Despite the COVID-19 pandemic still affecting all its markets across the world, Rapala VMC Corporation has reinstated its guidance for the year and expects a positive performance from the company.
In a release to the Helsinki Stock Exhange, the group, which withdrew its guidance on the outlook for 2020 in March, says that its expects net sales to decrease from 2019. Operating profit is also expected to decrease or stay at the same levels next year.
Nicolas Warchalowski, President and CEO, added that consumer demand for the group’s products has continued at a ‘good level’. “Uncertainties remain for the rest of the year and the COVID-19 pandemic continues to pose some risks for the full-year performance,” he told investors. “The pandemic can impact the operating environment of the company in various ways, including lockdowns, store closures, social distancing and an overall change in consumer confidence. Total warehouse closures and full lockdowns in central Europe and North America would generate up to €4m negative impact on full year profit.”