group. Fiskars
Group emphasizes the importance of a culture based
on trust and encourages transparency and openness
in reporting safety observations, accidents and near-
miss events.
The total number of reported safety observations
was 15,624 in 2023 (2022: 13,919), an increase of
12% compared to the previous year. The Group's
manufacturing units and distribution centers have
created safety improvement plans and focused on
safety observations, which is also reflected in the
number of safety observations made. In 2023, the
Group's sixth global Safety Week was arranged with
the theme: “I care: Safety365.” The week highlighted
the importance of making safety a year-round
commitment. Safety Week is an important way for
Fiskars Group to promote safety at work and engage
every employee.
Diversity, equity, and inclusion
Target: Inclusion Experience within the top 10% of global high-
performing companies
Fiskars Group is committed to creating a diverse,
equal and inclusive work culture in which employees
can do their best. The Group wants to actively
participate in promoting DEI topics in society.
At the beginning of 2023, Fiskars Group refreshed
its diversity, equity and inclusion (DEI) program and
defined three focus areas for the 2023–2025 period.
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The focus areas are Creating an inclusive workplace,
Leaders driving inclusion, and Visibility through
data. These are underpinned by key targets and KPIs
which are regularly followed to remain accountable
and ensure that progress is made.
During the second quarter, the Fiskars Group Board
of Directors approved the KPI for the fifth key ESG
target, Inclusion Experience. The Inclusion Experience
KPI is comprised of three questions in Fiskars Group's
employee engagement survey, Our Voice:
• Authenticity: I feel comfortable being
myself at work.
• Speak My Mind: I feel free to speak my mind
without fear of negative consequences.
• Belonging: I feel a sense of belonging at my
workplace.
Fiskars Group's target is to be within the global
top 10% of high-performing companies in terms of
Inclusion Experience. At the end of 2023, the global
external benchmark score for Inclusion Experience
was 80 (the score is updated every six months with
the latest data and may change, depending on how
the global benchmark develops).
During 2023, two Our Voice surveys during May
and November were held for Fiskars Group office
employees. During May, the overall Inclusion
Experience score was 72, and during November, 70,
a slight decrease.
During 2023, Fiskars Group continued to create
an inclusive culture by building awareness and
understanding. A company-wide DEI webinar was
held, to explore how employees could become better
at leveraging diversity by thinking and working
differently and by exploring the different perspectives
that already exist within Fiskars Group.
A new e-learning course targeted at office
employees, Navigating Unconscious Bias, was
launched. The course was created to help employees
and teams grasp where unconscious biases come
from, and how they affect decisions.
It is essential for Fiskars Group to create an
environment in which employees feel heard, find
a sense of meaning in what they do, see a strong
connection between their strengths and role, and
perform better. A key part of this is the Group's
employee engagement survey, Our Voice.
Engagement is one of the key topics measured in
the Our Voice survey. The engagement score is an
average of responses to the following questions:
• I would recommend Fiskars Group as a great
place to work.
• How happy are you working at Fiskars Group?
The Engagement score for office employees was 63
in November 2023 (October 2022: 68). The next Our
Voice survey targeted at all employees is scheduled
for May 2024. Based on the survey results, the
Fiskars Group Leadership Team selects areas to
commit to action to improve employees' wellbeing,
inclusion and engagement. In addition, each team
reviews their results and identifies their team-
level actions.
Diversity and Equal Opportunities
GRI 405-1 Diversity of governance bodies and
employees
Board of Directors
Age group
Female, % Male, % Total, %
Under 30 0 (0) 0 (0) 0 (0)
30–50 12.5 (12.5) 25 (25.0) 37.5 (37.5)
Over 50 25 (25.0) 37.5 (37.5) 62.5 (62.5)
Total 37.5 (37.5) 62.5 (62.5) 100 (100.0)
Leadership Team
Age group
Female, % Male, % Total, %
Under 30 0 (0) 0 (0) 0 (0)
30–50 14.3 (10.0) 28.6 (20.0) 42.9 (30.0)
Over 50 14.3 (30.0) 42.9 (40.0) 57.1 (70.0)
Total 28.6 (40.0) 71.4 (60.0) 100.0 (100.0)
Managers with teams
Age group
Female, % Male, % Total, %
Under 30 1.5 (1.8) 0.8 (0.5) 2.3 (2.5)
30–50 27.3 (27.3) 30.5 (32.5) 57.7 (59.8)
Over 50 17.9 (16.7) 22.1 (21.2) 40.0 (38.0)
Total 46.7 (45.8) 53.3 (54.2) 100.0 (100.0)
Human rights, anti-corruption, and bribery
Fiskars Group impacts people's lives throughout its
global value chain. The Group respects all human
rights and recognizes the equality of people.
Fiskars Group is committed to full compliance with all
the applicable laws and regulations of the countries
in which it operates. All business is conducted in
accordance with the law and with integrity. Fiskars
Group does not allow working conditions or treatment
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that contravene basic human rights. All Fiskars Group
employees must be aware of and conduct their
activities in accordance with the Code of Conduct,
Employment Policy, and all supporting Fiskars Group
policies, even when the Code requires a higher
standard of behavior than is required by national laws
and local regulations.
Policies and commitments
Fiskars Group's commitment to human rights is
deeply ingrained in its values and is an integral
part of its policies. The Fiskars Group approach to
human rights is defined in the Fiskars Group Code
of Conduct, Supplier Code of Conduct, Employment
Policy, and other relevant policies, and in the
Human Rights Statement. The Fiskars Group Code
of Conduct and related training provide a detailed
description of the approach to doing business in an
ethical way. Civil and political rights, economic, social
and cultural rights, labor rights, and the rights of
vulnerable groups are essential for creating a positive
lasting impact on the quality of life for Fiskars Group
employees and the communities in which Fiskars
Group operates. Fiskars Group employees receive
regular training on the Code of Conduct to increase
awareness of and the ability to implement the Group's
principles in everyday work. In 2023, Fiskars Group
also took part in the Business & Human Rights training
program organized by the UN Global Compact.
Fiskars Group expects all business partners,
customers and their sub-contractors to be governed
by the same or similar principles as those stipulated
in the Fiskars Group Code of conduct. The Fiskars
Group's Supplier Code of Conduct communicates
Fiskars Group's ethical and sustainability expectations
to all suppliers and cooperation partners. Every
supplier must sign and commit to Fiskars Group's
Supplier Code of Conduct if they are to do business
with the Group.
Fiskars Group is a member of the United Nations
Global Compact, confirming Fiskars Group's
commitment to mitigating adverse human rights
issues and work against corruption and bribery. To
support Fiskars Group's commitment, the Fiskars
Group Anti-Corruption and Anti-Bribery Policy
outlines the expectations towards Fiskars Group's
employees, as well as all business partners, to
act impartially and in good faith at all times. The
policy covers every individual working in or with
Fiskars Group, at any level or grade, and wherever
they are located. Fiskars Group also expects all its
business partners to be governed by the same or
similar principles, as stipulated in this policy. Fiskars
Group expects all business partners to ensure these
principles are communicated to their employees and
sub-contractors.
In addition to the United Nations Global Compact
principles, Fiskars Group is committed to adhering
to the International Bill of Human Rights, UN Guiding
Principles on Business and Human Rights, the
International Labour Organization's Declaration on
Fundamental Principles and Rights at Work, and
the OECD Guidelines for Multinational Enterprises.
Fiskars Group supports the values, freedoms and
fundamental rights promoted in these texts and
is committed to continuously learning about and
following the evolution of human rights.
Targets and actions
Fiskars Group does not allow working conditions
or treatment that contravene basic human rights.
Fiskars Group has zero tolerance for child labor,
and safeguards vulnerable workers from abuse or
exploitation, regardless of their employment contract
or immigration status. Supplier sustainability audits
help assess and control human rights topics in the
Fiskars Group supply chain.
Fiskars Group is currently assessing awareness and
commitment to human rights and anti-corruption
and bribery by measuring the percentage of
employees who have participated in Code of Conduct
training. By the end of 2023, approximately 96%
of employees had completed the Code of Conduct
e-learning course.
A human rights assessment was conducted in 2019
to better understand the gaps, risks, opportunities
and steps required when developing a human rights
due diligence program. Progress has been made
since, and work has continued to develop human
rights due diligence. Instead of creating a separate
new process, Fiskars Group's aim is to integrate
human rights management more deeply into existing
processes, ESG strategy, policies and management.
During 2023, Fiskars Group had participants in the
Business & Human Rights training program organized
by the UN Global Compact. The program provided
useful tools for further developing the Group's human
rights actions.
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Fiskars Group is committed to conducting its
business ethically and responsibly, complying with
laws and regulations, and tolerating no violations
of Fiskars Group Code of Conduct or Fiskars Group
Policies. In 2023, the Fiskars Group Marketing Policy
and Employment Policy were updated to ensure a
foundation of respect for human rights, dignity and
responsibility.
Fiskars Group has in place the global Code of
Conduct Violation Response Policy, which defines
how the investigation of a suspected code violation
is conducted. The Policy complies with the EU
Whistleblowing Directive (EU) 2019/1937 and applies
to all Fiskars Group employees and all Fiskars Group
companies worldwide.
The Fiskars Group Code of Conduct requires all
employees or other persons working under Fiskars
Group's direction to report any suspected violations
to their manager, HR or Legal & Compliance
function, through the anonymous written Ethics
and Compliance Helpline, or by calling Ethics and
Compliance Hotline numbers. Fiskars Group has
country-specific numbers for those countries where
there is either a manufacturing unit or distribution
center or significant suppliers. Anonymous third-party
channels are also open to suppliers and partners.
All suspected violations and occurrences of
misconduct are promptly, thoroughly and
confidentially investigated by the Legal and
Compliance function. Depending on the case, relevant
functions such as HR are engaged in resolving the
issues. All reported cases are reported quarterly to
the Board's Audit Committee.
During 2023, Fiskars Group had a total of 45
reported misconduct cases. 22 reports were made
anonymously through the Ethics and Compliance
Helpline and Hotline, five cases were received
via management, 15 cases were received via HR,
and three were reported via the compliance email
address. The reported cases were related to
leadership issues, unethical behavior, the misuse
of employee benefits, breaches of policies and
guidelines, discrimination, bullying, conflicts of
interest, health and safety, fraud, and information
security. 43 of these cases were investigated,
resolved and closed during 2023. Two remain under
investigation or are being followed up. A total of 53
cases were closed during 2023, some being older
cases from the previous year. The substantiation rate
for 2023 was 44%, and the global report volume per
100 employees was 0.68.
During 2023, Fiskars Group had no significant cases
of non-compliance with laws and/or regulations that
resulted in fines or non-monetary sanctions.
Risks
The overall objective of Fiskars Group's risk
management is to identify, evaluate and manage risks
that may threaten the achievement of the Group's
business goals. The most material sustainability
related risks, including environmental, social and
employee matters, respect for human rights, and
anti-corruption and bribery matters, are included in
the established annual risk management process.
This ensures that risks related to sustainability are
identified and assessed, and that control measures
are set. Fiskars Group has put several processes
in place to manage risks, such as supplier risk
management processes and strategic initiatives to
lower emissions and reduce energy consumption.
Detailed risk descriptions can be found under the
section on Risks and business uncertainties.
EU Taxonomy
Fiskars Group discloses information according to the
Commission Delegated Regulation (EU) 2023/2486,
supplementing Regulation (EU) 2020/852 (“EU
Taxonomy for sustainable activities”) and amending
the Disclosures Delegated Act (Delegated Regulation
(EU) 2021/2178) of the European Parliament and of
the Council.
The EU has taken an active role in driving sustainable
growth. Directing investments toward sustainable
projects and activities is necessary to meet the
climate targets set by the EU. To support this, the EU
has established a classification system for sustainable
economic activities, the EU Taxonomy.
The EU Taxonomy consists of a list of environmentally
sustainable economic activities. The Taxonomy
Regulation establishes six environmental objectives.
The Climate Delegated Act (Delegated Regulation
(EU) 2021/2139 and Delegated Regulation (EU)
2023/2485 amending the Climate Delegated Act)
include technical screening criteria for economic
activities that substantially contribute to the
objectives of climate change mitigation and climate
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change adaptation. As of January 2023, large
companies in Europe have been required to provide
information about their Taxonomy-aligned economic
activities in addition to Taxonomy-eligible activities
for climate change mitigation and climate change
adaptation. The Environmental Delegated Act
(Delegated Regulation (EU) 2023/2486) includes
a new set of EU Taxonomy criteria for economic
activities making a substantial contribution to one or
more of the non-climate environmental objectives. As
of January 2024, large companies in Europe report
on Taxonomy-eligible activities for the non-climate
environmental objectives: the sustainable use and
protection of water and marine resources; the
transition to a circular economy; pollution prevention
and control; and the protection and restoration of
biodiversity and ecosystems.
The European Parliament and the Council have
prioritized those economic activities that can
make the most relevant contribution to the
environmental objectives defined in the Taxonomy.
The Environmental Delegated Act has extended
the Taxonomy beyond climate, but many economic
activities remain excluded from the Taxonomy
regulation. Retail mainly remained outside the
EU Taxonomy coverage until the Environmental
Delegated Act was published. Relevant activities
for retail, such as sales of spare parts or second-
hand goods, and repair, refurbishment and
remanufacturing, have been added under the
environmental objective “transition to a circular
economy”. However, some relevant sectors and
economic activities remain excluded from the
Taxonomy, as the EU Commission has stated that
it has not been possible to develop criteria for all
the sectors in which activities could conceivably
make a substantial contribution. The Taxonomy
will continue to be developed gradually over time.
Fiskars Group's main business is in manufacturing
consumer products for indoor and outdoor living.
The majority of economic activities carried out by
Fiskars Group remain outside the current scope of the
EU Taxonomy.
Taxonomy assessment
Fiskars Group has taken a stringent approach to
assessing Taxonomy-eligibility and alignment. The
Group has assessed turnover, capital and operational
expenditure for its forestry, cultural, manufacturing,
services and real estate activities. Within the current
Taxonomy scope, the most significant environmental
objectives for Fiskars Group are the transition to a
circular economy and climate change mitigation.
Sustainability is an important part of Fiskars Group's
Growth Strategy, and the Group is constantly working
to further improve its performance in this area.
Fiskars Group views sustainability as an opportunity
to take action in solving global challenges and
to create solutions that support consumers and
customers in their journey toward a more sustainable
future. Fiskars Group designs products of timeless,
purposeful and functional beauty, and has launched
new product series which use circular materials.
The Group continues to research and innovate with
new sustainable materials. Fiskars Group has also
introduced new service-based business models (for
example, the Vintage service and Fiskars pan care
service) to keep products in circulation for as long
as possible. The Group has set ambitious science-
based targets to reduce emissions and invests in
its operations to constantly improve efficiency and
become more circular. More information about Fiskars
Group's environmental sustainability can be found in
the “Non-financial information” section of this report
and the 2023 Sustainability Report, published as part
of the Annual Report.
The assessment of economic activities for Taxonomy
alignment include meeting the criteria of substantial
contribution, do-no-significant harm (DNSH) and
complying with minimum safeguards. Fiskars Group
assesses a substantial contribution for the specific
activity under assessment, whereas the DNSH criteria
and minimum safeguards are assessed at Group
level. If relevant, DSNH criteria are also assessed
at the activity level (e.g., 1.3 Forest Management).
The activities that meet all the Taxonomy criteria
(substantial contribution, DNSH and minimum
safeguards) are considered Taxonomy-aligned.
Fiskars Group has global management processes
and policies in place to cover environmental topics.
These include areas such as emissions, waste and
pollution. All the Group's own manufacturing units
and distribution centers hold ISO 14001 certifications.
Regarding the value chain, the Group has specific
requirements in place to which suppliers must
commit. These management processes help ensure
negative impacts on the environment are minimized.
Fiskars Group has reviewed the Minimum Social
Safeguards set out in Regulation (EU) 2020/852
and the Final Report on Minimum Safeguards by the
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EU Platform on Sustainable Finance. The minimum
safeguards cover minimum criteria on human rights,
bribery and corruption, taxation, and fair competition.
Fiskars Group has assessed its activities, policies and
processes to be aligned with the established criteria.
Fiskars Group has extensive policies in place for the
aforementioned topics, extending requirements to the
Group's business partners. The Group is committed to
and supports the values, freedoms and fundamental
rights promoted in internationally recognized labor
and human rights standards, as well as guidelines
on taxation and preventing bribery and corruption.
More information about advancing human rights,
anti-corruption and the prevention of bribery can be
found in the section on Reporting of non-financial
information and the 2023 Sustainability Report.
There are several reasons why some of Fiskars
Group's activities are not considered to be Taxonomy-
aligned based on the Group's evaluation. For some of
the activities, the technical screening criteria may not
be completely relevant or coherent with the activity
in question, leaving the objective as eligible for
Fiskars Group. Other activities which Fiskars Group
considers environmentally sustainable may not yet be
established in the Taxonomy at all.
Fiskars Group expects the share of eligibility and
alignment to increase as the Taxonomy continues to
be developed, and the economic activities within the
Taxonomy expanded. The share of turnover, CapEx,
and OpEx figures are accounted for from the relevant
separate IFRS reported account groups, and no items
have been double counted for the numerator.
The figures are presented in the tables at the end of
this section.
Taxonomy-eligible and Taxonomy-aligned
turnover
The proportion of Taxonomy-eligible turnover has
been calculated as the part of the net turnover
derived from products or services, including
intangibles, associated with Taxonomy-eligible
economic activities (numerator), divided by the
net turnover (denominator) of Fiskars Group. The
proportion of Taxonomy-aligned turnover has been
calculated as the part of net turnover derived
from products or services, including intangibles,
associated with Taxonomy-aligned economic
activities (numerator), divided by the net turnover
(denominator) of Fiskars Group.
In addition to providing consumer products and
services, Fiskars Group's activities include museums
and cultural activities, real estate activities, and forest
management. However, these represent a minority
of the overall business. Fiskars Group has identified
certain activities as Taxonomy-eligible, according to
the economic activities CCM 1.3 Forest management,
CCM 7.7 Acquisition and ownership of buildings, CCA
13.1 Creative, arts and entertainment activities, and
CCA 13.2 Libraries, archives, museums and cultural
activities in Annex I of Regulation (EU) 2021/2139. In
addition, economic activities CE 1.2. Manufacture of
electrical and electronic equipment, CE 5.1. Repair,
refurbishment and remanufacturing, CE 5.2 Sale of
spare parts, and CE 5.4. Sale of second-hand goods
have been identified as Taxonomy-eligible in Annex
II of Regulation (EU) 2023/2486. Of the eligible
activities mentioned, CCM 1.3 Forest management
has also been assessed as Taxonomy-aligned.
CCM 1.3 Forest management
Fiskars Group owns around 14,000 hectares of
FSC™-certified (FSC C109750) and PEFC-certified
(PEFC / 02-21-18) forests around the area of the
company-owned Fiskars Village and elsewhere in
Finland. Fiskars Group actively manages these forests
and generates income from selling wood (logging).
The carbon stock of the forests is significant.
According to an assessment conducted with Natural
Resources Institute Finland, the current carbon stock
of trees is 2.2 million tons of CO
2
equivalent, and the
total combined carbon stock of trees, other biomass
and soils is 5.7 million tons of CO
2
equivalent. The
current annual carbon sink of the forests is 18,000
tons of CO
2
equivalent. Fiskars Group's forest
management meets and in many parts exceeds the
criteria set by Finnish law. The Group has assessed
the substantial contribution criteria and fulfills the
required criteria. Group's Forest management is also
continuously audited through the FSC certification
requirements, for example.
In 2022, this economic activity was assessed as
Taxonomy-eligible. In 2023, this has been assessed
as Taxonomy-eligible and Taxonomy-aligned.
CCM 7.7 Acquisition and ownership of buildings
Fiskars Group owns real estate and collects income
from tenants renting the buildings in question.
However, the majority of rental properties are in
protected buildings, for which Energy Performance
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Certificates (EPCs) have not been acquired. Protected
buildings are not required to have EPCs. Energy
Performance measures have not been thoroughly
assessed, so Fiskars Group has assessed this activity
as Taxonomy-eligible but not aligned.
CCA 13.1 Creative, arts and entertainment
activities
Fiskars Group's brands have a strong heritage, and
historical and cultural connections are maintained by
offering creative experiences, for example. Fiskars
Group generates some income from these activities.
The Iittala Design Museum in Finland offers glass vase
mouth blowing for visitors. The World of Wedgwood
in the UK offers creative experiences in the form of
clay studios, pottery painting, and other activities and
workshops. Iittala & Arabia Design Centre in Helsinki
invites visitors to explore their own creativity through
workshops, lectures and events, for example.
These activities are solely Taxonomy-eligible and
not aligned, as they are not linked to climate change
adaptation.
CCA 13.2 Libraries, archives, museums and
cultural activities
Fiskars Group collaborates with museums and
institutions, including Design Museum Helsinki,
generating some income from ticket sales and tours.
Visits and guided tours are also arranged, e.g., at
Fiskars Group's factories in Ireland (the House of
Waterford), the U.K. (the World of Wedgwood) and
Slovenia (Rogaška).
These activities are solely Taxonomy-eligible and
not aligned, as they are not linked to climate change
adaptation.
CE 1.2. Manufacture of electrical and electronic
equipment
Lamps are part of Fiskars Group's product offering.
Reporting for 2023 only covers eligibility for this
activity. This economic activity has been assessed as
Taxonomy-eligible.
CE 5.1. Repair, refurbishment and remanufacturing
Fiskars Group offers repair services for old frying
pans. The lifecycle of Fiskars brand pans is long, but
the Fiskars pan care service extends the lifecycle of
these products even further by recoating them.
Fiskars pan care was first piloted in 2021. In time, the
coating used on frying pans might start to wear off.
Instead of buying a new pan, consumers in Finland
have been able to bring their old pans to Fiskars
Group's stores for proper cleaning and recoating.
The Fiskars pan care service restores the pans' best
features and saves natural resources compared to
buying a new pan.
Reporting for 2023 only covers eligibility for this
activity. This economic activity has been assessed as
Taxonomy-eligible.
CE 5.2 Sale of spare parts
Fiskars Group offers spare parts for some of its
Fiskars brand products. Offering spare parts for
products enables longer lifecycles for the products.
Focusing on product design is at the core of the
Group's sustainability actions and circular economy
framework. Designing for quality, longevity and
circularity decreases the burden that manufacturing
places on natural resources. Fiskars Group wants to
encourage consumers to take proper care of products
to keep them in use for as long as possible, providing
appropriate instructions and spare parts.
Reporting for 2023 only covers eligibility for this
activity. This economic activity has been assessed as
Taxonomy-eligible.
CE 5.4. Sale of second-hand goods
Fiskars Group has established a platform, Vintage
service, for consumers to buy and sell second-hand
Iittala, Arabia and Rörstrand tableware. The Group
enables passing on pre-loved classics to new hands
and stay in use for longer. First launched in 2019, the
Vintage service is currently available in the Group's
own stores across Finland and Sweden, with further
expansion plans in place.
The Group collaborates with the Helsinki Metropolitan
Area Reuse Centre Ltd. to conduct an annual
assessment of the environmental savings consumers
achieve by buying previously owned tableware
through the Vintage service instead of buying new
products. In 2023, the service helped avoid the
consumption of 120 tons of solid natural resources
and saved 40 tons of CO
2
emissions. The figures
cover the Finnish and Swedish markets.
There is clear consumer demand for and great
interest in buying used products and extending the
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lifetime of timeless designs. The Vintage service
enables sustainable consumption. Consumers
can find items that are no longer in production
and replenish their tableware collections. Tens of
thousands of vintage items have already found new
homes through the Vintage service.
Reporting for 2023 only covers eligibility for this
activity. This economic activity has been assessed as
Taxonomy-eligible.
Fiskars Group has identified 0.7% of Taxonomy-
eligible turnover, of which 0.2% is Taxonomy-aligned
turnover for 2023 from the economic activities
listed above.
Taxonomy-eligible and aligned CapEx
The proportion of taxonomy-eligible CapEx has been
calculated as part of the total CapEx related to assets
or processes that are associated with Taxonomy-
eligible economic activities. The proportion of
Taxonomy-aligned CapEx has been calculated as
part of the total CapEx related to assets or processes
that are associated with Taxonomy-aligned economic
activities. In addition, the numerator includes
individual measures that enable target activities
to become low carbon or lead to greenhouse
gas reductions, notably, activity 7.3 Installation,
maintenance and repair of energy efficient equipment.
The denominator has been compiled in accordance
with the application of international financial reporting
standards (IFRS) as adopted by Regulation (EC) No.
1126/2008.
Fiskars Group has set ambitious science-based
targets to reduce emissions. In line with these targets,
the Group is investing in ways to improve energy
efficiency and cut greenhouse gas emissions. To
distinguish the investments with the most significant
impacts on Fiskars Group's operations and to ensure
they represent a meaningful share of the Group's
overall CapEx, Fiskars Group has decided to gather
CapEx information mainly for activities exceeding
EUR 100,000.
Fiskars Group has identified two economic
activities under which certain projects were found
eligible: 7.3 Installation, maintenance and repair of
energy-efficiency equipment; and 7.6 Installation,
maintenance and repair of renewable energy
technologies, in Annex I of Regulation (EU) 2021/2139.
Part of the 7.3 Installation, maintenance and repair
of energy-efficiency equipment was assessed as
Taxonomy-aligned.
CCM 7.3 Installation, maintenance and repair of
energy-efficiency equipment
Under Installation, maintenance and repair of
energy-efficiency equipment, Fiskars Group has
identified equipment-related expenditures which
improve energy efficiency and/or reduce emissions
in manufacturing operations. During 2022 and 2023,
Fiskars Group invested in a robot coating line which
increases energy efficiency. In addition, Fiskars
Group is implementing an energy investment of
approximately EUR 10 million* in the Iittala glass
factory in Hämeenlinna, Finland, where the Group is
replacing the factory's existing natural gas-powered
furnaces with electricity-powered furnaces. With this
investment, the glass factory will reduce its annual
carbon dioxide emissions by 74% by the end of 2026.
In 2023, the Group continued investments in two new
furnaces, which will be run with renewable electricity
instead of natural gas.
As this economic activity is listed under Construction
and real estate in the EU Taxonomy, the technical
criteria listed are related to the energy efficiency
of buildings. The criteria are not relevant regarding
the investments mentioned above. The investment
mentioned has therefore been assessed as
Taxonomy-eligible but not aligned.
However, the Group has also continued to replace
lighting systems with more energy-efficient LED
lighting. In 2022, these investments were assessed
as Taxonomy-eligible. In 2023, these investments
have been assessed as Taxonomy-eligible and
Taxonomy-aligned.
CCM 7.6 Installation, maintenance and repair of
renewable energy technologies
During 2023, Fiskars Group continued to invest in
solar photovoltaic systems at its manufacturing units.
In 2022, this economic activity was assessed as
Taxonomy-eligible. In 2023, this has been assessed
as Taxonomy-eligible and Taxonomy-aligned.
Of the economic activities listed above, Fiskars Group
has identified 3.5% as Taxonomy-eligible, of which
0.3% as Taxonomy-aligned CapEx for 2023.
* Approximately 30% of the total investment will be covered by the European
Union's NextGenerationEU funding granted by the Ministry of Economic
Affairs and Employment of Finland on October 4, 2022. This energy
investment aid to the Iittala glass factory is EUR 2.871 million.
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Taxonomy-eligible and aligned OpEx
The OpEx denominator covers direct non-capitalized
costs related to research and development, building
renovation measures, short-term leases, maintenance
and repair, and other direct expenditure related to
the day-to-day servicing of assets of property, plant
and equipment by Fiskars Group or a third party to
whom activities are outsourced that are necessary
to ensure the continued and effective functioning of
such assets.
The OpEx numerator equates to the part of the
operating expenditure included in the denominator
that is related to assets or processes associated
with Taxonomy-eligible economic activities, including
training and other human resources adaptation needs,
and direct non-capitalized costs that represent
research and development.
Fiskars Group has identified relevant operational
expenditures related to Taxonomy-eligible turnover
from CCM 1.3 Forest management, and CCM 7.7
Acquisition and ownership of buildings and CE 5.1
Repair, refurbishment and remanufacturing. These
operational expenditures include personnel, IT,
rents and leases, and other running expenses. For
forest management, these also include expenses
from planting new trees. Fiskars Group's forest
management has been assessed as Taxonomy-
aligned, and the related OpEx is therefore also
assessed as Taxonomy-aligned (reported as
Taxonomy-eligible in 2022). Turnover from the
acquisition and ownership of buildings, and repair,
refurbishment and remanufacturing are assessed as
Taxonomy-eligible. OpEx is therefore also assessed as
Taxonomy-eligible.
The Group has also identified relevant operational
expenditure related to Taxonomy-aligned CapEx
from CCM 7.3 Installation, maintenance and repair
of energy-efficiency equipment. The CapEx related
to LED light investments has been assessed as
Taxonomy-aligned. OpEx related to LED light fixtures
is therefore also assessed as Taxonomy-aligned
(reported as Taxonomy-eligible in 2022).
Of the economic activities listed above, Fiskars Group
has identified 7.2% of Taxonomy-eligible OpEx, of
which 1.5% is Taxonomy-aligned for 2023.
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Turnover
Financial year 2023 2023 Substantial contribution criteria DNSH criteria ('Does Not Significantly Harm')
Economic Activities
Code(s)
Turnover
Proportion of Turnover,
2023
Climate change mitigation
Climate change adaptation
Water and marine
resources
Circular economy
Pollution
Biodiversity and
ecosystems
Climate change mitigation
Climate change adaptation
Water and marine
resources
Circular economy
Pollution
Biodiversity and
ecosystems
Minimum safeguards
Proportion of Taxonomy
aligned (A.1.) or eligible
(A.2.) turnover, year 2022
Category enabling activity
Category transitional
activity
M EUR % Y;N;N/EL Y;N;N/EL Y;N;N/EL Y;N;N/EL Y;N;N/EL Y;N;N/EL Y/N Y/N Y/N Y/N Y/N Y/N Y/N % E T
A. TAXONOMY-ELIGIBLE ACTIVITIES
A.1. Environmentally sustainable activities (Taxonomy-aligned)
Forest management CCM 1.3 2.172 0.2 Y N/EL N/EL N/EL N/EL N/EL Y Y Y Y Y Y Y 0
Turnover of environmentally
sustainable activities
(Taxonomy-aligned) (A.1)
2.172 0.2 100% 0% 0% 0% 0% 0% Y Y Y Y Y Y Y 0
Of which Enabling 0 0 0
Of which Transitional 0 0 0
A.2. Taxonomy-Eligible but not environmentally sustainable activities (not Taxonomy-aligned activities)
EL; N/EL EL; N/EL EL; N/EL EL; N/EL EL; N/EL EL; N/EL
Libraries, archives, museums and
cultural activities
CCA 13.2 0.842 0.1 N/EL EL N/EL N/EL N/EL N/EL 0.1
Forest management CCM 1.3 0 0 EL N/EL N/EL N/EL N/EL N/EL 0.2
Repair, refurbishment and
remanufacturing
CE 5.1 0.009 0 N/EL N/EL N/EL EL N/EL N/EL 0
Acquisition and ownership of
buildings
CCM 7.7 1.635 0.1 EL N/EL N/EL N/EL N/EL N/EL 0.1
Creative, arts and entertainment
activities
CCA 13.1 0.228 0 N/EL EL N/EL N/EL N/EL N/EL 0
Sale of second-hand goods CE 5.4 0.556 0.1 N/EL N/EL N/EL EL N/EL N/EL 0
Sale of spare parts CE 5.2 1.731 0.2 N/EL N/EL N/EL EL N/EL N/EL 0
Manufacture of electrical and
electronic equipment
CE 1.2 1.07 0.1 N/EL N/EL N/EL EL N/EL N/EL 0
Turnover of Taxonomy-Eligible but
not environmentally sustainable
activities (not-Taxonomy-aligned
activities) (A.2)
6.071 0.5 27% 18% 0% 55% 0% 0% 0.4
A. Turnover of Taxonomy eligible
activities (A.1+A.2)
8.243 0.7 46% 13% 0% 41% 0% 0% 0.4
B. TAXONOMY-NON-ELIGIBLE ACTIVITIES
Turnover of Taxonomy-non-eligible
activities
1,121.6
99.3
TOTAL 1,129.8
100
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CapEx
Financial year 2023 2023 Substantial contribution criteria DNSH criteria ('Does Not Significantly Harm')
Economic Activities
Code(s)
CapEx
Proportion of CapEx, 2023
Climate change mitigation
Climate change adaptation
Water and marine resources
Circular economy
Pollution
Biodiversity and
ecosystems
Climate change mitigation
Climate change adaptation
Water and marine resources
Circular economy
Pollution
Biodiversity and
ecosystems
Minimum safeguards
Proportion of Taxonomy
aligned (A.1.) or eligible (A.2.)
CapEx, year 2022
Category enabling activity
Category transitional
activity
M EUR % Y;N;N/EL Y;N;N/EL Y;N;N/EL Y;N;N/EL Y;N;N/EL Y;N;N/EL Y/N Y/N Y/N Y/N Y/N Y/N Y/N % E T
A. TAXONOMY-ELIGIBLE ACTIVITIES
A.1. Environmentally sustainable activities (Taxonomy-aligned)
Installation, maintenance and repair
of energy efficiency equipment
CCM 7.3 0.198 0.2 Y N/EL N/EL N/EL N/EL N/EL Y Y Y Y Y Y Y 0 E
Installation, maintenance and repair
of renewable energy technologies
CCM 7.6 0.096 0.1 Y N/EL N/EL N/EL N/EL N/EL Y Y Y Y Y Y Y 0 E
CapEx of environmentally
sustainable activities
(Taxonomy-aligned) (A.1)
0.293 0.3 100% 0% 0% 0% 0% 0% Y Y Y Y Y Y Y 0
Of which Enabling 0.293 0.3 100% 0% 0% 0% 0% 0% Y Y Y Y Y Y Y 0 E
Of which Transitional 0 0 0
A.2. Taxonomy-Eligible but not environmentally sustainable activities (not Taxonomy-aligned activities)
EL; N/EL EL; N/EL EL; N/EL EL; N/EL EL; N/EL EL; N/EL
Renovation of existing buildings CCM 7.2 0 0 EL N/EL N/EL N/EL N/EL N/EL 0.4
Installation, maintenance and repair
of energy efficiency equipment
CCM 7.3 3.106 3.2 EL N/EL N/EL N/EL N/EL N/EL 3.9
Installation, maintenance and repair
of renewable energy technologies
CCM 7.6 0 0 EL N/EL N/EL N/EL N/EL N/EL 0.1
CapEx of Taxonomy-Eligible but
not environmentally sustainable
activities (not-Taxonomy-aligned
activities) (A.2)
3.106 3.2 100% 0% 0% 0% 0% 0% 4.4
A. CapEx of Taxonomy eligible
activities (A.1+A.2)
3.399 3.5 100% 0% 0% 0% 0% 0% 4.4
B. TAXONOMY-NON-ELIGIBLE ACTIVITIES
CapEx of Taxonomy-non-eligible
activities
94.603
96.5
TOTAL 98.002
100
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OpEx
Financial year 2023 2023 Substantial contribution criteria DNSH criteria ('Does Not Significantly Harm')
Economic Activities
Code(s)
OpEx
Proportion of OpEx, 2023
Climate change mitigation
Climate change adaptation
Water and marine resources
Circular economy
Pollution
Biodiversity and
ecosystems
Climate change mitigation
Climate change adaptation
Water and marine resources
Circular economy
Pollution
Biodiversity and
ecosystems
Minimum safeguards
Proportion of Taxonomy
aligned (A.1.) or eligible (A.2.)
OpEx, year 2022
Category enabling activity
Category transitional
activity
M EUR % Y;N;N/EL Y;N;N/EL Y;N;N/EL Y;N;N/EL Y;N;N/EL Y;N;N/EL Y/N Y/N Y/N Y/N Y/N Y/N Y/N % E T
A. TAXONOMY-ELIGIBLE ACTIVITIES
A.1. Environmentally sustainable activities (Taxonomy-aligned)
Forest management CCM 1.3 0.507 1.5 Y N/EL N/EL N/EL N/EL N/EL Y Y Y Y Y Y Y 0
Installation, maintenance and repair
of energy efficiency equipment
CCM 7.3 0.007 0 Y N/EL N/EL N/EL N/EL N/EL Y Y Y Y Y Y Y 0 E
OpEx of environmentally sustainable
activities (Taxonomy-aligned) (A.1)
0.514 1.5 100% 0% 0% 0% 0% 0% Y Y Y Y Y Y Y 0
Of which Enabling 0.007 0 100% 0% 0% 0% 0% 0% Y Y Y Y Y Y Y 0 E
Of which Transitional 0 0 0
A.2. Taxonomy-Eligible but not environmentally sustainable activities (not Taxonomy-aligned activities)
EL; N/EL EL; N/EL EL; N/EL EL; N/EL EL; N/EL EL; N/EL
Forest management CCM 1.3 0 0 EL N/EL N/EL N/EL N/EL N/EL 1.2
Acquisition and ownership of
buildings
CCM 7.7 1.946 5.7 EL N/EL N/EL N/EL N/EL N/EL 5.0
Repair, refurbishment and
remanufacturing
CE 5.1 0.003 0 N/EL N/EL N/EL EL N/EL N/EL 0
OpEx of Taxonomy-Eligible but
not environmentally sustainable
activities (not-Taxonomy-aligned
activities) (A.2)
1.949 5.7 100% 0% 0% 0% 0% 0% 6.2
A. OpEx of Taxonomy eligible
activities (A.1+A.2)
2.462 7.2 100% 0% 0% 0% 0% 0% 6.2
B. TAXONOMY-NON-ELIGIBLE ACTIVITIES
OpEx of Taxonomy-non-eligible
activities
31.911
92.8
Total 34.373
100
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Changes in organization and
management
Organizational changes and factory furloughs
On January 23, 2023, Fiskars Group announced that
it was planning targeted organizational changes
to further drive end-to-end accountability in the
Business Areas and to enhance their focus on brands
and consumers. The organizational changes were
completed in the second quarter of 2023, and they
resulted in a reduction of approximately 100 roles
globally. The changes were mainly related to the
Business Areas. In addition, the company made
changes in its sales organizations in the Americas and
in Europe.
The organizational changes and efficiency
improvements announced in January 2023 were
expected to result in total annual cost savings of
approximately EUR 30 million, of which approximately
half were expected to be realized in the second half
of 2023. Whilst the changes have been completed
according to plans, the first savings have been
partially offset by accelerated inflation in general
and administrative expenses. One-off costs related
to the planned organizational changes amount to
a total of approximately EUR 5 million. These costs
were recorded as items affecting comparability
(IAC) in 2023.
On September 13, 2023, Fiskars Group announced
that it was planning to simplify its organizational
structure to support the continued transformation of
the company and to increase efficiency. The planned
changes included combining the current Business
Areas Terra and Crea into one Business area, Fiskars,
which would offer Fiskars and Gerber branded
products for the gardening, outdoor, cooking, scissors
and creating categories. Furthermore, the company
announced plans to simplify its global supply chain
organization to increase efficiency and ensure
competitiveness. The organizational changes were
completed in the fourth quarter of 2023, and they
resulted in a reduction of approximately 400 roles
globally.
The organizational changes announced in September
2023 were expected to result in total annual cost
savings of approximately EUR 25 million, out of which
the majority would realize during 2024. One-off
costs related to the changes amounted to a total of
approximately EUR 6 million and they were recorded
as items affecting comparability (IAC) in 2023.
In addition to the above organizational changes,
Fiskars Group temporarily adjusted capacity in some
of its factories due to the high level of inventories.
The company implemented furloughs of a maximum
of 90 calendar days during 2023 in its factories in
Billnäs, Sorsakoski and Iittala in Finland. Furthermore,
the company reorganized and optimized its retail
network in Finland during the second quarter. As a
result, three stores were closed.
Changes in management
On March 27, 2023, Fiskars Group appointed Aamir
Shaukat as Chief Supply Chain Officer and a member
of the Fiskars Group Leadership Team. Aamir started
in his position in July 2023, and he reports to
President and CEO Nathalie Ahlström.
On April 27, 2023, Fiskars Group announced that
Tuomas Hyyryläinen, Executive Vice President for
Business Area (BA) Crea and member of the Fiskars
Group Leadership Team, had decided to leave
Fiskars Group to take on a new challenge outside the
company. Jesper Blomster, previously Vice President,
Business Finance, BA Crea, took on the leadership
of the Crea organization on an interim basis as of
June 1, 2023.
On September 13, 2023, Fiskars Group announced
its plans to combine the Business Areas Terra and
Crea into one Business Area, Fiskars. Fiskars Group
announced that Charlene Zappa, Executive Vice
President for Business Area Terra, would leave the
company, and that Johan Hedberg, Chief Sales officer
Americas and President Americas, would step out of
the Leadership Team.
On September 26, 2023, Fiskars Group appointed
Dr. Steffen Hahn as Executive Vice President of
the new Business Area Fiskars and a member
of the Fiskars Group Leadership Team. Steffen
started in his position after the reporting period on
January 5, 2024, and reports to President and CEO
Nathalie Ahlström.
Other significant events during the
year
Change in official languages of Fiskars Group
announced on April 20, 2023
On April 20, 2023, Fiskars Group announced a change
in the Group's official languages as of 2024. As of
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January 1, 2024, Fiskars Group's official reporting
languages for regulatory disclosure are Finnish
and English. The Group ceased to use Swedish
as an official reporting language starting from the
aforementioned date. The reason for this decision
was the limited use of the Swedish language
materials. With this decision, the Group also aimed
to ensure the speed and efficiency of its financial
reporting and publication of releases.
Guidance lowered on July 5, 2023
On July 5, 2023, Fiskars Corporation lowered its
guidance for 2023, as the volatility in the market
environment continued and demand for the
company's products was expected to be weaker
than previously anticipated in the second half of
the year. The company expected comparable EBIT
in 2023 to be in the range of EUR 120–130 million.
Previously, the company had expected comparable
EBIT to be slightly below the 2022 level (2022: EUR
151.0 million).
Guidance lowered on October 12, 2023
On October 12, 2023, the Fiskars Corporation
lowered its guidance for 2023. The guidance update
was based on challenging market conditions in
the second half of the year, as well as the impact
from the Georg Jensen acquisition. The company
expected comparable EBIT in 2023 to be in the range
of EUR 100-120 million. Previously, the company had
expected comparable EBIT to be in the range of EUR
120-130 million (2022: EUR 151.0 million).
Acquisition of Georg Jensen announced on
September 14, 2023
On September 14, 2023, Fiskars Group announced
the acquisition of the renowned Danish luxury
lifestyle brand Georg Jensen. Fiskars Group signed
an agreement with Investcorp to buy Georg Jensen
by acquiring 100% of the shares of Georg Jensen
Investment APS. The Georg Jensen brand offers
iconic products in the home and jewelry categories.
With a 120-year heritage and a strong focus on
craftsmanship, creativity and design, Georg Jensen
fits Fiskars Group's luxury home brand portfolio well
and extends the luxury brands' share of the Group's
net sales from 25% to over one third. In 2022, Georg
Jensen's net sales were EUR 158.1 million and EBIT
was EUR 14.9 million.
Annual synergies are expected to amount to
approximately EUR 18 million, the majority of which
are expected to be realized by the end of 2025.
The integration-related costs are expected to be
EUR 10 million and to be realized in 2024-2026. The
transaction costs of approximately EUR 5 million have
been recorded in Q4 2023 and reported as items
affecting comparability.
Fiskars Group completed the acquisition of Georg
Jensen on October 1, 2023. The debt-free, cash-
free purchase price (enterprise value) was EUR 155
million (USD 165 million). The enterprise value of USD
165 million was converted to EUR based on a EUR/
USD rate of 1.0647, which was the rate on September
22, 2023. The impacts caused by foreign exchange
fluctuation were hedged. The acquisition was
financed with bridge loans from two Nordic banks.
The company converted the bridge financing into
long-term financing by issuing sustainability-linked
notes on November 9, 2023.
Georg Jensen was consolidated to Fiskars Group's
financial reporting under Business Area Vita as of
October 1, 2023.
Issuance of sustainability-linked notes announced
on November 9, 2023
On November 9, 2023, Fiskars Corporation
announced the issuance of senior unsecured
sustainability-linked notes in the aggregate principal
amount of EUR 200 million. The Notes will mature
on November 16, 2028 and carry initially a fixed
annual interest of 5.125 per cent. The issue date
for the Notes was November 16, 2023. The Notes
were issued in accordance with Fiskars Group's
Sustainability-Linked Bond Framework published on
November 6, 2023.
The net proceeds of the offering were used to
refinance the bridge financing relating to the
acquisition of Georg Jensen Investment ApS and for
general corporate purposes.
Corporate Governance
Fiskars Corporation is a Finnish public limited
company whose duties and responsibilities are
defined in Finnish law. Fiskars Group comprises
the parent company Fiskars Corporation, and its
subsidiaries. The statutory governing bodies of
Fiskars Corporation are the General Meeting of
Shareholders, the Board of Directors, the Managing
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Director (President and CEO), and the Auditor. Other
Group management supports the statutory governing
bodies of Fiskars Corporation. The company's
domicile is Raseborg, Finland.
Corporate governance at Fiskars Corporation is
based on the Finnish Limited Liability Companies
Act, the rules and regulations concerning publicly
listed companies, the Company's Articles of
Association, the charters of the Company's Board
of Directors and its Committees, and the rules
and guidelines of Nasdaq Helsinki Ltd. Fiskars
Corporation is a member of the Finnish Securities
Market Association and complies, with an exception
concerning the Nomination Committee, with the
Finnish Corporate Governance Code approved by
the Securities Market Association, which came into
force on January 1, 2020, and can be reviewed at
www.cgfinland.fi. In terms of the composition of the
Nomination Committee, the company has departed
from Recommendation 15 of the Finnish Corporate
Governance Code as explained in more detail in the
Corporate Governance Statement 2023.
Resolutions of Annual General
Meeting 2023 and Board's constitutive
meeting
The Annual General Meeting (AGM) of shareholders
of Fiskars Corporation was held at the Helsinki
Exhibition & Convention Centre, the Conference
Center Siipi (visiting address: Rautatieläisenkatu 3,
Helsinki, Finland), on March 15, 2023.
The AGM approved the financial statements for 2022
and discharged the members of the Board and the
President and CEO from the liability.
The AGM decided in accordance with the proposal
of the Board of Directors to pay dividend of EUR
0.80 per share for the financial period that ended
on December 31, 2022. The dividend was paid in
two instalments. The ex-dividend date for the first
instalment of EUR 0.40 per share was on March 16,
2023. The first instalment was paid to a shareholder,
who was registered in the shareholders' register of
the company maintained by Euroclear Finland Ltd.
on the dividend record date March 17, 2023. The
payment date for this instalment was March 24, 2023.
On September 7, 2023, the Board of Directors
resolved in accordance with the resolution of the
Annual General Meeting the record date and the
payment date of the second instalment of EUR 0.40
per share. The ex-dividend date for the second
instalment was September 11, 2023 and the dividend
record September 12, 2023. The payment date for the
second dividend instalment was September 19, 2023.
The AGM decided to adopt the Remuneration Report
for the governing bodies.
The AGM decided that the Board of Directors shall
consist of eight (8) members. Albert Ehrnrooth, Paul
Ehrnrooth, Louise Fromond, Julia Goldin, Carl-Martin
Lindahl, Volker Lixfeld, Jyri Luomakoski, and Ritva
Sotamaa were re-elected to the Board of Directors.
The term of the Board members will expire at the end
of the AGM in 2024.
Ernst & Young, Authorized Public Accountants firm,
was re-elected as auditor for the term that will
expire at the end of the AGM in 2024. Ernst & Young
has announced that the responsible auditor will be
Kristina Sandin, APA. The Annual General Meeting
decided that the auditors' fees shall be would
according to a reasonable invoice approved by the
Board of Directors.
Convening after the AGM held on March 15, 2023,
the Board of Directors elected Paul Ehrnrooth as its
Chair and Jyri Luomakoski as the Vice Chair. The
Board decided to establish a Nomination Committee
and appointed Paul Ehrnrooth (Chair) and Louise
Fromond as the members and Alexander Ehrnrooth as
an external member to the Nomination Committee. It
further decided to establish an Audit Committee and
appointed Jyri Luomakoski (Chair), Albert Ehrnrooth,
Louise Fromond and Ritva Sotamaa as the members
of the Audit Committee. The board also decided to
establish a Human Resources and Compensation
Committee and appointed Paul Ehrnrooth (Chair), Jyri
Luomakoski, Carl-Martin Lindahl and Volker Lixfeld, as
the members of the committee.
Board authorizations
Authorizing the Board of Directors to decide on
the repurchase and/or the acceptance as pledge of
the company's own shares
The Annual General Meeting 2023 decided to
authorize the Board of Directors to decide on the
repurchase of the company's own shares and/
or the acceptance as pledge of the company's
own shares. The maximum number of shares to be
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repurchased and/or accepted as pledge is 4,000,000.
Acquisitions of own shares may be made in one or
several instalments and by using the unrestricted
shareholders' equity of the company.
The company's own shares may be acquired in public
trading on Nasdaq Helsinki Ltd at a price formed in
public trading on the time of the acquisition.
The authorization may be used to acquire shares
to be used for the development of the capital
structure of the company, as consideration in
corporate acquisitions or industrial reorganizations
and as part of the company's incentive system as
well as otherwise for further transfer, retention or
cancellation.
The Board of Directors is authorized to decide on all
other terms and conditions regarding the acquisition
and/or pledge of the company's own shares. Based
on the authorization, the acquisition of the company's
own shares may be made otherwise than in
proportion to the share ownership of the shareholders
(directed acquisition).
The authorization is effective until June 30, 2024
and it canceled the authorization to decide on the
repurchase of the company's own shares granted to
the Board of Directors by the Annual General Meeting
on March 16, 2022.
Purchases of the company's own shares in 2023
In 2023, the company acquired 27,205 of its own
shares for approximately EUR 0.4 million. The average
price of the acquired shares was EUR 14.64 per share,
the highest price being EUR 15.00 per share, and the
lowest price EUR 14.30 per share. The shares were
acquired based on the authorization given by the
Annual General Meeting 2022 and 2023.
Authorizing the Board of Directors to decide on
the transfer of the company's own shares held as
treasury shares (share issue)
The Annual General Meeting 2023 decided to
authorize the Board of Directors to decide on the
transfer of a total maximum of 4,000,000 own
shares held as treasury shares (share issue), in one
or several instalments, either against or without
consideration.
The company's own shares held as treasury shares
may be transferred for example as consideration
incorporate acquisitions or industrial reorganizations
or for the development of the capital structure of the
company, or as part of its incentive system.
The Board of Directors is authorized to decide on all
other terms and conditions regarding the transfer
of own shares held as treasury shares. The transfer
of Own shares may also be carried out in deviation
from the shareholders' pre-emptive rights to the
company's shares (directed issue).
The authorization is effective until June 30, 2024, and
it canceled the corresponding authorization granted
to the Board of Directors by the Annual General
Meeting on March 16, 2022.
Transfers of the company's own shares in 2023
In 2023, the company transferred 243,762 of its own
shares in two directed issues. The first directed issue
(without consideration) related to rewards based
on the company's Performance Share plan to key
employees and it was based on authorization given
by the Annual General Meeting 2022. The second
directed issue (against payment) was related to a new
Fiskars Ownership plan directed to the company's
President and CEO, Group Leadership Team and
certain key employees determined by the Board, and
it was also based on authorization given by Annual
General Meeting 2022.
Shares and shareholders
Fiskars Corporation has one share series (FSKRS).
All shares carry one vote and equal rights. In 2023,
the number of shares in the Corporation totaled
81,000,000. Fiskars Corporation held 202,927 of its
own shares at the end of the year. The share capital
remained unchanged, at EUR 77,510,200.
Fiskars Corporation shares are traded in the Large
Cap segment of Nasdaq Helsinki. The volume
weighted average share price in 2023 was EUR 16.33
(18.61). At the end of December, the closing price
was EUR 17.86 (EUR 15.38) per share and Fiskars
Corporation had a market capitalization of EUR
1,443.0 million (1,239.3). The number of shares traded
on Nasdaq Helsinki and in alternative marketplaces
in 2023 was 6.0 million (9.7), which represents 7.4%
(12.1%) of the total number of shares. The total
number of shareholders was 33,776 (32,602) at the
end of 2023.
Flagging notifications
Fiskars Corporation was not informed of any
significant changes among its shareholders
during the year.
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Risks and business uncertainties
Fiskars Group's operations are subject to risks and
uncertainties arising from the Group's operations
or changes in the operating environment. The most
significant risks and business uncertainties that may
have an adverse impact on the company's business
and financial performance have been identified.
Sustainability related uncertainties are reviewed
as a part of Fiskars Group's annual enterprise risk
management process and as such are also presented
in the following pages. However, risks that are
presently either unidentified or deemed immaterial
to the company could emerge as material concerns
in the future. Fiskars Group's risk management
framework is further explained in a separate
Corporate Governance Statement.
Risk category Risk name Risk description Risk mitigation actions Risk trend*
Strategic risks
Adaptation to external
environment
The risk related to changes in the external environment, such as a
shift in consumer behavior and demand, consumer buying power, retail
customers' and competitors' actions, trade partners´ financial position,
regulatory actions, climate change and macroeconomic environment, can
result in decreased net sales and profit.
Fiskars Group has a diversified commercial footprint, both in terms
of geography and product portfolio, which enables effective portfolio
management.
The company adapts its procedures to the changing external
environment. For example, in the volatile business environment seen
in 2023, the company has safeguarded cash flow and profitability by
focusing on cost management and prudent spending. By adjusting the
company's organizational structure and operating model to enhance
agility, the company enables swift adaptation of business plans to
respond promptly to evolving external circumstances.
Fiskars Group's long-term strategy aims to effectively position the
company to capitalize on the opportunities arising from the evolving
landscape while concurrently addressing threats emerging from the
external environment.
Geopolitics The potential risks arising from geopolitical interactions, including trade
relationships, supply chains and territorial disputes between countries,
may lead to reduced net sales due to factors such as sanctions,
import restrictions and shifts in consumer behavior. The escalation of
geopolitical tension could hinder business operations, impacting both net
sales and sourcing in affected markets. In terms of sourcing, potential
disruptions in the supply chain could increase costs of raw materials
and sourced goods or affect their availability. Moreover, changes in the
geopolitical environment can influence business dealings with specific
countries, affecting value chains and potentially causing a loss of net
sales.
Fiskars Group's diversified commercial footprint enhances the company's
resilience in navigating uncertainties and challenges by diversifying
risks across multiple dimensions. The Group's production strategy is
based on a combination of its own manufacturing and carefully selected
supply partners. The Group's own manufacturing takes place in Europe,
Asia and the United States, and most of the suppliers are located in
Asia. The company is dedicated to fostering enduring partnerships with
reliable suppliers who align with the Group's corporate values. Multiple
suppliers are engaged to avoid reliance on a single source, and potential
alternative suppliers, including those in different regions, are proactively
mapped to enhance supply chain resilience.
The company can also maintain safety stocks to buffer against potential
disruptions in the supply chain to ensure product availability during
challenging geopolitical situations.
* Risk trend compared to previous year
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Risk category Risk name Risk description Risk mitigation actions Risk trend*
Operational risks
IT systems and
cybersecurity
Fiskars Group increasingly depends on centralized information
technology systems and suppliers that hold and process critical business
information. Breaches, malfunctions, cyber attacks and fraud attempts
directed at Fiskars Group or its suppliers may cause interruptions in
the company's operations at either a regional or global level. Such an
interruption may have a material adverse effect on the net sales, profit
and reputation of the Group.
Risks related to major system implementations such as conflicting or
missing data, budget overspend, and project delays can affect business
negatively. Operating against IT best practices such as following
poor lifecycle management may leave systems vulnerable and cause
compromised security. The risk applies both to the Group's own and
suppliers' or other third parties' IT environment.
Fiskars Group continuously mitigates IT-related risks by deploying high
quality IT solutions and by maintaining, developing, and testing their
function and integrity in accordance with internal IT control framework
and industry best practices. Critical service and technology providers are
required to have continuity and recovery plans for their services in the
event of disruptions. Changes to new and existing IT systems are made
in accordance with standard processes and procedures.
Fiskars Group's information and cyber security governance works to
integrate risks into corporate decision making. Security posture and
capabilities are ensured with various security technologies, including
network, endpoint and cloud detection and response, firewalls, threat
intelligence, and security operations. The security awareness program
develops and promotes a cyber security and data privacy mindset in all
the Group's employees.
Environment and
climate change
The impact of climate change and loss of biodiversity on well-functioning
ecosystems, temperatures and sea levels may cause unforeseen
challenges to Fiskars Group. Regulations aiming to decrease dependence
on fossil fuels and to reduce emissions, including the introduction of
new tax policies, may raise energy prices and other associated costs. As
regulations are tightening, and public awareness and expectations are
growing, past measures to reduce the environmental impact may prove
insufficient. The increasing frequency of natural catastrophes such as
floods and typhoons and loss of biodiversity may interrupt and impact
the operations of Fiskars Group.
Water scarcity and resource scarcity related to exhaustible fossil
materials are increasing long term global challenges, leading to increased
materials costs and the risk of production interruptions. Currently, the
challenge is the limited availability and higher prices of more sustainable
raw materials such as certified wood materials, renewable plastics and
recycled raw materials.
Fiskars Group is constantly increasing its sustainability efforts and aims
to minimize environmental risks through systematic risk management.
Fiskars Group is committed to promoting the circular economy,
combating climate change by taking actions to reduce emissions,
reducing the use of energy and promoting renewable energy sources. An
example of Fiskars Group's commitment to ESG is the recent issuance
of the sustainability-linked bond framework, with the aim of aligning the
company's long-term financing strategy with its sustainability targets.
Multiple source contracts and ongoing research on alternative
sustainable materials are utilized for managing price and availability risks.
The financial implications of business interruptions caused by natural
hazards are mitigated by insurance.
* Risk trend compared to previous year
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Risk category Risk name Risk description Risk mitigation actions Risk trend*
Seasonality and
weather
The demand for Fiskars Group's products across categories can be
influenced by both seasonal variations and weather conditions.
For Business Area Fiskars, the first half of the year is important for the
gardening category. The demand for garden tools can be significantly
influenced by weather conditions. Unfavorable weather, i.e., a cold
and rainy spring, can negatively impact the sales of these products,
while favorable conditions can boost their sales. In the winter months,
a snowless winter can negatively impact sales of snow tools and vice
versa. The back-to-school season during the second and third quarters
of the year is also important for the scissors category in Business Area
Fiskars.
For Business Area Vita, the second half, in particular the fourth quarter is
the most important time of year due to the holiday season.
Any negative developments related to product availability, demand
or increased costs in manufacturing or logistics during the important
seasons can significantly affect the full-year net sales and profit. The
seasonality of demand can differ from a typical year due to volatile
market conditions.
Extreme weather conditions, for example, storms and wildfires, are
expected to increase in the future due to climate change and may also
have a local impact on business operations.
Fiskars Group balances the impact of seasonality and changing weather
conditions by having an extensive and diverse product portfolio and
broad geographical footprint. The company can maintain safety stocks
as a buffer against possible supply chain disruptions. Additionally, the
company relies on multiple source contracts to manage both price and
availability risks.
The financial implications of property damage and business interruptions
caused by natural hazards are mitigated by comprehensive insurance
cover.
People People are at the core of Fiskars Group's strategy as the most important
asset and enabler. The effective execution of the Growth Strategy relies
heavily on having the right individuals in the right roles. A failure to
maintain a competitive employer brand poses challenges to attracting
and retaining the skilled and dedicated professionals essential for the
strategy's success in the competitive job market. Inadequate efforts to
cultivate an inspiring and motivating work environment may result in the
loss of critical competencies and the departure of key employees from
strategic positions. Addressing the evolving demands of modern work
life is crucial to preventing a decline in employee engagement, increased
absenteeism, and a rise in turnover rates.
Occupational health and safety risks carry the potential for severe harm
to employees and pose a threat to the continuity of operations. Failing
to address these risks may lead to a decline in employee motivation and
well-being, along with possible reputational and financial repercussions
for the company.
Employee engagement is promoted notably by providing opportunities
for professional growth through leadership training and skills
development and by committing to a diverse and inclusive culture. The
Group regularly conducts “Our Voice” employee surveys to monitor
engagement and well-being. Additionally, employees' commitment to the
company is enhanced through “MyFiskars,” a voluntary employee share
savings plan where participating employees are granted a gross reward
of one free matching share for every two shares acquired, assuming
the employee remains employed at Fiskars Group at the end of the plan
period, and they have kept the shares acquired until this date.
At the Group level, the company's target is zero lost time accidents.
Fiskars Group applies multiple approaches such as conducting risk
assessment workshops and LTA review boards to achieve this goal.
* Risk trend compared to previous year
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Risk category Risk name Risk description Risk mitigation actions Risk trend*
Brand reputation due
to ESG
As consumer expectations of ESG matters rise, a failure to meet these
standards or a lack of transparency in the supply chain or suppliers'
actions can adversely affect Fiskars Group's brand reputation and erode
consumer trust and loyalty, potentially leading to a decline in net sales.
Sustainability is a key element and one of the strategic growth enablers
for Fiskars Group, and the company has set concrete ESG targets and
linked them to decision making. Sustainability, beyond posing a risk,
represents an opportunity for Fiskars Group to further strengthen the
reputation and increase brand love. More comprehensive information
about the Group's sustainability work and results can be found in the
2023 Sustainability Report, Reporting of non-financial information and
Corporate Governance Statement, published as part of Fiskars Group's
Annual Report.
Fiskars Group strives to build strong and long-term relationships with
trusted suppliers that live up to the Group's corporate values. All
suppliers and business partners must comply with the Supplier Code
of Conduct, which outlines non-negotiable minimum standards on
topics such as health and safety, environmental protection, and human
and labor rights. Suppliers are instructed to adopt similar requirements
for their suppliers and to monitor their supply chains. The company
conducts assessments on its finished goods suppliers. For raw material
and component suppliers, as well as out-licensing partners, the company
uses third-party audit services to complement internal assessments.
Acquisitions Acquisitions are not a central part of the strategy of Fiskars Group;
however, the company may also grow through acquisitions, as seen in
2023, when Fiskars Group acquired the Danish luxury lifestyle brand
Georg Jensen.
All acquisitions and integrations of acquired businesses include risks.
Acquired businesses may not perform as expected, key individuals
may decide to leave the company, the costs of integration may exceed
expectations, and synergy effects may be lower than expected.
Employee uncertainty during the integration process may arise, as the
need to harmonize disparities in company cultures, ways of working,
processes, tools and practices requires careful consideration. This
transitional phase may lead to frustration and disengagement, impacting
overall performance.
Fiskars Group follows an acquisition strategy characterized by a
systematic and disciplined approach to identifying potential targets. The
strategy ensures that only those targets that are closely aligned with
the company's and its Business Areas' objectives and business goals are
considered for acquisition.
In the acquisition due diligence process, Fiskars Group conducts a
thorough investigation of the target company's business, market,
financial, operational, legal and regulatory aspects. This is a crucial step
in evaluating the value and potential of the target company, enhancing
the likelihood of a successful acquisition. In this phase of the acquisition,
Fiskars Group formulates an integration pre-plan, outlining the key steps
needed for successful integration and synergy realization for post-
acquisition.
The post-acquisition integration program features multiple streams, each
with detailed action plans and assigned responsible persons to ensure a
structured and coordinated approach to successful integration.
Product safety and
liability
Fiskars Group is committed to offering high quality and functional
products that are safe to use and fit for purpose. As a manufacturer
and seller of an extensive portfolio, including sharp cutting tools, food
contact items and children's products with a broad distribution, there is
a risk that the company's products and packaging fail to meet or do not
comply with safety, quality and legal requirements, causing a possible
halt to deliveries or a product recall, reputation loss, indemnities, and lost
sales.
Fiskars Group seeks to ensure all its products meet the pre-set high
standards for quality, compliance and product safety. The product
development process at Fiskars Group is based on continuous testing
and learning, and the company has invested in product development and
quality assurance resources to mitigate against any potential product
safety concerns in an early stage of product development.
Comprehensive insurance cover and a product recall policy are in place
to mitigate the financial impact of a recall and to precipitate the process
of recalling potentially harmful products from the markets.
* Risk trend compared to previous year
32
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AUDITOR’S
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REPORT BY THE
BOARD OF DIRECTORS
Risk category Risk name Risk description Risk mitigation actions Risk trend*
Compliance risks
Legal and regulatory
compliance
As a global company with operations in multiple countries, the changing
legal and regulatory environment, both regional and supraregional,
may expose Fiskars Group to compliance and litigation risks regarding
competition compliance, corruption, tax, customs or export controls,
for example. Furthermore, environmental, social and governance (ESG)
related legislation and regulations are increasing and may affect the
company's supply chain management and choices regarding product
materials and manufacturing techniques, for example. If the company is
not predictive in identifying changes in laws and regulations and fails to
implement necessary changes consistently in its business operations,
this may cause financial or reputational damage and exposure to criminal
liability.
Fiskars Group registers, processes, stores and uses personal data in
the course of its business operations, specifically regarding personal
data related to consumers. There are increasing regulatory requirements
for data protection, as well as accelerating changes in technology
and heightened consumer and public expectations. If the company
fails to fulfill its control obligations or processes or prevent or detect
unauthorized access to personal information causing a violation of the
GDPR or other applicable law or leakage of personal data, this may result
in reputational damage and/or fines.
Fiskars Group is committed to ethical and responsible business practices
and to respecting human rights. To enhance legal and regulatory
compliance, Fiskars Group has implemented various compliance
programs, policies and processes. There is a mandatory Code of
Conduct training program for all employees and other mandatory
trainings for targeted employee groups. All finished goods suppliers need
to comply with Fiskars Group's Supplier Code of Conduct requirements.
Fiskars Group has established a cross-functional body to lead and
govern its privacy and cyber security related policies, processes and
practices.
To ensure accountability, a whistle blowing channel allows anonymous
reporting of any misconduct, with the company committed to taking
swift corrective action when necessary.
Intellectual property
rights
The well-known and strong Fiskars Group's brands are exposed to
infringement of intellectual property rights (IPR). There is a risk that the
company, its agents or suppliers can be harmed by employees, agents
or third parties using company trade secrets or intellectual property
to the Group's detriment. Counterfeit products may present quality
and safety risks to consumers and may damage consumer confidence
in the Group's products. Fiskars Group is also exposed to the risk of
unintentionally violating other parties' intellectual property rights.
Infringement of IPRs may lead to a loss of net sales and profit.
Potential IPR infringements are monitored through cross-functional
processes and through online monitoring and systems. Fiskars Group
has an enforcement policy in place that governs the enforcement actions
that are taken to protect the exclusivity of Fiskars Group's IPRs. Fiskars
Group has a good understanding of the competitive landscape and
provides its employees with training in IPRs.
* Risk trend compared to previous year
33
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PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
Risk category Risk name Risk description Risk mitigation actions Risk trend*
Financial risks
Currency rates With a significant part of the business in the United States and in other
countries outside the eurozone, Fiskars Group is exposed to fluctuations
in foreign currency rates. A change in the exchange rate may have
a material impact on the reported financial figures. A change in the
exchange rate may also negatively impact the local competitiveness
of a Fiskars Group company. The most significant transaction risks are
related to the appreciation of THB, DKK and USD and the depreciation of
SEK, AUD and JPY. The most significant translation risks are related to
the depreciation of USD.
Currency risks related to commercial cash flows are first managed
by offsetting cash flows denominated in the same foreign currency.
Purchases of production inputs and the sales of products are primarily
denominated in the local currencies of the Fiskars Group companies. The
remaining net exports or imports in foreign currencies are hedged up to
15 months in advance using currency forwards and swaps.
Tax and customs Fiskars Group entities are subject to tax and customs audits in several
countries. The risk that the company fails to comply with international
or local tax or customs regulation may lead to additional tax obligations
and changes in tax or import duty liabilities and may cause loss of profit,
penalties and interest, and a negative reputational impact.
Fiskars Group closely monitors changes in tax and customs regulations
and international agreements to proactively manage risks related to
taxes and duties. Processes and controls are actively developed and
maintained to ensure compliance with any local and international
requirements. Fiskars Group promotes an open dialog with the tax and
customs authorities and may seek advance rulings and other advance
processes where necessary to secure its tax positions and customs
compliance.
Financial investments The financial investment portfolio of Fiskars Group consists mainly
of investments in unlisted private equity funds. The value of the
investments is exposed to fluctuations in the financial markets, including
changes in interest rates and foreign exchange rates, and increases in
credit risk. Financial investments are treated at fair value through profit
or loss.
The foreign exchange risk is hedged up to 15 months in advance using
currency forwards and swaps.
* Risk trend compared to previous year
34
OTHER FINANCIAL
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PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
Events after the reporting periods
January 9, 2024: Negative goodwill recognized
from Georg Jensen acquisition
On January 9, 2024, Fiskars Group announced
that it had finalized the purchase price allocation
of the Georg Jensen acquisition and recognizes
negative goodwill from it. As a result, the company
recorded a gain of EUR 25.4 million as items affecting
comparability (IAC) in Q4 2023. As the negative
goodwill was recorded as IAC in other operating
income, it did not impact Fiskars Group's comparable
EBIT in 2023 or the company's guidance for 2023.
The negative goodwill was generated as the purchase
price was lower than the fair value of acquired net
assets. In addition to the negative goodwill, the
other main items from the purchase price allocation
with income statement impact were fair valuation of
inventory and intangible assets.
January 10, 2024: Listing application for
sustainability-linked notes submitted
On January 10, 2024, Fiskars Corporation announced
that it had submitted an application for its EUR 200
million sustainability-linked notes to be admitted to
trading on the list of sustainable bonds of Nasdaq
Helsinki Ltd. Trading on the Notes was expected to
commence on or about 12 January 2024 under the
trading code "FSKRSJ512528".
Fiskars Corporation announced its decision to issue
the notes on 9 November 2023. The Notes were
issued on 16 November 2023.
January 31, 2024: Change in the Fiskars Group
Leadership Team
On January 31, 2024, Fiskars Group announced its
plans to integrate sales operations into the Business
Areas and terminated the Group-level position of
Chief Sales Officer, Europe and APAC (excl. China). As
a result of this change, Gennady Jilinski stepped out
of the leadership team and left the company.
February 2, 2024: Proposals of the Nomination
Committee of the Board of Directors to Fiskars
Corporation's Annual General Meeting 2024
The Nomination Committee of the Board of Directors
proposes to the Annual General Meeting that the
following individuals shall be re-elected to the Board
of Directors: Albert Ehrnrooth, Paul Ehrnrooth, Louise
Fromond, Julia Goldin, Carl-Martin Lindahl, Volker
Lixfeld and Jyri Luomakoski. Ritva Sotamaa has
informed that she will no longer be available for re-
election to the Board of Directors. The Nomination
Committee proposes further that the Annual General
Meeting shall elect Susan Repo as a new member of
the Board of Directors.
The Nomination Committee proposes that the annual
fees of the members of the Board of Directors shall
be EUR 70,000, the annual fee of the Vice Chairman
EUR 105,000 and the annual fee of the Chairman
EUR 140,000.
Guidance for 2024
Fiskars Corporation expects comparable EBIT
to be slightly above the 2023 level (2023: EUR
110.3 million).
Assumptions behind the guidance
The operating environment is expected to remain
challenging and impact demand in 2024. Based
on the company's current visibility on the market
development, this applies especially to the first
half of the year. The savings from the completed
organizational changes are expected to support EBIT,
although they will be partially offset by wage inflation.
As a result of the Georg Jensen acquisition, the
Group's EBIT generation will shift even more toward
the end of the year, highlighting the importance of the
second half and especially the fourth quarter.
Proposal for the distribution of
dividend
Fiskars Corporation's aim is to distribute a stable,
over time increasing dividend, to be paid biannually.
According to the balance sheet of the parent
company at the end of the financial period 2023, the
distributable equity of the parent company was EUR
855.8 million (2022: EUR 231.9 million).
The Board of Directors proposes to the Annual
General Meeting that a dividend of EUR 0.82 per
share shall be paid for the financial period that ended
on December 31, 2023. The dividend shall be paid
in two instalments. The ex-dividend date for the
first instalment of EUR 0.41 per share shall be on
March 14, 2024. The first instalment shall be paid to
a shareholder who is registered in the shareholders'
register of the company maintained by Euroclear
Finland Oy on the dividend record date March 15,
2024. The payment date proposed by the Board of
Directors for this instalment is March 22, 2024.
The second instalment of EUR 0.41 per share shall
be paid in September 2024. The second instalment
shall be paid to a shareholder who is registered in
the shareholders' register of the company maintained
35
OTHER FINANCIAL
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BOARD’S
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AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
by Euroclear Finland Oy on the dividend record
date, which, together with the payment date, shall
be decided by the Board of Directors in its meeting
scheduled for September 12, 2024. The ex-dividend
date for the second instalment would be September
13, 2024, the dividend record date for the second
instalment would be September 16, 2024 and the
dividend payment date September 23, 2024, at
the latest.
On the date of the financial statement release,
the number of shares entitling their holders to a
dividend was 80,797,073. The proposed distribution
of dividends would thus be EUR 66.3 million (2022:
EUR 64.5 million). This would leave EUR 789.5 million
(2022: EUR 167.4 million) of distributable earnings in
the parent company.
No material changes have taken place in the financial
position of the company since the end of the financial
period. The financial standing of the company is
good and, according to the Board of Directors'
assessment, distributing the proposed dividend will
not compromise the company's solvency.
Espoo, Finland, February 7, 2024
FISKARS CORPORATION
Board of Directors
36
OTHER FINANCIAL
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AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
Consolidated Financial Statements, IFRS
Consolidated income statement
EUR million Note 2023 2022
Net sales 2.1 1,129.8 1,248.4
Cost of goods sold 2.3 -618.5 -692.5
Gross profit 511.4 45% 555.9 45%
Other operating income 2.2 28.9 5.6
Sales and marketing expenses 2.3 -292.6 -276.1
Administration expenses 2.3 -124.5 -120.9
Research and development expenses 2.3 -19.8 -20.8
Other operating expenses 2.3 -4.5 -8.9
Operating profit (EBIT) 98.9 9% 134.7 11%
Change in fair value of biological assets 3.4 4.8 1.1
Financial income and expenses 2.6 -24.0 -11.7
Profit before taxes 79.7 7% 124.1 10%
Income taxes 2.7 -9.7 -25.0
Profit for the period 70.0 6% 99.1 8%
Attributable to:
Equity holders of the parent company 69.9 98.2
Non-controlling interest 0.2 0.9
Profit for the period 70.0 99.1
Earnings for equity holders of the parent
company per share, euro (basic and diluted)
2.8 0.86 1.21
EUR million Note 2023 2022
Profit for the period 70.0 99.1
Other comprehensive income for the period:
Items that may be reclassified subsequently
to profit or loss:
Translation differences -8.3 3.6
Cash flow hedges -0.7 0.1
Items that will not be reclassified to profit
or loss:
Defined benefit plans, actuarial gains
(losses), net of tax
4.4 -0.1 1.3
Other comprehensive income for the period,
net of tax
-9.1 5.1
Total comprehensive income for the period 61.0 104.2
Attributable to:
Equity holders of the parent company 60.9 103.2
Non-controlling interest 0.0 1.0
Total comprehensive income for the period 61.0 104.2
Consolidated statement of comprehensive income
37
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FINANCIAL
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Financial statements
Consolidated balance sheet
EUR million Note 31.12.2023 31.12.2022
ASSETS
NON-CURRENT ASSETS
Goodwill 3.1 220.1 221.2
Other intangible assets 3.1 371.7 278.6
Property, plant & equipment 3.2 163.2 146.3
Right-of-use assets 3.3 143.4 110.6
Biological assets 3.4 51.3 46.5
Investment property 3.5 5.3 5.8
Financial assets at fair value through profit or
loss
5.3 30.9 29.0
Other investments 5.3 3.5 3.5
Deferred tax assets
1
2.7 28.4 31.9
Other non-current assets 5.3 11.0 6.4
Non-current assets total 1,028.8 59% 879.7 55%
CURRENT ASSETS
Inventories 4.1 364.0 364.7
Trade receivables 4.2 177.2 170.5
Other current receivables 4.2, 5.3 52.0 48.8
Income tax receivables 4.2 7.2
Interest-bearing receivables 1.4 1.7
Cash and cash equivalents 5.3 127.3 115.8
Current assets total 726.1 41% 708.6 45%
Assets total 1,754.9 100% 1,588.3 100%
EUR million Note 31.12.2023 31.12.2022
EQUITY AND LIABILITIES
EQUITY
Equity attributable to the equity holders of the
parent company
1
Non-controlling interest 3.8 4.1
Equity total 5.1 823.7 47% 823.9 52%
NON-CURRENT LIABILITIES
Interest-bearing liabilities 5.4 330.7 130.4
Lease liabilities 5.5 117.4 92.9
Deferred tax liabilities 2.7 38.8 34.5
Employee defined benefit obligations 4.4 12.1 10.8
Provisions 4.5 3.3 2.4
Other non-current liabilities 4.1 4.0
Non-current liabilities total 506.4 29% 275.1 17%
CURRENT LIABILITIES
Interest-bearing liabilities 5.4 92.5 195.2
Lease liabilities 5.5 33.3 22.5
Trade payables
1
4.3 102.1 83.9
Other current payables 4.3 184.5 180.9
Income tax liabilities 6.7 3.8
Provisions 4.5 5.8 3.0
Current liabilities total 424.9 24% 489.3 31%
Equity and liabilities total 1,754.9 100% 1,588.3 100%
1
2022 opening balance restated, details in equity statement.
38
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REPORT BY THE
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FINANCIAL
STATEMENTS
Consolidated statement of cash flows
EUR million 2023 2022
Cash flow from operating activities
Profit before taxes 79.7 124.1
Adjustments for
Depreciation, amortization and impairment 66.0 59.4
Gain/loss on sale and loss on scrap of non-current assets -0.4 0.6
Other financial items 23.9 12.3
Change in fair value of biological assets -4.8 -1.1
Change in provisions and other non-cash items -27.9 -11.2
Cash flow before changes in working capital 136.6 184.0
Changes in working capital
Change in current assets, non-interest bearing 1.2 14.9
Change in inventories 114.9 -89.7
Change in current liabilities, non-interest-bearing -5.1 -134.1
Cash flow from operating activities before financial items and taxes 247.5 -24.9
Financial income received and costs paid -14.8 -7.4
Taxes paid -11.9 -29.2
Cash flow from operating activities (A) 220.8 -61.4
EUR million 2023 2022
Cash flow from investing activities
Investments in financial assets -0.2 -0.4
Capital expenditure on fixed assets -50.8 -48.1
Proceeds from sale of fixed assets 0.9 1.5
Acquired in business combinations, net of cash acquired -121.3
Proceeds from sale of assets held for sale 43.9
Disposal of subsidiary, net of cash disposed of -9.2
Other dividends received 0.5 0.2
Cash flow from other investments 1.1 4.3
Cash flow from investing activities (B) -169.8 -7.8
Cash flow from financing activities
Purchase of treasury shares -0.4 -18.0
Change in current receivables 2.2 -1.7
Proceeds from non-current debt 198.8 130.1
Repayments of non-current debt -0.4 -0.3
Change in current debt -145.6 129.3
Payment of lease liabilities -30.8 -26.5
Cash flow from other financing items 1.4
Dividends paid -65.1 -62.9
Cash flow from financing activities (C) -40.0 149.8
Change in cash and cash equivalents (A+B+C) 11.1 80.5
Cash and cash equivalents at beginning of period 115.8 31.5
Translation differences 0.4 3.7
Cash and cash equivalents at end of period 127.3 115.8
39
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REPORT BY THE
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FINANCIAL
STATEMENTS
Statement of changes in consolidated equity
Equity attributable to shareholders of the parent company
EUR million
Share
capital
Treasury
shares
Cumul.
transl.
diff.
Fair
value
reserve
Actuarial
gains and
losses
Retained
earnings
Non-
controlling
interest Total
Opening Balance Jan 1, 2022
Translation differences 3.6 0.1 3.6
Cash flow hedges 0.1 0.1
Defined benefit plan, actuarial gains (losses), net of tax 1.3 1.3
Other comprehensive income for the period, net of tax, total 0.0 0.0 3.6 0.1 1.3 0.0 0.1 5.1
Profit for the period 98.2 0.9 99.1
Total comprehensive income for the period 0.0 0.0 3.6 0.1 1.3 98.2 1.0 104.2
Purchase and issue of treasury shares -18.0 -18.0
Share-based payments 1.8 -4.5 -2.7
Cancellation of treasury shares 16.6 -16.6 0.0
Dividends paid -61.7 -1.1 -62.8
Other changes 5.4 -6.6 -1.3
Balance at Dec 31, 2022 77.5 -6.7 18.1 0.1 -0.1 742.7 4.1 835.6
Opening Balance Jan 1, 2023 77.5 -6.7 18.1 0.1 -0.1 742.7 4.1 835.6
Correction relating to prior years
1
-11.8 -11.8
Opening Balance Jan 1, 2023 77.5 -6.7 18.1 0.1 -0.1 730.9 4.1 823.9
Translation differences -8.2 -0.1 -8.3
Cash flow hedges -0.7 -0.7
Defined benefit plan, actuarial gains (losses), net of tax -0.1 -0.1
Other comprehensive income for the
period, net of tax, total
Profit for the period 69.9 0.2 70.0
Total comprehensive income for the period 0.0 0.0 -8.2 -0.7 -0.1 69.9 0.0 61.0
Purchase and issue of treasury shares 2.2 0.4 2.6
Share-based payments 1.6 0.4 2.0
Dividends paid -64.6 -0.3 -65.0
Other changes -0.8 -0.8
Balance at Dec 31, 2023 77.5 -3.0 9.9 -0.6 -0.1 736.2 3.8 823.7
1
Correction to previous years according to IAS 8.43 and 8.44, adjustment related to inventory purchases in the US market. Additionally, 1.1.2023 Trade payables balance has been adjusted by an increase of 14.7 MEUR and Deferred tax assets by
Dividends
The Board of Directors has proposed a total dividend of EUR 0.82 per share to be paid for the 2023 result. A cash dividend of EUR 0.80 per share was paid for the 2022 result.
The notes are an integral part of these consolidated financial statements.
40
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REPORT BY THE
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FINANCIAL
STATEMENTS
1.1 Basic information 43
1.2 Basis of preparation 43
1.3 Consolidation principles 43
1.4 Translation of foreign currency items 43
1.5 Use of estimates 44
1.6 New and amended standards applied in financial
year ended 44
1.7 Adoption of new and amended standards January 1, 2024 44
1.
General
accounting
principles
42
OTHER FINANCIAL
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REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
1 General accounting principles
43
OTHER FINANCIAL
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AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
44
OTHER FINANCIAL
INFORMATION
BOARD’S
PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
2.1 Segment information 46
2.2 Other operating income 49
2.3 Total expenses 50
2.4 Employee benefits and number of personnel 51
2.5 Share based payments 52
2.6 Financial income and expenses 55
2.7 Income taxes 55
2.8 Earnings per share 57
2.
Financial
performance
45
OTHER FINANCIAL
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REPORT
REPORT BY THE
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FINANCIAL
STATEMENTS
2 Financial performance
46
OTHER FINANCIAL
INFORMATION
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REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
47
OTHER FINANCIAL
INFORMATION
BOARD’S
PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
48
OTHER FINANCIAL
INFORMATION
BOARD’S
PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
49
OTHER FINANCIAL
INFORMATION
BOARD’S
PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
50
OTHER FINANCIAL
INFORMATION
BOARD’S
PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
51
OTHER FINANCIAL
INFORMATION
BOARD’S
PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
52
OTHER FINANCIAL
INFORMATION
BOARD’S
PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
53
OTHER FINANCIAL
INFORMATION
BOARD’S
PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
54
OTHER FINANCIAL
INFORMATION
BOARD’S
PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
55
OTHER FINANCIAL
INFORMATION
BOARD’S
PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
56
OTHER FINANCIAL
INFORMATION
BOARD’S
PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
57
OTHER FINANCIAL
INFORMATION
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PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
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FINANCIAL
STATEMENTS
3.1 Intangible assets 59
3.2 Property, plant and equipment 63
3.3 Right-of-use assets 65
3.4 Biological assets 66
3.5 Investment property 66
3.
Intangible
and tangible
assets
58
OTHER FINANCIAL
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STATEMENTS
3 Intangible and tangible assets
59
OTHER FINANCIAL
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AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
60
OTHER FINANCIAL
INFORMATION
BOARD’S
PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
61
OTHER FINANCIAL
INFORMATION
BOARD’S
PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
1
62
OTHER FINANCIAL
INFORMATION
BOARD’S
PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
63
OTHER FINANCIAL
INFORMATION
BOARD’S
PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
64
OTHER FINANCIAL
INFORMATION
BOARD’S
PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
65
OTHER FINANCIAL
INFORMATION
BOARD’S
PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
66
OTHER FINANCIAL
INFORMATION
BOARD’S
PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
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FINANCIAL
STATEMENTS
4.1 Inventories 68
4.2 Trade and other receivables 69
4.3 Trade and other payables 70
4.4 Employee defined benefit obligations 70
4.5 Provisions 76
4.
Operative
assets and
liabilities
67
OTHER FINANCIAL
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STATEMENTS
4 Operative assets and liabilities
68
OTHER FINANCIAL
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STATEMENTS
69
OTHER FINANCIAL
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BOARD’S
PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
70
OTHER FINANCIAL
INFORMATION
BOARD’S
PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
71
OTHER FINANCIAL
INFORMATION
BOARD’S
PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
72
OTHER FINANCIAL
INFORMATION
BOARD’S
PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
73
OTHER FINANCIAL
INFORMATION
BOARD’S
PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
74
OTHER FINANCIAL
INFORMATION
BOARD’S
PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
75
OTHER FINANCIAL
INFORMATION
BOARD’S
PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
76
OTHER FINANCIAL
INFORMATION
BOARD’S
PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
5.1 Share capital 78
5.2 Financial risk management 79
5.3 Financial assets 81
5.4 Financial liabilities 83
5.5 Lease liabilities 88
5.6 Derivatives 89
5.
Capital
structure and
financial
instruments
77
OTHER FINANCIAL
INFORMATION
BOARD’S
PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
5 Capital structure and financial
instruments
78
OTHER FINANCIAL
INFORMATION
BOARD’S
PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
79
OTHER FINANCIAL
INFORMATION
BOARD’S
PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
80
OTHER FINANCIAL
INFORMATION
BOARD’S
PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
81
OTHER FINANCIAL
INFORMATION
BOARD’S
PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
82
OTHER FINANCIAL
INFORMATION
BOARD’S
PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
83
OTHER FINANCIAL
INFORMATION
BOARD’S
PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
84
OTHER FINANCIAL
INFORMATION
BOARD’S
PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
85
OTHER FINANCIAL
INFORMATION
BOARD’S
PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
86
OTHER FINANCIAL
INFORMATION
BOARD’S
PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
87
OTHER FINANCIAL
INFORMATION
BOARD’S
PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
88
OTHER FINANCIAL
INFORMATION
BOARD’S
PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
89
OTHER FINANCIAL
INFORMATION
BOARD’S
PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
6.1 Subsidiaries 91
6.2 Related party transactions 93
6.3 Acquisitions and divestments 96
6.4 Commitments and contingencies 99
6.5 Subsequent events after the reporting period 99
6.
Other
notes
90
OTHER FINANCIAL
INFORMATION
BOARD’S
PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
6 Other notes
91
OTHER FINANCIAL
INFORMATION
BOARD’S
PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
92
OTHER FINANCIAL
INFORMATION
BOARD’S
PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
93
OTHER FINANCIAL
INFORMATION
BOARD’S
PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
94
OTHER FINANCIAL
INFORMATION
BOARD’S
PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
95
OTHER FINANCIAL
INFORMATION
BOARD’S
PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
96
OTHER FINANCIAL
INFORMATION
BOARD’S
PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
97
OTHER FINANCIAL
INFORMATION
BOARD’S
PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
98
OTHER FINANCIAL
INFORMATION
BOARD’S
PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
99
OTHER FINANCIAL
INFORMATION
BOARD’S
PROPOSAL
AUDITOR’S
REPORT
REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
Parent company financial statements, FAS
Parent company income statement
EUR Note 2023 2022
Net sales 2 96,948,766.51 98,010,908.96
Cost of goods sold 4 -3,050,902.03 -2,788,437.64
Gross profit 93,897,864.48 97% 95,222,471.32 97%
Administration expenses 4, 6 -90,020,575.67 -87,247,903.15
Other operating income 3 1,888,763.38 3,573,427.37
Operating profit (loss) 5,766,052.19 6% 11,547,995.54 12%
Financial income and expenses 7 677,071,160.47 -9,695,219.63
Profit (loss) before appropriations and taxes 682,837,212.66 1,852,775.91
Change in appropriations 8 735,782.25 -647,606.92
Group contribution 8 2,913,269.31 973,476.35
Income taxes 9 -140,836.39 -333,116.56
Profit for the period 686,345,427.83 1,845,528.78
100
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FINANCIAL
STATEMENTS
Parent company balance sheet
EUR Note 31.12.2023 31.12.2022
ASSETS
NON-CURRENT ASSETS
Intangible assets 10 57,831,351.48 47,690,102.97
Tangible assets 11
Land and water 35,580,454.71 35,587,738.52
Buildings 14,185,450.44 15,369,798.53
Machinery and equipment 2,940,449.59 2,548,387.42
Construction in progress 3,865,746.26 984,207.35
Tangible assets total 56,572,101.00 54,490,131.82
Investments 12
Holdings in subsidiaries 640,174,887.25 640,174,887.25
Other shares 17,521,437.72 19,018,741.49
Investments total 657,696,324.97 659,193,628.74
Non-current assets total 772,099,777.45 48% 761,373,863.53 58%
CURRENT ASSETS
Non-current loan receivables 3,083,348.11 28,171.14
Current receivables
Trade receivables 219,151.69 49,591.81
Receivables from subsidiaries 13 739,799,260.03 438,137,441.69
Other receivables 8,164,287.35 8,492,793.62
Prepayments and accrued income 14 8,936,620.58 7,636,758.68
Current receivables total 757,119,319.65 454,316,585.80
Cash and cash equivalents 15 85,271,443.64 86,959,841.00
Current assets total 845,474,111.40 52% 541,304,597.94 42%
Assets total 1,617,573,888.85 100% 1,302,678,461.47 100%
EUR Note 31.12.2023 31.12.2022
SHAREHOLDERS' EQUITY AND LIABILITIES
SHAREHOLDERS' EQUITY 16
Share capital 77,510,200.00 77,510,200.00
Revaluation reserve 9,569,177.63 9,570,932.94
Reserve for invested non-
restricted equity
2,590,000.56
Fair value reserve -575,307.46 107,401.67
Treasury shares -3,018,165.97 -6,740,357.32
Other reserves 3,204,313.18 3,204,313.18
Retained earnings 169,915,143.48 236,840,122.81
Profit for the period 686,345,427.83 1,845,528.78
Shareholders' equity total 945,540,789.25 58% 322,338,142.06 25%
Appropriations 735,782.25
LIABILITIES
Non-current liabilities 17
Loans from credit institutions 130,118,569.64 130,236,962.94
Issued bonds 200,514,031.00
Liabilities to subsidiaries 2,398.36 2,398.36
Non-current liabilities total 330,634,999.00 130,239,361.30
Current liabilities
Loans from credit institutions 92,459,324.42 196,799,373.46
Trade payables 11,830,998.56 8,409,930.20
Liabilities to subsidiaries 18 201,243,567.76 610,992,704.29
Other payables 22,623,593.93 23,608,433.61
Accruals and deferred income 19 13,240,615.93 9,554,734.30
Current liabilities total 341,398,100.60 849,365,175.86
Liabilities total 672,033,099.60 42% 979,604,537.16 75%
Shareholders' equity and liabilities total 1,617,573,888.85 100% 1,302,678,461.47 100%
101
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FINANCIAL
STATEMENTS
Parent company statement of cash flows
EUR million 2023 2022
CASH FLOW FROM OPERATING ACTIVITIES
Profit before appropriations and taxes 685,751,744.66 2,826,252.30
Adjustments for
Depreciation, amortization and impairment 13,670,090.87 12,884,111.82
Investment income -542,835.89 -1,582,166.45
Interest income and dividends -707,637,105.11 -7,034,407.54
Unrealized exchange gains and losses -24,512,239.30 4,451,375.13
Interest expenses and other financial costs 55,397,986.20 12,475,317.29
Impairment of shares in and receivables from
subsidiaries
135,664.72
Group contributions -2,913,269.31 -973,476.35
Change in provisions and other non-cash items 100,774.23 10,148.07
Cash flow before changes in working capital 19,315,146.35 23,192,818.99
Changes in working capital
Change in current assets, non-interest bearing 7,325,312.85 2,078,765.96
Change in current liabilities, non-interest bearing 4,181,809.73 -1,917,801.24
Cash flow from operating activities before financial items
and taxes
30,822,268.93 23,353,783.71
Financial income received 14,112,329.42 6,323,510.72
Financial expenses paid -26,345,235.24 -7,744,997.86
Taxes paid 627,679.49 582,882.99
Cash flow from operating activities (A) 19,217,042.60 22,515,179.56
EUR million 2023 2022
CASH FLOW FROM INVESTING ACTIVITIES
Investments in financial assets -392,488.24
Investments in intangible assets and property,
plant & equipment
-25,901,763.92 -24,638,724.84
Proceeds from sale of property, plant & equipment
and other investments
551,291.31 1,820,497.10
Sale of other holdings 961,535.07 4,189,427.28
Other dividends received 690,143,159.85 157,839.02
Cash flow from investing activities (B) 665,754,222.31 -18,863,449.68
CASH FLOW FROM FINANCING ACTIVITIES
Share issue 1,383,726.56
Purchase of treasury shares -399,891.01 -18,041,187.66
Proceeds from non-current debt 198,610,116.72 129,890,895.24
Change in current debt -516,164,449.41 176,455,159.26
Change in current receivables -306,414,215.74 -150,980,403.92
Dividends paid -64,648,425.74 -61,682,295.91
Group contribution received/paid 973,476.35 3,049,090.97
Cash flow from financing activities (C) -686,659,662.27 78,691,257.98
Change in cash and cash equivalents (A+B+C) -1,688,397.36 82,342,987.86
Cash and cash equivalents at beginning of period 86,959,841.00 4,616,853.14
Cash and cash equivalents at end of period 85,271,443.64 86,959,841.00
102
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REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
1. Parent company accounting
principles, FAS
The financial statements of Fiskars Corporation
have been prepared in accordance with the Finnish
Accounting Act and Ordinance and other statutes
regulating the preparation of financial statements
(Finnish Accounting Standards, FAS). The financial
statements are presented in euro.
The preparation of financial statements in conformity
with regulations in force and generally accepted
accounting principles requires management to make
estimates and assumptions that affect the valuation
of assets and liabilities and reported amounts of
revenues and expenses. Actual results could differ
from those estimates.
Transactions in foreign currencies
Transactions in foreign currencies are recorded
at the rates of exchange prevailing at the date of
the transaction. At the end of the reporting period
balances in foreign currencies are translated using the
exchange rate prevailing at the end of the reporting
period. Foreign exchange derivatives are recognized
at market values and changes in market values are
recognized in the Income Statement.
Net sales
Net sales are defined as invoiced amount less indirect
taxes, rebates and exchange rate differences related
to sales. Revenue is recognized when all significant
risks and rewards of ownership have been transferred
to the buyer, i.e. when a product has been delivered
to the client in accordance with the terms of delivery.
Royalty income from trademarks held by Fiskars
Corporation is recorded as Net sales. Revenue
from the sale of securities, dividends and other
corresponding income from securities classified as
inventories and other income such as service revenue
are also recorded as Net sales.
Leasing arrangements
Lease payments are expensed as incurred. Future
leasing payment obligations are reported as
contingent liabilities. Rent income, when the company
acts as a lessor, is recorded as net sales.
Pension benefit plans
The statutory and possible supplementary pension
plans for the Finnish companies' employees are
funded through payments to independent pension
insurance companies.
Income taxes
Income taxes consist of the aggregate current
tax expense based on the Finnish tax rules and
adjustments to prior year taxes. The parent company
does not account for deferred taxes as a stand-
alone entity.
Financial instruments
Long term loans are initially recognized at fair value
and subsequently carried at amortised cost, or, in
the case of the sustainability linked bond, valued
using the effective interest rate method. The carrying
amount of the bond is adjusted by the amount of
change in its fair value to the extent the fair value of
the bond is hedged.
Derivatives not designated as hedging instruments
are recognized at fair value through profit and loss.
Hedge accounting is not applied on foreign exchange
derivatives. Foreign exchange derivatives are
initially valued at cost and subsequently at fair value
determined at the end of each reporting period. The
fair value of derivatives is based on prevailing market
rates or rates derived from the prevailing market rates
at the end of the reporting period. Fair value changes
are recognized in financial items.
Hedge accounting is applied to interest rate swaps
(cash flow hedges and fair value hedges). Derivatives
on which hedge accounting is applied are initially
valued at cost and subsequently at fair value at
the end of each reporting period. To the extent the
cashflow hedges are effective, the fair value change
including deferred tax is recognized in equity through
other comprehensive income. Any ineffectiveness is
recognized in financial items in profit and loss. Fair
value changes of fair value hedges are recognized
in financial items in profit and loss. The fair value is
based on prevailing market rates or rates derived
from the prevailing market rates at the end of the
reporting period (fair value hierarchy level 2).
Hedge accounting is not applied on commodity
derivatives. Fair value changes are recognized in
financial items.
Tangible and Intangible assets and other long-
term investments
Tangible and Intangible assets are stated at cost less
accumulated depreciation according to plan. Certain
land holdings have been revalued.
104
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REPORT BY THE
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FINANCIAL
STATEMENTS
Revaluations are based on market values at time of
the revaluation. Revaluation reserves are adjusted
for decreases in the market value of land holdings.
When revalued real estate is sold, the respective
share in the revaluation reserve is transferred to
retained earnings.
Tangible and Intangible assets are depreciated and
amortized over their expected useful lives. The
following expected useful lives are applied:
• Intangible assets 3–10 years
• Buildings 20–40 years
• Vehicles 4 years
• Machinery and equipment 3–10 years
• Land and water Not depreciated
Investments in subsidiaries are stated in the Balance
Sheet at cost or at net realizable value if the net
realizable value is significantly and permanently
impaired. An impairment loss may be reversed until
the original acquisition cost, when the value of the
investment has been restored.
Receivables
Receivables are valued at the lower of book value and
recoverable value.
Provisions
Provisions are recognised when the group has a
present legal or constructive obligation as a result
of past events, it is probable that an outflow of
resources will be required to settle the obligation and
a reliable estimate of the amount of the obligation
can be made. These are booked as Provisions in
Balance Sheet and as corresponding items in Income
Statement.
Appropriations
Appropriations in the parent company balance sheet
consist of depreciation in excess of plan and possible
given or received group contributions.
2. Net sales
EUR 2023 2022
Inter-company service fee 67,113,014.87 64,730,662.86
Royalties 23,656,396.93 27,200,880.41
Rental income 3,747,989.08 3,618,900.50
Other 2,431,365.63 2,460,465.19
Total 96,948,766.51 98,010,908.96
3. Other operating income
EUR 2023 2022
Gain on sale of property,
plant and equipment
542,903.88 1,551,868.45
Compensations from
insurance companies
194,734.24 332,078.91
Other income 1,151,125.26 1,689,480.01
Total 1,888,763.38 3,573,427.37
4. Total expenses
Total expenses by nature
EUR 2023 2022
Materials and supplies -444.68 -1,936.25
Employee benefits -21,531,380.14 -19,910,230.97
Depreciation, amortization
and impairment
-13,670,090.87 -12,884,111.82
IT expenses -28,413,524.36 -29,586,148.96
Consulting fees -19,511,417.08 -17,121,721.51
External services -2,629,716.12 -2,531,316.15
Other -7,314,904.45 -8,000,875.13
Total -93,071,477.70 -90,036,340.79
5. Fees paid to company's auditors
EUR 2023 2022
Audit fees -521,188.92 -363,802.00
Tax consultation -27,635.00 -18,502.16
Other -27,320.00 -23,780.00
Total -576,143.92 -406,084.16
105
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REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
6. Employee Benefits And Number Of
Personnel
Employee benefits
EUR 2023 2022
Wages and salaries -18,176,958.85 -17,091,444.83
Pension costs -2,789,949.63 -2,299,458.86
Other personnel costs -564,471.66 -519,327.28
Total -21,531,380.14 -19,910,230.97
Remuneration to management
EUR thousand 2023 2022
Chief Executive Officer 1,480.8 1,071.2
Members of the Board 87 7.0 763.6
Total 2,357.8 1,834.8
Number of personnel
2023 2022
Average (FTE) 185 173
End of period 186 175
7. Financial income and expenses
EUR 2023 2022
Gain on disposal of
financial assets
Financial income from
group companies
30,298.00
Dividend income
Interest income 690,000,000.00
Financial income from
third parties
11,962,850.61 4,213,869.64
Dividend income
Interest income 5,531,094.65 2,662,698.88
Financial income, total 707,637,105.11 7,064,705.54
Financial expenses
Loss on disposal of
financial assets
-135,664.72
Exchange gain/loss -2,209,273.32 -4,451,375.13
Financial expenses to
group companies
Interest expenses -6,790,625.56 -1,533,499.59
Financial expenses to
third parties
Interest expenses -20,955,047.97 -7,997,621.64
Other financial
expenses
-610,997.79 -2,641,764.09
Financial expenses, total -30,565,944.64 -16,759,925.17
Total financial income
and expenses
677,071,160.47 -9,695,219.63
8. Appropriations
EUR 2023 2022
Difference between
depreciation according to
plan and tax depreciation
735,782.25 -647,606.92
Group contribution
received
2,913,269.31 973,476.35
Total 3,649,051.56 325,869.43
9. Income taxes
EUR 2023 2022
Income tax, current year -157,118.56 -369,290.16
Income tax, previous
periods
16,282.17 36,173.60
Total -140,836.39 -333,116.56
10. Intangible assets
EUR 2023 2022
Historical cost, Jan 1 98,336,442.44 121,544,965.64
Additions 22,141,805.09 21,435,546.02
Decrease -12,612,119.55 -45,900,728.37
Transfers between asset
groups
12,600.00 1,256,659.15
Historical cost, Dec 31 107,878,727.98 98,336,442.44
Accumulated amortization
and impairment, Jan 1
50,646,339.47 85,455,428.25
Amortization for the
period
12,013,156.58 11,091,639.59
Decrease -12,612,119.55 -45,900,728.37
Accumulated amortization
and impairment, Dec 31
50,047,376.50 50,646,339.47
Net book value, Dec 31 57,831,351.48 47,690,102.97
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11. Tangible assets
2023
EUR Land and water Buildings
Machinery and
equipment
Construction
in progress
Total
Historical cost, Jan 1 26,016,805.58 42,510,387.25 7,290,755.02 984,207.35 76,802,155.20
Additions 48,807.86 569,530.05 3,141,620.98 3,759,958.89
Decreases -5,528.50 -2,041,455.35 -849,309.17 -2,896,293.02
Transfers between asset groups 100,082.75 147,399.32 -260,082.07 -12,600.00
Historical cost, Dec 31 26,011,277.08 40,617,822.51 7,158,375.22 3,865,746.26 77,653,221.07
Accumulated depreciation and impairment, Jan 1 27,140,588.72 4,742,367.60 31,882,956.32
Depreciation for the period 1,333,170.71 323,763.58 1,656,934.29
Decreases -2,041,387.36 -848,205.55 -2,889,592.91
Accumulated depreciation and impairment, Dec 31 26,432,372.07 4,217,925.63 30,650,297.70
Revaluation, Jan 1 9,570,932.94 9,570,932.94
Decreases -1,755.31 -1,755.31
Revaluation, Dec 31 9,569,177.63 9,569,177.63
Book value, Dec 31 35,580,454.71 14,185,450.44 2,940,449.59 3,865,746.26 56,572,101.00
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FINANCIAL
STATEMENTS
2022
EUR Land and water Buildings
Machinery and
equipment
Construction
in progress
Total
Historical cost, Jan 1 26,164,423.51 39,753,025.43 7,205,461.62 2,709,000.93 75,831,911.49
Additions 1,921,512.44 708,353.75 573,312.63 3,203,178.82
Decreases -147,617.93 -15,095.64 -813,562.39 -976,275.96
Transfers between asset groups 850,945.02 190,502.04 -2,298,106.21 -1,256,659.15
Historical cost, Dec 31 26,016,805.58 42,510,387.25 7,290,755.02 984,207.35 76,802,155.20
Accumulated depreciation and impairment, Jan 1 25,784,293.05 5,131,764.13 30,916,057.18
Depreciation for the period 1,371,391.31 421,080.92 1,792,472.23
Decreases -15,095.64 -810,477.45 -825,573.09
Accumulated depreciation and impairment, Dec 31 27,140,588.72 4,742,367.60 31,882,956.32
Revaluation, Jan 1 9,658,560.72 9,658,560.72
Decreases -87,627.78 -87,627.78
Revaluation, Dec 31 9,570,932.94 9,570,932.94
Book value, Dec 31 35,587,738.52 15,369,798.53 2,548,387.42 984,207.35 54,490,131.82
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FINANCIAL
STATEMENTS
12. Investments
2023
EUR Holdings in subsidiaries Other shares Total
Historical cost, Jan 1 821,174,887.25 19,783,135.77 840,958,023.02
Decreases -966,998.12 -966,998.12
Currency valuations -530,305.65 -530,305.65
Historical cost, Dec 31 821,174,887.25 18,285,832.00 839,460,719.25
Write-downs, Jan 1 -181,000,000.00 -764,394.28 -181,764,394.28
Write-downs, Dec 31 -181,000,000.00 -764,394.28 -181,764,394.28
Book value, Dec 31 640,174,887.25 17,521,437.72 657,696,324.97
2022
EUR Holdings in subsidiaries Other shares Total
Historical cost, Jan 1 821,174,887.25 25,219,905.74 846,394,792.99
Additions 1,000.00 1,000.00
Decreases -6,257,220.95 -6,257,220.95
Currency valuations 819,450.98 819,450.98
Historical cost, Dec 31 821,174,887.25 19,783,135.77 840,958,023.02
Write-downs, Jan 1 -181,000,000.00 -804,721.46 -181,804,721.46
Decreases 40,327.18 40,327.18
Write-downs, Dec 31 -181,000,000.00 -764,394.28 -181,764,394.28
Book value, Dec 31 640,174,887.25 19,018,741.49 659,193,628.74
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STATEMENTS
Shares in subsidiaries
Number of shares Domicile % of share capital % of voting power Book value
Fiskars Americas Holding Oy Ab 1,000 Raasepori FI 100.0 100.0 110,071,862.76
Fiskars Europe Holding Oy Ab 2,250 Raasepori FI 100.0 100.0 530,098,092.55
Fiskars (Thailand) Co., Ltd. 100 Bangkok TH 1.0 1.0 2,409.12
Ab Åbo Båtvarf - Turun Veneveistämö Oy 150 Turku FI 100.0 100.0 2,522.82
Total Dec 31, 2023 640,174,887.25
13. Receivables from subsidiaries
EUR 2023 2022
Trade receivables 66,613,844.77 67,281,902.88
Loan receivables 628,032,378.71 108,763,262.04
Cash pool receivables 10,701,667.34 223,186,908.17
Group contribution
receivables
2,913,269.31 973,476.35
Prepayments and accrued
income
3,879,596.84 4,350,520.40
Other receivables 27,658,503.06 33,581,371.85
Total, Dec 31 739,799,260.03 438,137,441.69
14. Prepayments and accrued income
EUR 2023 2022
Prepaid and accrued
interest
1,578,466.20 1,297,438.01
Other prepayments and
accruals
7,358,154.38 6,339,320.67
Total, Dec 31 8,936,620.58 7,636,758.68
15. Cash and cash equivalents
EUR 2023 2022
Cash and cash
equivalents
85,271,443.64 86,959,841.00
Total, Dec 31 85,271,443.64 86,959,841.00
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FINANCIAL
STATEMENTS
16. Shareholders' equity
EUR 2023 2022
Share capital
Jan 1 77,510,200.00 77,510,200.00
Share capital, Dec 31 77,510,200.00 77,510,200.00
Revaluation reserve
Jan 1 9,570,932.94 3,731,821.72
Decrease -1,755.31 -104,883.00
Reclassification
1
5,943,994.22
Revaluation reserve,
Dec 31
9,569,177.63 9,570,932.94
Reserve for invested non-
restricted equity
Jan 1
Increase 2,590,000.56
Fair value reserve, Dec 31 2,590,000.56
Fair value reserve
Jan 1 107,401.67
Increase 242,180.61 107,401.67
Decrease -924,889.74
Fair value reserve, Dec 31 -575,307.46 107,401.67
Treasury shares
Jan 1 -6,740,357.32 -7,181,414.46
Increase -399,891.02 -18,041,187.66
Share based incentives 1,556,178.28 1,834,407.85
Management ownership
program
2,565,904.09
Cancellation of treasury
shares
16,647,836.95
Treasury shares, Dec 31 -3,018,165.97 -6,740,357.32
EUR 2023 2022
Other reserves
Jan 1 3,204,313.18 3,204,313.18
Other reserves, Dec 31 3,204,313.18 3,204,313.18
Retained earnings
Jan 1 238,685,651.59 322,949,191.61
Dividends -64,648,425.74 -61,682,295.91
Share based incentives -1,556,178.28 -1,834,407.85
Management ownership
program
-2,565,904.09
Cancellation of treasury
shares
-16,647,836.95
Revaluation fund
reclassification
1
-5,944,528.09
Net profit 686,345,427.83 1,845,528.78
Retained earnings, Dec 31 856,260,571.31 238,685,651.59
Distributable earnings,
Dec 31
855,832,405.90 231,945,294.27
Shareholders' equity total,
Dec 31
945,540,789.25 322,338,142.06
1
In 2022, revaluation for land and water was reclassed from retained
earnings to revaluation reserve.
17. Non-current liabilities
EUR 2023 2022
Loans from credit
institutions payable
between one and five
years
80,118,569.64 80,236,962.94
in more than five years 50,000,000.00 50,000,000.00
Issued bonds
1
200,514,031.00
Loans from credit
institutions, total
330,632,600.64 130,236,962.94
Liabilities to subsidiaries
between one and five
years
2,398.36 2,398.36
Liabilities to subsidiaries,
total
2,398.36 2,398.36
Non-current liabilities,
total
330,634,999.00 130,239,361.30
1
The nominal amount of the bond equals EUR 200 million. The main terms of
the bond are presented in Note 5.4 to the Group financial statements.
18. Liabilities to subsidiaries
EUR 2023 2022
Trade payables 34,550.66 42,394.94
Cash pool payables 141,025,284.61 579,941,568.31
Accruals and deferred
income
125,314.72 12,249.24
Other liabilities 60,058,417.77 30,996,491.80
Total, Dec 31 201,243,567.76 610,992,704.29
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BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
19. Accruals and deferred income
EUR 2023 2022
Interests 4,633,740.48 2,698,856.54
Wages, salaries and social
costs
3,334,798.03 3,272,199.28
Other 5,272,077.42 3,583,678.48
Total, Dec 31 13,240,615.93 9,554,734.30
20. Lease obligations
EUR 2023 2022
Payments next year 3,281,194.71 2,539,788.50
Payments later 27,121,835.69 28,328,677.71
Total, Dec 31 30,403,030.40 30,868,466.21
21. Contingencies and pledged assets
EUR 2023 2022
As security for own
commitments
1,508,000.00 1,562,000.00
Guarantees as security
for subsidiaries'
commitments
4,711,000.00 6,684,000.00
Total, Dec 31 6,219,000.00 8,246,000.00
VAT liability for real estate investments
The company is obligated to review the VAT
deductions made on real estate investments
completed during 2013–2022 if the taxable use of the
property has changed during the review period.
EUR 2023 2022
Obligation, Dec 31 2,723,608.00 3,006,052.00
22. Derivative contracts
Nominal value, EUR 2023 2022
Foreign exchange
forwards and swaps
338,777,316.16 306,195,896.63
Interest rate swaps 165,000,000.00 50,000,000.00
Commodity derivatives 4,288,488.69
Total, Dec 31 508,065,804.85 356,195,896.63
Fair value, EUR 2023 2022
Foreign exchange
forwards and swaps
1,304,244.81 3,134,792.62
Interest rate swaps 1,152,722.94 107,401.67
Commodity derivatives 118,881.00
Total, Dec 31 2,575,848.75 3,242,194.29
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AUDITOR’S
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REPORT BY THE
BOARD OF DIRECTORS
FINANCIAL
STATEMENTS
Board's proposal for distribution of profits
and signatures
Proposal on the use of the profit
shown on the balance sheet and the
payment of dividend in the form of
cash
Fiskars Corporation's aim is to distribute a stable,
over time increasing dividend, to be paid biannually.
According to the balance sheet of the parent
company at the end of the financial period 2023, the
distributable equity of the parent company was EUR
855.8 million (2022: EUR 231.9 million)
The Board of Directors proposes to the Annual
General Meeting that a dividend of EUR 0.82 per
share shall be paid for the financial period that ended
on December 31, 2023. The dividend shall be paid
in two instalments. The ex-dividend date for the
first instalment of EUR 0.41 per share shall be on
March 14, 2024. The first instalment shall be paid to
a shareholder who is registered in the shareholder
register of the company maintained by Euroclear
Finland Oy on the dividend record date March 15,
2024. The payment date proposed by the Board of
Directors for this instalment is March 22, 2024.
The second instalment of EUR 0.41 per share shall
be paid in September 2024. The second instalment
shall be paid to a shareholder who is registered in
the shareholders' register of the company maintained
by Euroclear Finland Oy on the dividend record
date, which, together with the payment date, shall
be decided by the Board of Directors in its meeting
scheduled for September 12, 2024. The ex-dividend
date for the second instalment would then be
September 13, 2024, the dividend record date
September 16, 2024 and the dividend payment date
September 23, 2024, at the latest.
On the date of the financial statement release,
the number of shares entitling their holders to a
dividend was 80,797,073. The proposed distribution
of dividends would thus be EUR 66.3 million (2022:
EUR 64.5 million). This would leave EUR 789.5 million
(2022: EUR 167.4 million) of distributable earnings in
the parent company.
No material changes have taken place in the financial
position of the company since the end of the financial
period. The financial standing of the company is
good and, according to the Board of Directors'
assessment, distributing the proposed dividend will
not compromise the company's solvency.
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PROPOSAL
Signatures to the Financial Statements and the Board of Directors' Report
Espoo, February 7, 2024
Albert Ehrnrooth Paul Ehrnrooth
Louise Fromond Jyri Luomakoski
Julia Goldin Carl-Martin Lindahl
Volker Lixfeld Ritva Sotamaa
Nathalie Ahlström
President and CEO
The Auditor's Note
Our auditor's report has been issued today.
Espoo, February 7, 2024
Ernst & Young Oy
Kristina Sandin
Authorized Public Accountant, KHT
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BOARD’S
PROPOSAL
Auditors report
(Translation of the Finnish original)
To the Annual General Meeting of Fiskars Oyj Abp
Report on the Audit of Financial
Statements
Opinion
We have audited the financial statements of Fiskars
Oyj Abp (business identity code 0214036-5) for
the year ended 31 December, 2023. The financial
statements comprise the consolidated balance sheet,
income statement, statement of comprehensive
income, statement of changes in equity, statement of
cash flows and notes, including material accounting
policy information, as well as the parent company's
balance sheet, income statement, statement of cash
flows and notes.
In our opinion
• the consolidated financial statements give
a true and fair view of the group's financial
position ,financial performance and cash flows in
accordance with IFRS Accounting Standards as
adopted by the EU.
• the financial statements give a true and fair view
of the parent company's financial performance and
financial position in accordance with the laws and
regulations governing the preparation of financial
statements in Finland and comply with statutory
requirements.
Our opinion is consistent with the additional report
submitted to the Audit Committee.
Basis for Opinion
We conducted our audit in accordance with good
auditing practice in Finland. Our responsibilities under
good auditing practice are further described in the
Auditor's Responsibilities for the Audit of Financial
Statements section of our report.
We are independent of the parent company and of
the group companies in accordance with the ethical
requirements that are applicable in Finland and are
relevant to our audit, and we have fulfilled our other
ethical responsibilities in accordance with these
requirements.
In our best knowledge and understanding, the non-
audit services that we have provided to the parent
company and group companies are in compliance
with laws and regulations applicable in Finland
regarding these services, and we have not provided
any prohibited non-audit services referred to in Article
5 (1) of regulation (EU) 537/2014. The non-audit
services that we have provided have been disclosed
in note 2.3 to the consolidated financial statements.
We believe that the audit evidence we have obtained
is sufficient and appropriate to provide a basis for
our opinion.
Key Audit Matters
Key audit matters are those matters that, in our
professional judgment, were of most significance in
our audit of the financial statements of the current
period. These matters were addressed in the context
of our audit of the financial statements as a whole,
and in forming our opinion thereon, and we do not
provide a separate opinion on these matters.
We have fulfilled the responsibilities described in the
Auditor's responsibilities for the audit of the financial
statements section of our report, including in relation
to these matters. Accordingly, our audit included the
performance of procedures designed to respond to
our assessment of the risks of material misstatement
of the financial statements. The results of our audit
procedures, including the procedures performed
to address the matters below, provide the basis for
our audit opinion on the accompanying financial
statements.
We have also addressed the risk of management
override of internal controls. This includes
consideration of whether there was evidence of
management bias that represented a risk of material
misstatement due to fraud.
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Key Audit Matter How our audit addressed the Key Audit Matter
Georg Jensen Investment Aps (Georg Jensen)
business combination
Refer to note 6.3 of the consolidated financial
statements.
The Group acquired Georg Jensen during
the financial year. The acquisition date was
determined to be October 1, 2023. The purchase
consideration of 124,7 million euro was paid in
cash.
Assets acquired and liabilities and contingent
liabilities assumed in a business combination
are measured at acquisition date fair value.
Management judgement relates specifically to
determining the fair value of acquired assets and
liabilities, in particular determining the fair values
of separately identifiable intangible assets such
as trademarks and customer relationships. The
provisional purchase price allocation resulted in a
bargain purchase amounting to 25,4 million euro.
The significant business combination is a key
audit matter as it involves valuation processes
and methods, and judgments made by
management.
Our audit procedures included, among others:
• Familiarizing ourselves with the Share
Purchase Agreement relating to the business
combination of Georg Jensen.
• Assessment together with our valuation
specialists the valuation processes and
methodologies to identify acquired assets
and liabilities and to determine the fair value
of these.
• Assessment of the adequacy of disclosures
relating to the business combination.
Key Audit Matter How our audit addressed the Key Audit Matter
Revenue recognition
Refer to note 2.1 of the consolidated financial
statements.
According to the Group's accounting policies
revenue is recognized when control of the
good or service is transferred to the customer.
Customer discounts and credits are considered
when determining the revenue.
Assessing subsequent discounts and credits
require management judgment both at the time
of revenue recognition as well as at the end of
each reporting period. Due to the multitude and
variety of contractual terms across the group's
markets management judgment is needed to
account for the revenue, and therefore, revenue
could be subject to misstatement, whether
due to fraud or error. Based on above revenue
recognition was a key audit matter.
This matter is also a significant risk of material
misstatement as defined by EU Regulation No
537/2014, point (c) of Article 10(2).
Our audit procedures to address the risk of
material misstatement in respect of correct timing
of revenue recognition included among others:
• Assessment of the compliance of the group's
accounting policies over revenue recognition,
including those relating to discounts and
credits, with applicable accounting standards.
• Assessment of the revenue recognition
process especially relating to timing of
revenue. recognition, and calculation of
discounts and credits.
• Testing the accuracy of cut-off with analytical
procedures and test of details on a transaction
level on either side of the balance sheet date.
• Analyzing credit notes issued after the
balance sheet date.
• Assessment of the Group's disclosures in
respect of revenues.
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Key Audit Matter How our audit addressed the Key Audit Matter
Valuation of goodwill
Refer to note 3.2 of the consolidated financial
statements.
The value of goodwill at the date of the financial
statements 31.12.2023 amounted to 220,1 million
euro representing 13 % of total assets and 27 %
of equity.
Valuation of goodwill was a key audit matter
because the assessment process is complex and
is based on numerous judgmental estimates and
because the amount of goodwill is significant to
the financial statements.
Valuation of goodwill is based on management's
estimate about the value in use calculations of
the cash generating units. There are a number of
underlying assumptions used to determine the
value in use, including development of revenue
and profitability and the discount rate applied on
cash flows.
Estimated value in use of the cash generating
units may vary significantly when the underlying
assumptions are changed. Changes in above-
mentioned individual assumptions may result in
an impairment of goodwill.
Valuation of goodwill is also a significant risk
of material misstatement as defined by EU
Regulation No 537/2014, point (c) of Article
10(2).
Our audit procedures to address the risk of
material misstatement in respect of valuation of
goodwill included among others:
• Involvement of EY valuation specialists
to assist us in evaluating methodologies,
impairment calculations and underlying
assumptions applied by the management in
impairment testing.
• Testing of the mathematical accuracy of the
impairment calculations.
• Comparing the key assumptions applied by
management in impairment tests to approved
strategic plans and forecasts, information
available in external sources and our
independently calculated industry averages
such as weighted average cost of capital used
in discounting the cashflows. In addition, we
compared the outcome of the impairment test
with Fiskars' market capitalization.
• Assessment of the Group's disclosures in
respect of impairment testing.
Key Audit Matter How our audit addressed the Key Audit Matter
Valuation of trademarks
Refer to note 3.2 of the consolidated financial
statements.
The Group has 10 trademarks, for which the
value at the date of the financial statements
31.12.2023 amounted to 287,2 million euro
representing 16 % of total assets and 35 % of
equity.
Trademarks with indefinite useful life are tested
for impairment at least annually.
Valuation of trademarks is based on
management's estimate about the value in use
calculations of the trademarks. Management
prepares the impairment tests of trademarks
based on the “relief from royalty” -method.
There are a number of underlying assumptions
used to determine the value in use, including
development of revenue for individual
trademarks and the discount rate applied on
cash flows.
Valuation of trademarks was a key audit matter
because the assessment process is complex and
is based on numerous judgmental estimates and
because the number of trademarks is significant
to the financial statements.
Estimated value in use of the trademarks
may vary significantly when the underlying
assumptions are changed. Changes in above-
mentioned individual assumptions may result in
an impairment of trademarks.
Valuation of trademarks is also a significant
risk of material misstatement as defined by EU
Regulation No 537/2014, point (c) of Article
10(2).
Our audit procedures to address the risk of
material misstatement in respect of valuation of
trademarks included among others:
• Involvement of EY valuation specialists
to assist us in evaluating methodologies,
impairment calculations and underlying
assumptions applied by the management in
impairment testing.
• Testing of the mathematical accuracy of the
impairment calculations.
• Comparing the key assumptions applied by
management in impairment tests to approved
strategic plans and forecasts, information
available in external sources and our
independently calculated industry averages
such as weighted average cost of capital used
in discounting the cashflows. In addition, we
compared the outcome of the impairment test
with Fiskars' market capitalization.
• Assessment of the Group's disclosures in
respect of impairment testing.
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Key Audit Matter How our audit addressed the Key Audit Matter
Valuation of inventories
Refer to note 4.1 of the consolidated financial
statements.
Inventories are valued at the lower of cost or net
realizable value. Inventories are presented net of
an impairment loss recognized for obsolete and
slow-moving inventories. At the balance sheet
date, the total value of inventory and related
provision for obsolete goods amounted to 383,4
million euro and 19,4 million euro, respectively
(net 364,0 million euro).
Valuation of inventories was a key audit matter
because the carrying value of inventories and
related provisions are material to the financial
statements, and because valuation of inventories
requires management judgment relating to future
sales and the level of provision for obsolete
goods.
Our audit procedures included among others:
• Assessment of the Group's accounting policies
over inventory valuation from the perspective
of applicable accounting standards
• Evaluation of the analyses and calculations
made by management with respect to slow
moving and obsolete stock and the expected
demand and net realizable value related to the
inventoried items
• Assessment of the Group's disclosures in
respect of valuation policies and balance
sheet date value of inventories.
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BOARD’S
PROPOSAL
REPORT BY THE
BOARD OF DIRECTORS
AUDITOR’S
REPORT
Responsibilities of the Board of
Directors and the Managing Director
for the Financial
The Board of Directors and the Managing Director
are responsible for the preparation of consolidated
financial statements that give a true and fair view
in accordance with IFRS Accounting Standards as
adopted by the EU, and of financial statements
that give a true and fair view in accordance with
the laws and regulations governing the preparation
of financial statements in Finland and comply with
statutory requirements. The Board of Directors and
the Managing Director are also responsible for such
internal control as they determine is necessary to
enable the preparation of financial statements that
are free from material misstatement, whether due to
fraud or error.
In preparing the financial statements, the Board of
Directors and the Managing Director are responsible
for assessing the parent company's and the group's
ability to continue as going concern, disclosing, as
applicable, matters relating to going concern and
using the going concern basis of accounting. The
financial statements are prepared using the going
concern basis of accounting unless there is an
intention to liquidate the parent company or the group
or cease operations, or there is no realistic alternative
but to do so.
Auditor's Responsibilities for the
Audit of Financial Statements
Our objectives are to obtain reasonable assurance
on whether the financial statements as a whole are
free from material misstatement, whether due to
fraud or error, and to issue an auditor's report that
includes our opinion. Reasonable assurance is a high
level of assurance, but is not a guarantee that an
audit conducted in accordance with good auditing
practice will always detect a material misstatement
when it exists. Misstatements can arise from fraud
or error and are considered material if, individually or
in aggregate, they could reasonably be expected to
influence the economic decisions of users taken on
the basis of the financial statements.
As part of an audit in accordance with good auditing
practice, we exercise professional judgment and
maintain professional skepticism throughout the
audit. We also:
• Identify and assess the risks of material
misstatement of the financial statements, whether
due to fraud or error, design and perform audit
procedures responsive to those risks, and obtain
audit evidence that is sufficient and appropriate
to provide a basis for our opinion. The risk of not
detecting a material misstatement resulting from
fraud is higher than for one resulting from error,
as fraud may involve collusion, forgery, intentional
omissions, misrepresentations, or the override of
internal control.
• Obtain an understanding of internal control
relevant to the audit in order to design
audit procedures that are appropriate in the
circumstances, but not for the purpose of
expressing an opinion on the effectiveness of the
parent company's or the group's internal control.
• Evaluate the appropriateness of accounting
policies used and the reasonableness of
accounting estimates and related disclosures
made by management.
• Conclude on the appropriateness of the Board
of Directors' and the Managing Director's use
of the going concern basis of accounting and
based on the audit evidence obtained, whether
a material uncertainty exists related to events
or conditions that may cast significant doubt on
the parent company's or the group's ability to
continue as a going concern. If we conclude that
a material uncertainty exists, we are required to
draw attention in our auditor's report to the related
disclosures in the financial statements or, if such
disclosures are inadequate, to modify our opinion.
Our conclusions are based on the audit evidence
obtained up to the date of our auditor's report.
However, future events or conditions may cause
the parent company or the group to cease to
continue as a going concern.
• Evaluate the overall presentation, structure and
content of the financial statements, including the
disclosures, and whether the financial statements
represent the underlying transactions and events
so that the financial statements give a true and
fair view.
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BOARD’S
PROPOSAL
REPORT BY THE
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AUDITOR’S
REPORT
• Obtain sufficient appropriate audit evidence
regarding the financial information of the entities or
business activities within the group to express an
opinion on the consolidated financial statements.
We are responsible for the direction, supervision
and performance of the group audit. We remain
solely responsible for our audit opinion.
We communicate with those charged with
governance regarding, among other matters, the
planned scope and timing of the audit and significant
audit findings, including any significant deficiencies in
internal control that we identify during our audit.
We also provide those charged with governance with
a statement that we have complied with relevant
ethical requirements regarding independence, and
communicate with them all relationships and other
matters that may reasonably be thought to bear on
our independence, and where applicable, related
safeguards.
From the matters communicated with those charged
with governance, we determine those matters that
were of most significance in the audit of the financial
statements of the current period and are therefore
the key audit matters. We describe these matters
in our auditor's report unless law or regulation
precludes public disclosure about the matter or when,
in extremely rare circumstances, we determine that
a matter should not be communicated in our report
because the adverse consequences of doing so
would reasonably be expected to outweigh the public
interest benefits of such communication.
Other Reporting Requirements
Information on our audit engagement
We were first appointed as auditors by the
Annual General Meeting on March 13, 2019 and
our appointment represents a total period of
uninterrupted engagement of five years.
Other information
The Board of Directors and the Managing Director
are responsible for the other information. The other
information comprises the report of the Board of
Directors and the information included in the Annual
Report but does not include the financial statements
and our auditor's report thereon. We have obtained
the report of the Board of Directors prior to the date
of this auditor's report, and the Annual Report is
expected to be made available to us after that date.
Our opinion on the financial statements does not
cover the other information.
In connection with our audit of the financial
statements, our responsibility is to read the other
information identified above and, in doing so,
consider whether the other information is materially
inconsistent with the financial statements or our
knowledge obtained in the audit, or otherwise
appears to be materially misstated. With respect to
report of the Board of Directors, our responsibility
also includes considering whether the report of the
Board of Directors has been prepared in accordance
with the applicable laws and regulations.
In our opinion, the information in the report of the
Board of Directors is consistent with the information
in the financial statements and the report of the
Board of Directors has been prepared in accordance
with the applicable laws and regulations.
If, based on the work we have performed on the other
information that we obtained prior to the date of this
auditor's report, we conclude that there is a material
misstatement of this other information, we are
required to report that fact. We have nothing to report
in this regard.
Espoo, February 7, 2024
Ernst & Young Oy
Authorized Public Accountant Firm
Kristina Sandin
Authorized Public Accountant
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AUDITOR’S
REPORT
Independent Auditor's Report on Fiskars Oyj Abp's
ESEF-Consolidated Financial Statements
(Translation of the Finnish original)
To the Board of Directors of
Fiskars Oyj Abp
We have performed a reasonable assurance
engagement on the iXBRL tagging of the
consolidated financial statements included in the
digital files Fiskars-2023-12-31-fi.zip of Fiskars
Oyj Abp (business identity code: 0214036-5) for
the financial year 1.1.–31.12.2023 to ensure that the
financial statements are marked/tagged with iXBRL
in accordance with the requirements of Article 4 of
EU Commission Delegated Regulation (EU) 2018/815
(ESEF RTS).
Responsibilities of the Board of Directors and
Managing Director
The Board of Directors and Managing Director are
responsible for the preparation of the Report of Board
of Directors and financial statements (ESEF financial
statements) that comply with the ESESF RTS. This
responsibility includes:
• Preparation of ESEF-financial statements in
accordance with Article 3 of ESEF RTS
• Tagging the primary financial statements,
notes to the financial statements and the entity
identifier information in the consolidated financial
statements included within the ESEF-financial
statements by using the iXBRL mark ups in
accordance with Article 4 of ESEF RTS
• Ensuring consistency between ESEF financial
statements and audited financial statements.
The Board of Directors and Managing Director are
also responsible for such internal control as they
determine is necessary to enable the preparation
of ESEF financial statements in accordance the
requirements of ESEF RTS.
Auditor's Independence and Quality Management
We are independent of the company in accordance
with the ethical requirements that are applicable
in Finland and are relevant to the engagement we
have performed, and we have fulfilled our other
ethical responsibilities in accordance with these
requirements.
The firm applies International Standard on Quality
Management (ISQM) 1, which requires the firm to
design, implement and operate a system of quality
management including policies or procedures
regarding compliance with ethical requirements,
professional standards and applicable legal and
regulatory requirements
Auditor's Responsibilities
In accordance with the Engagement Letter we will
express an opinion on whether the electronic tagging
of the consolidated financial statements complies
in all material respects with the Article 4 of ESEF
RTS. We have conducted a reasonable assurance
engagement in accordance with International
Standard on Assurance Engagements ISAE 3000.
The engagement includes procedures to obtain
evidence on:
• whether the tagging of the primary financial
statements in the consolidated financial
statements complies in all material respects with
Article 4 of the ESEF RTS
• whether the tagging of the notes to the financial
statements and the entity identifier information in
the consolidated financial statements complies in
all material respects with Article 4 of the ESEF RTS
• whether the ESEF-financial statements are
consistent with the audited financial statements.
121
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REPORT
The nature, timing and extent of the procedures
selected depend on the auditor's judgement including
the assessment of risk of material departures from
requirements sets out in the ESEF RTS, whether due
to fraud or error.
We believe that the evidence we have obtained is
sufficient and appropriate to provide a basis for our
statement.
Opinion
In our opinion the tagging of the primary financial
statements, notes to the financial statements and
the entity identifier information in the consolidated
financial statements included in the ESEF financial
statements Fiskars-2023-12-31-fi.zip of Fiskars Oyj
Abp for the year ended 1.1.–31.12.2023 complies in all
material respects with the requirements of ESEF RTS.
Our audit opinion on the consolidated financial
statements of Fiskars Oyj Abp for the year ended
1.1.–31.12.2023 is included in our Independent
Auditor's Report dated 7.2.2024. In this report, we do
not express an audit opinion any other assurance on
the consolidated financial statements.
Helsinki 16.2.2024
Ernst & Young Oy
Authorized Public Accountant Firm
Kristina Sandin
Authorized Public Accountant
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Other financial information
2023
On March 30, 2023, Fiskars Group announced it has
initiated employee consultations in its Iittala factory
and retail network in Finland that were completed
during spring. The number of employees covered by
the consultations in factory and retail network was
175 and 26, respectively. One-off costs related to
these changes amounted to a total of approximately
EUR 5 million and they were recorded as items
affecting comparability during 2023.
On September 13, 2023, Fiskars Group announced its
plans to simplify its organizational structure to speed
up the continued transformation of the company and
to increase efficiency. The planned organizational
changes were estimated to result in total annual
cost savings of approximately 400 roles globally,
the majority of which are in the global supply chain.
The planned changes were estimated to result in
annual cost savings of approximately EUR 25 million,
out of which the majority would realize during 2024.
One-off costs related to the planned changes were
expected to amount to a total of approximately EUR
6 million and those were recorded as items affecting
comparability in Q4 2023.
On October 1, 2023, Fiskars Group announced that
it has completed the acquisition of Georg Jensen.
Acquisition related costs include transaction costs
and other costs such as inventory fair value step-up
release. More information about the acquisitions can
be found from Note 6.3.
2022
In 2022, items affecting comparability included one-
time impact of the sale of subsidiary in Russia, sale
of North American Watering business and changes
in Leadership team. More detailed information of
disposals can be found from Note 6.3.
EUR million 2023 2022
EBIT 98.9 134.7
Depreciation and amortization 66.0 59.4
EBITDA 164.9 194.1
Items affecting comparability in EBIT
Organizational changes 12.3
Georg Jensen acquisition / Inventory
fair value step-up release
13.7
Georg Jensen acquisition / Gain from
negative goodwill
-25.4
Georg Jensen acquisition / Transaction
costs
5.6
Georg Jensen acquisition / Integration
costs
1.6
Sale of Watering business 3.6 3.3
Sale of subsidiary in Russia 11.9
Changes in Group Leadership Team 1.1
Total items affecting comparability in
EBIT
11.4 16.3
Comparable EBIT 110.3 151.0
Depreciation and amortization, excl. IAC 65.5 59.3
Comparable EBITDA 175.8 210.3
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EBIT and Comparable EBIT by income statement line item
2023 2022
EUR million Total
Items affecting
comparability
1
Excl. items affecting
comparability
Total
Items affecting
comparability
1
Excl. items affecting
comparability
Net sales 1,129.8 1,129.8 1,248.4 1,248.4
Cost of goods sold -618.5 17.3 -601.2 -692.5 4.2 -688.3
Sales and marketing expenses -292.6 13.9 -278.7 -276.1 0.9 -275.2
Administration expenses -124.5 1.8 -122.7 -120.9 1.7 -119.2
Research and development expenses -19.8 0.1 -19.7 -20.8 -20.8
Other operating income and expenses 24.5 -21.7 2.8 -3.3 9.5 6.2
EBIT 98.9 11.4 110.3 134.7 16.3 151.0
1
Total items affecting comparability included EUR 0.5 million (0.1) depreciation and amortization related items in 2023.
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Financial indicators
Five years in figures
2023 2022 2021 2020 2019
Net sales EUR million 1,129.8 1,248.4 1,254.3 1,116.2 1,090.4
of which outside Finland EUR million 1,024.0 1,136.0 1,142.0 1,021.9 977.5
% of net sales % 90.6 91.0 91.0 91.5 89.6
export from Finland EUR million 21.2 20.4 24.2 20.1 20.2
Change in net sales, % % -9.5 -0.5 12.4 2.4 -2.5
Gross profit EUR million 511.4 555.9 539.8 452.0 447.3
% of net sales % 45.3 44.5 43.0 40.5 41.0
EBIT EUR million 98.9 134.7 142.8 98.0 60.1
% of net sales % 8.7 10.8 11.4 8.8 5.5
Comparable EBIT EUR million 110.3 151.0 154.2 109.0 77.7
Comparable EBITDA EUR million 175.8 210.3 215.7 185.1 137.3
Change in fair value of biological assets EUR million 4.8 1.1 1.3 0.7 -0.2
Financial items, net EUR million -24.0 -11.7 0.0 -8.9 3.4
% of net sales % -2.1 -0.9 0.0 -0.8 0.3
Profit before taxes EUR million 79.7 124.1 144.1 89.8 63.2
% of net sales % 7.1 9.9 11.5 8.0 5.8
Income tax EUR million -9.7 -25.0 -56.5 -21.3 -10.8
Profit for the period attributable to the
equity holders of the parent company
EUR million 69.9 98.2 86.6 67.6 51.7
% of net sales % 6.2 7.9 6.9 6.1 4.7
Non-controlling interest EUR million 0.2 0.9 0.9 0.8 0.7
Employee benefits EUR million 289.2 289.0 293.7 262.9 311.9
2023 2022 2021 2020 2019
Depreciation, amortization and
impairment
EUR million 66.0 59.4 61.6 76.1 59.6
% of net sales % 5.8 4.8 4.9 6.8 5.5
Cash flow from operating activities EUR million 220.8 -61.4 122.9 199.2 96.5
Capital expenditure
(excl. Business combinations)
EUR million 50.8 48.1 34.4 30.0 40.0
% of net sales % 4.5 3.9 2.7 2.7 3.7
Research and development expenses in
income statement
EUR million 19.8 20.8 15.5 16.5 18.4
% of net sales % 1.8 1.7 1.2 1.5 1.7
Equity attributable to equity holders of
the parent company
EUR million 819.9 831.6 812.1 75 7.8 760.9
Non-controlling interest EUR million 3.8 4.1 4.2 3.8 3.6
Equity total EUR million 823.7 835.6 816.3 761.6 764.5
Net debt EUR million 446.7 325.3 145.0 143.7 261.1
Net debt/LTM EBITDA excl. IAC ratio 2.54 1.55 0.67 0.78 1.91
Working capital EUR million 304.2 337.2 164.5 134.2 194.4
Balance sheet total EUR million 1,754.9 1,585.4 1,435.5 1,342.0 1,364.3
Return on investment % 8.7 12.1 15.3 9.9 6.0
Return on equity % 8.4 12.0 11.1 9.0 5.3
Equity ratio % 46.9 52.7 56.9 56.8 56.0
Net gearing % 54.2 38.9 1 7.7 18.9 34.2
Personnel (FTE), average 6,133 6,273 6,081 6,104 6,840
Personnel, end of period 7,162 6,595 6,690 6,411 6,984
of which outside Finland 6,084 5,423 5,579 5,348 5,852
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Share related figures
2023 2022 2021 2020 2019
Share capital EUR million 7 7.5 7 7.5 7 7.5 7 7.5 77.5
Earnings per share (basic
and diluted)
EUR 0.86 1.21 1.06 0.83 0.63
Comparable earnings per
share, EUR
EUR 0.99 1.37 1.15 0.93 0.81
Dividend per share EUR/share 0.82
1
0.80 0.76 0.60 0.56
Dividend EUR million 66.3
1
64.5 61.9 48.9 45.6
Equity per share EUR 10.15 10.32 9.97 9.30 9.34
Average price EUR/share 16.33 18.51 18.55 11.47 15.40
Lowest price per share EUR 13.62 14.04 14.46 7.80 11.16
Highest price per share EUR 18.52 24.45 23.40 15.02 20.60
Price per share, Dec 31 EUR 17.86 15.38 23.00 14.98 11.26
Market value of shares EUR million 1,443.0 1,239.3 1,873.8 1,220.4 917.7
Number of shares, 1,000 pcs 81,000.0 81,000.0 81,905.2 81,905.2 81,905.2
Number of treasury shares,
1,000 pcs
202.9 419.5 433.7 433.7 408.7
Number of shares traded,
1,000 pcs
5,962.2 9,724.6 8,016.4 11,112.7 9,148.1
Price per earnings EUR 20.6 12.7 21.7 18.1 17.8
Dividend per earnings in
percent
% 94.8
1
62.7 71.5 72.3 88.4
Dividend yield in percent % 4.6
1
4.9 3.3 4.0 5.0
Number of shareholders,
Dec 31
33,776 32,602 30,080 25,968 23,495
1
Board's proposal.
Basic and diluted earnings per share are equal, as the company has no potential
ordinary shares.
Calculation of financial indicators
In addition to financial performance indicators defined by IFRS, Fiskars Group published certain
Alternative Performance Measures to better reflect the operational business performance and to
facilitate comparisons between financial periods. Reconciliation of comparable EBIT and comparable
EBITDA can be found in section Other financial information.
EBIT = Operating profit
Comparable EBIT = Operating profit (EBIT) +/- items affecting comparability
Comparable EBITDA =
Operating profit (EBIT) + depreciations + amortizations +/- items
affecting comparability
Return on investment, % =
Profit for the period + income taxes + interest and other
financial expenses
x 100
Equity, total + interest-bearing liabilities (average of beginning
and end of year amounts)
Return on equity, % =
Profit for the period
x 100
Equity, total (average of beginning and end of year amounts)
Equity ratio, % =
Equity, total
x 100
Balance sheet total
Net gearing, % =
Interest-bearing debt - cash and cash equivalents
x 100
Equity, total
Earnings per share =
Profit for the period attributable to equity holders of the parent
company
Weighted average number of shares outstanding, end of period
Earnings per share excl. IAC =
Profit for the period attributable to equity holders of the parent
company +/- items affecting comparability
Weighted average number of shares outstanding, end of period
Equity per share =
Equity attributable to equity holders of the parent company
Number of outstanding shares, end of period
Adjusted average share price =
Value of shares traded during the period
Number of shares traded during the period, adjusted for emissions
Market capitalization =
Number of outstanding shares, end of period x market
quotation, end of period
Price per earnings (P/E) =
Market quotation per share, end of period
Earnings per share
Dividend per earnings, % =
Dividend paid
x 100
Profit attributable to equity holders of the parent company
Dividend per share = =
Dividend paid
Number of outstanding shares, end of period
Dividend yield, % = =
Dividend per share
x 100
Market quotation, adjusted for emissions, end of period
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Shares
Number of shares, votes and share capital
Fiskars Corporation's shares are traded in the Large
Cap segment of Nasdaq Helsinki. The Company has
one series of shares FSKRS. All shares carry one vote
each and have equal rights.
The total number of shares at the end of 2023 was
81,000,000 (2022: 81,000,000). The share capital was
77,510,200.
Share details
Market Nasdaq Helsinki
ISIN FI0009000400
Trading code FSKRS
Segment Large Cap
Industry 3000 Consumer Goods
Supersector 3700 Personal & Household Goods
Shares as of Dec 31, 2023 81,000,000
Treasury shares
At the end of the year, Fiskars Corporation owned
202,927 treasury shares, corresponding to 0.3% of
the Corporation's shares and votes. The Company
has acquired the shares at the Nasdaq Helsinki in
accordance with the authorizations of the general
meetings of the shareholders.
Board authorizations
The Annual General Meeting for 2023 decided to
authorize the Board to decide on the repurchase of
the company's own shares and/or the acceptance as
pledge of the company's own shares. The maximum
number of shares to be repurchased and/or accepted
as pledge is 4,000,000.
In addition, the Annual General Meeting 2023 decided
to authorize the Board of Directors to decide on
the transfer of a total maximum of 4,000,000 own
shares held as treasury shares (share issue), in one
or several instalments, either against or without
consideration.
Changes in the number of shares, 2019–2023
Total
Total shares, Dec 31, 2019 81,905,242
Total shares, Dec 31, 2020 81,905,242
Total shares, Dec 31, 2021 81,905,242
Total shares, Dec 31, 2022 81,000,000
Total shares, Dec 31, 2023 81,000,000
Treasury shares Dec 31, 2023 202,927
20212020 20232022
25
20
15
10
5
0
Euro
Fiskars share price development
EUR, Jan 1, 2020–Dec 31, 2023
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Shareholders
Fiskars Corporation had 33,776 (2022: 32,602)
shareholders as of the end of the year. Approximately
1.6% (2022: 1.6) of the share capital was owned by
shareholders outside Finland and 3.4% (2022: 3.4) by
nominee-registered shareholders.
Management shareholding
On December 31 2023, the Board members, the
President & CEO and the CFO and their controlled
entities and their managed entities together with a
family member, owned a total of 37,177,859 (2022:
37,010,393) shares corresponding to 45.9% (2022:
45.7) of the Company's shares and votes. The
Company did not have any share option programs.
Share ownership, December 31, 2023
Number of
shareholders
%
Number of
shares and
votes
%
Financial and
insurance
institutions
42 0.12 13,583,085 16.77
Households 32,555 96.39 27,005,315 33.34
Private companies 779 2.31 29,201,895 36.05
Non-profit
organizations
232 0.69 5,777,949 7.13
General
government
8 0.02 4,110,306 5.07
Rest of the world 160 0.47 1,321,450 1.63
Total 33,776 100.00 81,000,000 100.00
Of which nominee
registered
11 0.03 2,726,644 3.37
Distribution of shares, December 31, 2023
Number of shares Number of shareholders % Number of shares and votes %
1–100 19,882 58.86 770,303 0.95
101–500 9,496 28.12 2,404,922 2.97
501–1,000 2,139 6.33 1,626,577 2.01
1,001–5,000 1,800 5.33 3,854,605 4.76
5,001–10,000 204 0.60 1,422,471 1.76
10,001–50,000 166 0.49 3,487,485 4.31
50,001–100,000 27 0.08 1,803,959 2.23
100,001–500,000 38 0.11 8,749,365 10.80
500,001– 24 0.07 56,880,313 70.22
Total 33,776 100.00 81,000,000 100.00
Major shareholders, December 31, 2023
Total shares % of shares and votes
1 Virala Oy Ab 12,740,000 15.73
2 Turret Oy Ab 11,430,961 14.11
3 Holdix Oy Ab 10,165,537 12.55
4 Sophie Von Julins Stiftelse 2,556,000 3.16
5 Julius Tallberg Corp. 2,554,350 3.15
6 Gripenberg Gerda Margareta Lindsay Db 1,983,000 2.45
7 Varma Mutual Pension Insurance Company 1,659,326 2.05
8 The estate of Greta Von Julin 1,560,000 1.93
9 Ilmarinen Mutual Pension Insurance Company 1,428,930 1.76
10 Elo Mutual Pension Insurance Company 1,005,000 1.24
11 Ehrnrooth Albert Carl Göran 855,372 1.06
12 Lindsay von Julin & Co Ab 750,000 0.93
13 Hartwall Peter Johan 748,450 0.92
14 Therman Anna Maria Elisabeth 722,436 0.89
15 Fromond Lilli Sophie Louise 601,135 0.74
16 Fromond Anna Gabriell 600,518 0.74
17 von Limburg Stirum Mariana 596,298 0.74
18 Åberg Karin Margareta Albertina 546,500 0.68
19 Hisinger-Jägerskiöld Barbara Maria 544,117 0.67
20 Ehrnrooth Jacob 526,929 0.65
20 major shareholders 53,574,859 66.14
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Pioneering design to make
the everyday extraordinary.
Fiskars Group in brief
Fiskars Group (FSKRS, Nasdaq Helsinki) is the global home of design-driven brands for indoor and outdoor living. Our brands include Fiskars, Georg Jensen, Gerber, Iittala, Moomin Arabia, Royal Copenhagen, Waterford, and
Wedgwood. Our brands are present in more than 100 countries and we have close to 450 own stores. We have approximately 7,000 employees and our global net sales in 2023 were EUR 1.1 billion.
We are driven by our common purpose: Pioneering design to make the everyday extraordinary. In 2024, we are celebrating our 375th anniversary. Since 1649, we have designed products of timeless, purposeful, and
functional beauty, while driving innovation and sustainable growth.
Read more: www.fiskarsgroup.com