The following is excerpted from the question-and-answer section of the transcript.
(Questions from industry analysts are provided in full, but answers are omitted - download the transcript to see the full question-and-answer session)
Question: Niklas Ekman - Carnegie - Analyst
: Thank you. Yes, if I could start with a question on current trading, May know, is the 1st month where you're facing really tough comparisons and
the you're off to a very strong start. And I'm curious, do you see any weather impact any one-offs, anything that could suggest that that you shouldn't
extrapolate this May sales figure? Any reason why you shouldn't reach sales growth of 10% plus rather than your target of 5%? That's my first.
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JUNE 05, 2024 / 7:00AM, CLASb.ST - Q4 2024 Clas Ohlson AB Earnings Call
Question: Niklas Ekman - Carnegie - Analyst
: Okay, fair enough. And on a similar topic, you are now at the very peak of your margin guidance of 9%. And given again, the strong current trading,
if your sales would grow more than 5%. Shouldn't there be room for margins to expand beyond the 9%? Or are you foreseeing any immediate
pressure on margins besides, do you're talking about a little bit of cost inflation, et cetera but it doesn't look like the drama we've seen in the past.
So any reason why your margins shouldn't be able to expand further beyond the 9%, at least temporarily.
Question: Niklas Ekman - Carnegie - Analyst
: Okay. Very, very clear. And thirdly, I'm curious about the dividend policy here. You have SEK170 million in net cash and dividend. Now there's a
payout only of 55%. I'm curious, what are you what are you saving for you considering buybacks. Are you looking at M&A? What are your thoughts
here? Because otherwise I would assume that you could be able to increase the payout ratio given that strong level of profitability and significant
Net cash.
Question: Niklas Ekman - Carnegie - Analyst
: Sure. But can you elaborate a little bit on your thoughts on M&A, given that you have made your first acquisition now in in many, many years or
Clas Ohlson has very limited track record of M&A. And now you've acquired spares that we've had a few quarters now to consolidate that. Are you
looking at additional M&A and kind of in the same field where you add an online expertise to your store network? Or what are your thoughts there?
Question: Niklas Ekman - Carnegie - Analyst
: Okay, super. Very clear. Thank you for taking my questions.
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