The group has reported a total revenue figure of €37.4bn for FY20 across its three business areas – IKEA Retail, Ingka Investments and Ingka Centres.
For several weeks during the peak of the pandemic, Ingka Group had to close 75 per cent of its IKEA stores. The company, however, still achieved a €1.2bn (€1.8bn FY19) net profit and these resources will go back to the business. Capital expenditure amounted to €2.1bn, including extensive investment in physical stores, digital customer experience, renewable energy and forestry, as the company continues to become more affordable, accessible and sustainable.
IKEA Retail recorded total sales of €35.2bn (€36.7bn FY19). The company quickly adapted to make fast changes to speed up repurposing its stores to fulfilment centres and increasing affordable services for safe pick-up and delivery. Online sales grew by 60 per cent (48 per cent FY19), amounting to about 18 per cent of total sales (11 per cent FY19).
Juvencio Maeztu, Deputy CEO and CFO Ingka Group, said: “This past year has tested us all, but it is testament to our values and the resilience of our co-workers that we have managed to come through in a strong financial position while also having made great strides in our business transformation. Their efforts enabled us to continue to meet our customers’ increasing needs at home, at a time when home has been more important than ever.”
