STOCKHOLM (BRAIN) — Thule Group net sales increased 58.1% for the second quarter year-over-year, partially driven by sport and cargo carrier sales with more people this year traveling by vehicle after the lockdown of 2020.
Despite having trouble meeting increased demand, Thule reported net sales of SEK 3,229 million ($371 million) for the quarter, compared with SEK 2,043 million in Q2 2020. When adjusted for exchange rate fluctuations, sales jumped 68.5% compared to the same time last year.
Net income for the quarter went up 116% to SEK 672 million, rising from SEK 312 million from a year ago. Earnings per share rose 113%, from SEK 3.02 to SEK 6.43 from Q2 2020.
Sales in the Americas increased 53% in the quarter after currency adjustment. The bag category recorded its first growth after four consecutive quarters of reduced sales in the Americas.
"During the second quarter of 2020, most of our major markets were affected by significant lockdowns, primarily during April and May," said Magnus Welander, Thule CEO and president. "This meant that this year, we faced a relatively weaker comparative period. It is therefore particularly positive to be able to also report currency-adjusted growth of a full 39% compared with the second quarter of 2019."
Welander noted that manufacturing costs increased during the quarter because of rising material and freight costs globally. Because of this, Thule has started raising prices in two phases. The first began on July 1 and the second will begin on Jan. 1, 2022.
Thule's corporate headquarters is in Stockholm. Its stock is traded on OTCMKTS under the THULE symbol. Thule stock quote at Marketwatch.com.
