Following the approval of the Annual Accounts by the Supervisory Board on 16 March 2022 and the conclusion of the Annual General Meeting held on 24 May 2022, ECCO Sko A/S has released its Annual Report for 2022.

In 2022, ECCO grew net sales across channels and markets with 30% to EUR 1,586m. ECCO posted a profit before tax of EUR 88.2m (2021: EUR 42.8m). As earnings are considerably below pre-COVID results in 2017-2019, the result for 2022 is not considered to be satisfactory.

The most significant impacts on the 2022 result were:

• Freight rates were significantly affecting the result in 2022.
• Further continuous disruptions in the global supply chain during 2022 affected our production, resulting in lack of stability in timely deliveries to our customers. To secure timely deliveries in 2023, it was decided to increase stock build and advance the production. This negatively affected the net working capital and the operational cashflow.
• COVID-19 still impacted the business significantly during 2022. Primarily in Asia, where ECCO’s sales and retail operation in China experienced several temporary close downs through large parts of 2022.

Investments remained high in 2022 with EUR 76.4m invested, a large share into the continued acceleration of the digitalisation of ECCO and the sales activities.

During Q3 2022, a positive and strong sales trend picked up. This has continued into 2023.

Concerning 2023, ECCO expects to continue sales growth and improve profitability further.