Good morning, and welcome to our webcast regarding our half year results for 2022. Today with me, I have our CEO for Lindex, Susanne Ehnbåge, and our group CFO, Annelie Forsberg. Now, if we look at our results for Q2. The revenue was almost EUR 270 million, up by 18%. Our operating result increased clearly, both in Lindex and Stockmann. When we look at our rolling twelve months revenue, it increased with 19.1%, reaching almost EUR 1 billion. Adjusted rolling twelve months result improved by EUR 75 million to EUR 94.1 million. When we look at Lindex more closely, the revenue was up by 16.1% and reaching EUR 188 million. If we compare this with comparable currencies, it was up by 18.2%.
Our operating result improved by EUR 6.7 million, reaching EUR 39 million. Our adjusted rolling twelve months result improved by almost EUR 38 million, reaching EUR 100 million. When we look at the Stockmann division, our revenue was up by 22.6%, reaching EUR 81 million. Operating result improved by EUR 82.3 million and was EUR 78.4 million. Our adjusted rolling twelve months result improved by EUR 36 million, still being negative, slightly -2.5. As before, our strong cash, we reached to EUR 185 million compared with last year, EUR 156 million. Now, if we look more closely Stockmann division. Stockmann revenue, as said, was EUR 81 million and was up by 22.6%.
When we look more closely, our brick-and-mortar stores grew almost by 30% due to higher visitor volumes and customers' larger average purchases. Our share on online sales was 14.6% for the quarter, compared with last year's 18.55%, and 2019, 8.3%. Stockmann division was able to increase the gross margin, thanks to a full price sales and assortment being attractive to our customers. Our operating cost increased slightly. There are differences when we compare with last year and COVID restrictions, but operating cost less than EUR 32 million. The operating result was EUR 78.4 million compared with last year's -EUR 4 million. When we look Stockmann's adjusted operating result, it was -EUR 1.5 million for the quarter two, compared with last year's -EUR 4 million.
Rolling twelve-month sales was SEK 312 million versus SEK 277 million last year. The rolling adjusted result was for the twelve months was SEK -2.5 million, compared with last year's almost SEK -40 million. Stockmann is now almost on a break-even level on a rolling twelve months basis, and this is due to increased customer traffic in our stores and web store. It is due to the improved margins, and it is due to the improved cost structure. When looking the highlights of Q2 this year, the revenue was very positive. As I said, the gross margin improved. We also told you before that we will increase our loyalty program coverage to cover also Estonia and Latvia. We opened our online store in Estonia and Latvia.
This has boosted our loyal customer base with, in Latvia, by 10,000 new members in June only, and in other countries, in June only, we got 21 new customers during the Q2. As we've been telling you also, our focus is growth, and now we've been looking how can we collaborate with Wolt in order to be faster with our deliveries in the capital region of Finland. This has been very successful in this quarter. Our systematic work with the environmental feed for the Stockmann division is continuing as planned. The division way forward, the customer-centric roadmap, full focus on value creation and growth, and sustainable growth. We will build a seamless omnichannel experience, better services, faster last mile deliveries and collaboration with our partners.
This year is our 160 celebration year with all kinds of activities, and this will continue throughout the year, and we will be celebrating together with our customers, partners, and employees, this achievement of 160 years of Stockmann division. We also came out that we will open the largest toy store in Nordics in Helsinki and Tampere. The second-hand fashion, as you know, we opened the Relove. We are really sorry about the connection problems, but let's continue with Susanne and the new omnichannel warehouse slide. Susanne, please take over.
All right, let's try this again. Sorry for that. Another important highlight from the second quarter is that we have, in the end of May, announced that we will build and start to invest in a new highly automated omnichannel warehouse. This investment is approximately EUR 110 million. Our new warehouse will replace the current one that we have in both Partille and the e-commerce warehouse that we have in Borås. The new warehouse will be located just outside Gothenburg in Alingsås. This warehouse will supply all our sales channels and ensure an efficient distribution and stock management in line with our continued global, digital, and sustainable growth. The new logistics platforms will also enable continued growth in more channels as well as for new growth opportunities.
We will initially be able to quadruple the capacity for our e-commerce and ensure a scalable and sustainable logistics solution. We also have really high sustainability ambitions with the new warehouse, where our goal is to achieve the environmental certification Green Excellence. The facility will also be powered by electricity from solar panels, which we'll be able to use ourselves and also will be able to hand electricity to also other operations as well. The new highly automated and climate smart facility will be approximately 40,000 square meters in size, and it's planned to be brought into operations in 2024.
On our way forward, on the next page, our plans are proceeding according to our plan, where our business strategy stands strong, and we continue our journey as a global brand-led, digital-first and sustainable fashion company. We are in a transformation, and we know that the business will not look the same as it has done before. We will grow in new ways where the transition into circular business models and investment in Femtech are part of our growth strategy. The transition in our supply chain to renewable energy also plays a major role as innovation in materials, and there are some examples that will be crucial for us to succeed in, both for our transformation and also for our growth plan.
It is a challenging time with everything happening in the world, and it is more important than ever that we are responsive to our customers' needs and wishes and that we continue to act fast and agile. Something that I believe that we have proven that we can do during the last couple of years. With challenges also comes opportunity with all Lindex employees' fantastic engagement and efforts continue to stand strong. We have, during the quarter, strengthened our employee Net Promoter Score further from 66- 68, which places us in the top 5% among similar companies within the consumer. A very strong result key for us. With our strategy and important investments ahead, we will continue to create a long-term resilience in our ever-changing industry, and where we will continue to be fast and flexible and well-positioned for the future.
I now hope that you hear me, and I would like to hand over to our CFO that will present the financial highlights.
Thank you, Susanne. Yes, good morning, everyone, and I hope you can hear me well. If we go to the next picture then. The restructuring program proceeds well according to plan, and during Q2, also the Helsinki real estate has been sold. This means that all secured and unsecured restructuring debt has been paid, and the Stockmann Group now has moved into a new phase, with a different balance sheet structure. The interest-bearing debt, excluding IFRS 16 leases, is now zero, except for the bond of EUR 66 million that Stockmann will have until 2025.
Although Stockmann still has disputed claims of EUR 89 million regarding mainly termination of long-term leases, where the landlords have required full payment for all outstanding years and the administrator of the restructuring program has disputed these claims and consider it justified to pay 18 months the leases instead of all outstanding years. Stockmann has made provisions for 18 months, and now most of the claims will be settled by arbitration proceedings. Stockmann will be under restructuring process until all the disputes have been solved. Turning to next slide and comparing quarter two sales with last year, total sales has increased with 18%, where Lindex sales has increased with 16% and Stockmann sales with 22%. For both divisions, the increase is related to sales in physical stores and where digital sales remains on almost the same level.
We can clearly see that physical visitors are coming back to both Lindex and Stockmann and finds the assortment attractive. Compared to Q2 in 2019, which was before the pandemic, sales has increased with 11%. Gross margin has slightly decreased from last year. That is due to somewhat decreased start margins for Lindex, where the US dollar has been less favorable versus the Swedish krona. Operating costs are naturally higher due to higher sales, and that no stores have had restrictions during the quarter, which has impacted both staff costs and other store costs. Selling the real estate of Helsinki flagship gives a capital gain for the quarter, which is included in the operating result of EUR 114.5 million.
When excluding the capital gain and some restructuring costs, the adjusted operating result is EUR 35.4 million, which is an improvement with EUR 8.5 million or 32% compared to last year. Compared to 2019, the improvement is EUR 60 million, which is an 82% increase. As seen here in the graph, both divisions have increased profitability for comparable quarters. Lindex division, illustrated in the green table, has a strong positive result for this Q2. Also, Stockmann division, in black, has improved running business significantly and delivers almost plus for the quarter. The next page then shows the trend on a rolling twelve basis. Let's see if the slide changes, maybe some delay here. So, compared to the latest twelve month in Q2 in 2021, the revenue has increased with 19.1%.
Comparing to full year 2019, the revenue has increased with 2.1, 2.1%. The adjusted operating result, which is excluding all capital gains of selling real estate and restructuring costs, is on a rolling twelve base, EUR 94.1 million, which is a significant improvement compared to rolling twelve in 2021, which was EUR 19.1 million. That means EUR 75 million better result than last year. Compared to full year 2019, when the operating result was EUR 39 million, the result now has more than doubled. Looking into the next page, we illustrate the divisions on a rolling twelve base to see the trends. This graph shows the divisions developments in adjusted operating results during the years.
Lindex has improved the business profitability and has now reached EUR 100 million, which is more than a doubled result compared to 2019. While Stockmann division was hit hard during the pandemic, but are now almost back in the black again. Still a negative result with EUR -2.5 million, but has improved in a good way. The interest-bearing net debt seen here on the next slide have been paid during the quarter and the situation for the balance sheet has thereby changed. This graph shows the development in interest-bearing net debt since 2018. It excludes IFRS 16 leases, as well as the bond of EUR 66 million. As seen in this slide, the cash are exceeding the debts after selling the real estate, so the group is now in a net cash situation.
Next slide illustrates some key figures and the net result. Like seen in the graph, the net result has been positive during the latest quarters. During Q4 2020, Stockmann Group made an impairment test of Lindex and did a write-down of goodwill with EUR 250 million that affected net result and equity. Latest quarters, the groups have shown positive net results, where this quarter is especially strong and also improves equity. Looking in the next slide in the equity ratio, we now see a different picture compared to 2021. In total, the equity ratio has been affected by the restructuring process and write-down of Lindex goodwill. The light green line shows this development excluding IFRS 16 adjustments, where the equity ratio strongly has improved to 53% from 19.4% twelve months ago.
The dark line shows the equity when all IFRS 16 leases are included, and the equity ratio then is 25.6%, with an improvement from 14.1% one year ago. The next page shows the lease liabilities, and due to IFRS 16 accounting, all leases are booked as both assets and liabilities in the balance sheet. In total, Lindex Group has lease liabilities of EUR 573.4 million after the sale-leaseback of the Helsinki real estate. As shown here, the lease liability for the Helsinki lease has the biggest impact with EUR 191.1 million, while the other Stockmann division leases has approximately EUR 94 million and Lindex stores EUR 282 million. The guidance then. On this Tuesday, the nineteenth of July, the Lindex Group has changed the guidance.
We now say Stockmann expects an increase in the group's revenue and that the adjusted operating result improves compared to previous year. Guidance is based on the assumption that there will be no major changes in consumer spending during the latter part of the year. Geopolitical instability in the world with high inflation and challenges in the supply chain and international logistics, as well as the challenges of COVID-19 restrictions, require that both divisions have to be adaptive and flexible to meet the future. The market outlook then for 2022, there is an uncertainty in the global economy, and it is expected to persist throughout 2022. It will affect the supply chains and international logistics, and also the COVID-19 pandemic might have an impact on the economy across the world.
Additionally, we have accelerating inflation that has an impact on households and consumption and also will lead to increased operating costs. The retail market is expected to remain challenging due to the changes in consumer behavior and confidence. The Stockmann division will continue to execute the restructuring program and Lindex to explore new growth opportunities. That was all regarding the financials, and we now open up for Q&As.
Yes, from Jukka Parkkinen, the first question: Are Lindex shares used as collateral in Stockmann department store's long-term lease contracts?
No, they are not.
Espen Lindström, can you explain the difference between reported and adjusted net results EPS?
Annelie?
EPS? Yes. Earnings per share.
Difference between reported and adjusted net results.
Yes. In the adjusted net results, we exclude the selling of the real estates. That's the difference, and also the restructuring costs. That's the difference. If we look at the earnings per share, it has decreased also due to that we have more shares than we had before. It's calculated on the average number of shares, and we have more now.
Yes. Mikko asking, when do you anticipate the arbitrations and the claims in the Helsinki District Court to be resolved?
It's difficult for us to estimate. We are hoping as fast as possible, but we don't know.
Espen Lindström asking, when is Stockmann Oyj going to change its name to Lindex Group Oyj? Any plans to co-list in Stockholm?
We continue as the strategy is today.
What resulted in adjusted EPS to drop so much from the adjusted EBIT? Why aren't the tax expenses adjusted?
Like I said before, we have more number of shares than we had one year ago since we have issued many shares during the latter, the last year. That's the reason.
Yes. LindexFindex asking, has spinning off Lindex after debt restructuring been on the table and any talks with the board, and does Stockmann Group understand the value of spinning off Lindex would give to the shareholders?
As I said, we continue with the current strategy.
Matti Poijo asking, this is for Susanne and Annelie, for you. Is the newly announced OnceMore material going to impact Lindex's gross margin?
I can try to answer that. This is new for us. The idea is that it shall not impact the gross margin. It is a mix of course, the price of buying the material together with transportation, and you also have the currency effect. Bringing that all together, then we will handle that and also make sure that we have a satisfying gross margin and therefore also a good price for our customers.
From Eteläntaka again, regarding Stockmann retail online shop, which has had problems with wrong number of products and slow shipping for a while, I have still recently seen complaints about the same issues. Why has this not been fixed already?
Well, many improvements. I would like to remind that we opened a new platform end of 2021 and we have had some challenges. We need to also improve our ERP systems, the product information systems. Now, as the restructuring phase is behind us, we are focusing on fixing issues, but it is continuing, and we improve every day as we speak. Looking at the customer feedback, it is improving also from the online customers, so we're getting better results every day.
Ari-Matti Ahlankko asking about during Q1 2022 webcast, you mentioned the latest sales trends in April. Could you say anything about July 2022 so far?
Susanne, would you like to say something from Lindex first?
Yes, I can do that. We can see that July has started pretty well. We are meeting really good numbers from previous year, also that we started to do already in May and in June. As you can all remember, in April 2021, there was a lot of lockdowns, and then we can see that the sales increased previous year. It's good to see that we are in a good level also in July.
For Stockmann division, I can say that, there is a clear increase versus previous year. Happy to see also that the tourists are back, especially European tourists. We have more Americans visiting us today. Russians, not visible, but some Asians. Tourist indexes are increasing as well. Good start for the month.
Ari-Matti Ahlankko's question to Susanne and Annelie. Lindex is currently operating at record high EBIT margin. Is this a margin that you expect going forward as well? Is digital sales channel more profitable than brick and mortar?
Uh, regarding-
Would you like to start, Susanne?
Yes, I can try to start. Looking at the guidance for long term, I don't think we have clarified that, but of course, our goal is to have a strong profit margin, also in the future, but it is really high at the moment. Regarding the e-commerce channel, we have a very high profitability, and it is actually the most profitable channel contributor that we have today. If that continues to grow, it's good for our business as well.
Ari-Matti Ahlankko asking: Why is there such a big difference between disputed cases and provisions number?
Yes, I can ask that. The disputed cases are all the long-term leases, and here we have some of them are 10 years, and we have made provisions for 18 months, which the administrator of the restructuring program seem think is reasonable. That's the reason why.
I would like to highlight also that the majority of our landlords have already approved this administrator's program. We believe this is valid for the future, also those disputed cases.
Now, so far, the last question from today from Espen Lindström. Could you explain how the adjusted EPS is only EUR 0.01 versus reported EUR 0.52?
I would like to dig into that a bit more, to be able to answer that more correctly. If that's okay.
Yes. Let's wait for a couple of moments if we have any new questions, but so far, all covered. Please ask if you have anything in your mind.
Well, if not, then we wish you all a very nice and warm summer. Summer has been great so far, and now we wish you to enjoy the sun, enjoy the family, and of course, we are open every day. You are welcome to do shopping with us, and we want to inspire you every day. Thank you.
Thank you. Bye-bye.