Welcome to the Axfood Q4 2023 report presentation. For the first part of the presentation, participants will be in listen-only mode. During the questions and answers session, participants are able to ask questions by dialing pound key five on their telephone keypad. Now, I will hand the conference over to speakers CEO Klas Balkow and CFO Anders Lexmon. Please go ahead.
Thank you, and, good morning, everyone, and thank you for joining, today's call. Now, as you can see on the headline, we are continuing to take market share in this exceptional time, and, as you've heard with me today, I have our CFO, Anders Lexmon, and, together, we will go through this in more detail and present to you Axfood's year-end report for 2023. In the investor section of our website, you will find the presentation material for today's call, and a recording, will, as usual, also be made available after the presentation. So with that, I would like, to get started, and please turn to page number 2. Here you'll find today's agenda. First, a brief market overview, and then I will give you a review of our fourth quarter performance.
After that, Anders will take you through the financials, and following Anders' part, I will talk about the progress we are making with some of our strategic initiatives and investments for the future. Also, I will cover the outlook for 2024, and we are presenting today, as well as the board's dividend proposal before we open up for the Q&A session. We are now on page number 3, but let's get straight into page number 4, and there we'll take a look at the development during the final quarter of this year. First of all, market growth amounted to 6% during the fourth quarter. This was the same level as the food price inflation, which continued to decline on a sequential basis.
In other words, market growth held up quite well, and actually, if you look at the end of the quarter, we saw volume growth for the first time in two years. While it's positive that volumes are growing again, we expect the market dynamics to continue to be impacted by price consciousness. Let's go to the next slide, number 5. Then Axfood's retail sales grew 9% in the fourth quarter, which was significantly higher than the market. This performance should be seen in the light of significantly higher comparison figures for Axfood than the overall market. I therefore think it is meaningful to also analyze our figures on a two-year stack, where our growth amounted to a full 28%, doubling the rate of the market, which was 14%. Please go to the next page, number 6.
And in e-commerce, our sales increased slightly more than 8%. Market growth turned positive for the first time in more than two years, but obviously, we once again outperformed. Our share of consumer sales from e-com was slightly more than 5%, one percentage point higher than the penetration of the market. On a two-year stack, Axfood growth was 4%, also that better than the market. And if you go to page 7, we have also included a slide on that shows our 10 years performance in terms of market share gains, over the last years. But let's go now into page 8. Our consolidated net sales for Axfood grew by just over 5% during the fourth quarter. Strong sales performance in Axfood's concept drove the overall growth.
Dagab sales to external, however, came in softer, which clearly held back the overall net sales growth. With the growth in the fourth quarter and consistently high growth over the course of the year, we actually passed SEK 80 billion in net sales for a full year for the first time ever. Please go to the next page, page 9. In total, group operating profit amounted to SEK 744 million, and the operating margin was 3.6%, substantially increased versus year-ago. But this development was largely due to easy comps with higher cost affecting comparability in the prior year period. The adjusted operating profit, which exclude items affecting comparability, amounted to SEK 850 million.
This increase was mainly the result of strong growth and effective cost control, but higher rental levels and salary increases, however, had a negative impact on profit, and the adjusted operating margin was 3.9%. And if we then go into our various segments, and I would like you to turn to page 10 and Willys. And I really want to emphasize Willys' unique concept in the market. In the fourth quarter, Willys once again gained market share through robust volume development, and the loyalty of existing customers remained strong. Our share of sales from campaigns was still high, however, compared to prior year, it was actually slightly lower. In all, total like-for-like growth in the segment amounted to 9% and 7%, respectively. Willys' market share in the fourth quarter was approximately 15%, which compared to 13% two years ago.
I think this is clearly a very, very strong development. However, we see continued great potential for Willys to take more share, both in stores and online. Operating profit increased 10%, amounted to 469 million SEK, corresponding to an unchanged operating margin of 4.1%. The strong growth in like-for-like sales and effective cost control compensated for the cost associated with our higher rental levels and salary increases. With that, please go to page 11 and look into Hemköp segment. Hemköp continued to strengthen its position in the traditional food segment and once again succeeded in outperforming market growth. For several years, Hemköp has worked now to consolidate its position with a high rate of store modernization, investment in price value, and important progress in the area of sustainability.
These have created the right condition, is now helping to further boost Hemköp's impressive performance, creating a solid base. Net sales increased 10%. Total and like-for-like retail sales growth was 8% and 7%, respectively. Stores within Hemköp banner performed better than the Tempo stores, and similar to other countryside and smaller store formats in the market, Tempo is facing some challenges due to consumers' preference for price value over convenience. Our operating profit amounted to SEK 77 million, and the operating margin was 3.9%. Positive effects from the growth and effective cost control were offset by negative effects from higher rental and salary levels. Now, let's move on to Snabbgross, page 12. Snabbgross market has shown a gradual deterioration during the year, and many cafes and restaurants are facing some challenges.
Snabbgross has however, delivered a stable performance with higher sales and profit flexibility and ability to adopt its offering. Sales during the quarter increased 6% in total and 5% on a like-for-like basis. An increase in the number of customers and sales to consumers through member-based Snabbgross Club contributed to this growth. Our operating profit amounted to 58 million SEK, corresponding to an operating margin of 4.6%. The increase in profit was primarily driven by the growth in like-for-like sales and effective cost control. However, negatively impacted by, again, higher staff and rent levels. Next page, number 13. Net sales for Dagab increased 4% in the quarter, and as I mentioned before, strong growth in sales to Axfood's own concept was somewhat offset by soft sales development to external customers, including smaller store formats and the service trade.
Reporting operating profit amounted to SEK 248 million. This year, we had SEK 71 million of costs related to our logistical restructuring, compared to SEK 186 million last year. Also last year, we had SEK 46 million integration costs for the Bergendahls Food acquisition. The adjusted operating profit amounted to SEK 390 million, and the adjusted operating margin was 1.7%. The increase in profit was primarily due to growth, synergy effects on Bergendahls Food, and more neutral currency effects with the strengthening of the Swedish krona. Let's now turn to page 14, and it's time for me to hand over to Anders to walk you through the financial development. So please go to the next page, 15, and Anders, please go ahead.
Thank you very much, Klas. For the full year, net sales for the group increased with 10% to 81 billion SEK. Retail sales increased by 14.3%, which was clearly higher than the food retail market in total, where growth amounted to 7.5%. We also, for the full year, had a lower growth for Dagab's external customers. The operating profit, excluding items affecting comparability of minus 249 million SEK, increased by 373 million SEK to 3.6 billion SEK. The increase was mainly explained by the strong growth and effective cost control, partly offset by lower gross margins in the segments and increased costs, costs related to, for example, rental levels and personnel costs. The operating margin, excluding items affecting, comparability, was unchanged at 4.4%.
Items affecting comparability pertained entirely to parallel warehouse operation during the transition to the new logistics center in Bålsta. Last year, items affecting comparability included a capital gain of SEK 221 million for the divestment of Mat.se, and structural costs of SEK 263 million connected to the restructuring of Dagab's logistics operations. Then turn to page 16. For the full year, the cash flow, compared with last year, was SEK 304 million higher. The relatively weak cash flow from operating activities in Q1 due to negative net working capital was compensated in the second and fourth quarters by strong underlying operational performance. The cash flow from investment activities of SEK 2.2 billion was significantly than last year, as we now have a lower pace in automation investments.
Investments in our retail operation and joint group functions was in line with last year. At the end of the fourth quarter, we utilized approximately SEK 500 million of our credit facilities, SEK 300 million more than in Q4 last year. And then turn page to page number 17. If you then look at the financial position, the net debt has decreased compared to previous quarters due to lower utilization of the credit facilities. This was also reflected in the lower net debt ratio, which amounted to zero at year-end. The equity ratio at year-end has been very stable over the last couple of years, and the equity ratio in Q4 amounted to 23.9%, well above our target of 20%.
Total investments, excluding leasehold for the year, was SEK 647 million lower compared to last year. And again, we see now a lower pace in investments related to the logistics center in Bålsta. We have established 12 new Group-owned stores during 2023, which was 3 more than last year, and we will get back to the investment outlook for 2024 later in this presentation. Then let's turn to page 18. Looking at the capital efficiency, we have a positive development in net working capital in absolute terms. However, in relation to sales, we saw a negative trend during the year due to the higher inventory levels related to the ongoing warehouse transition. The ratio is now minus 3.2. A reversal of this effect is expected gradually in the coming quarters as the warehouse transition progresses.
The capital employed has increased over the last years, mainly due to the recognition of leasehold debt in Bålsta and in Landskrona, and higher capital expenditures, which have had a diluting effect on the return on capital employed. However, the return on capital employed is now quite stable at little bit more than 20%, looking back at the recent quarters. And that ends my part of the presentation, Klas, and I hand over to you again.
Thank you, Anders, and we are now on page 19, but let's go directly into page 20. Now, 2023 was an eventful year, a year with continued strong operational development and also progress with our initiatives and investments for the future. So I would like to highlight a couple of areas where we made major strides during the year. Let's go to page number 21. First of all, something that has been pretty well covered already during this presentation, growth. In 2023, we had a very strong momentum in terms of sales, with volume growth and large inflow of new customers to our stores. We saw a very strong demand for our concepts, and that is why we have been expanding our presence at a rapid rate throughout the country with new stores.
In all, during the year, we established nine group-owned Willys stores, two Hemköp stores, and one new Snabbgross store. Let's turn to page 22. Digitalization, AI, and automation are rapidly evolving areas and are also crucial for creating a high level of efficiency and strong customer offerings. We have developed our business considerably over the years, and our digital transformation is continuing. In all areas, we have continued to develop a data-driven approach. In 2023, for example, we implemented a new system for campaign and assortment planning, and in 2024, we are upgrading our back office system in order to simplify and streamline processes for our store employees. Logistics is, of course, also a big part of this.
The implementation and ramp-up of our new, highly automated logistical center in Bålsta, outside Stockholm, was ongoing through 2023, and in 2024, the facility will be completed. In addition, the automation solution at our new fruit and vegetable warehouse in Landskrona was recently put into operation, and we are adding more capacity with our new high bay warehouse in Gothenburg. Our combined logistical investments will result in significant efficiency improvements and cost savings starting in the second half of this year. Lastly, a couple of initiatives within the sustainability on page 23. Here, our ambition is really to be at the forefront and to take the lead in promoting a sustainable food system. In particular, we are continuing to offer our customers a sustainable and healthy assortment of products in our stores and to guide them towards sustainable and healthy choices.
But this is in a time when consumers have reprioritizing their purchasing decision due to the high inflation and to a lesser extent, have been focusing on these matters. But I also would like to mention our new extensive solar power initiatives, including a large rooftop installation at our warehouse in Bålsta and Landskrona, and the construction of Sweden's largest onshore solar park in Hallstavik. And lastly, just recently, to further reduce our greenhouse gas emission, we're initiated to accelerate the phase out of fossil fuels by switching to using only renewable fuels in both our own and procured transports. With that, go to next page, 24. And let's turn to the outlook for 2024, which we are issuing today. Investments are expected to amount to SEK 1.6 billion-SEK 1.7 billion, excluding acquisitions and right of use assets.
The largest part of this is related to recurring investments in our operations, but it also covers expansion. However, SEK 300 million of the total amount is related to automation in our new logistical structure. In terms of our presence, we will maintain a high pace of expansion with the aim to adding 10-15 new stores to our store base, the majority of which will be Willys stores, so that even more customers can benefit from our concept. Moving on then to dividend for 2023 on page 25. Axfood has a strong financial position, and the board of directors will propose to the annual general meeting an increased dividend of 850 SEK per share to 850 SEK per share.
The dividend will be split into two payments, SEK 4.25 per share in March and SEK 4.25 per share in September. The dividend proposal corresponds to 78% of profit after tax, well in line with our dividend policy. Now, let's turn to the final page of this presentation, page 26. At an exceptional time of historically high inflation and changing consumer behavior, we are closing the books on a successful year in which we strengthening our market position and took major step to strengthening our competitiveness in the long term. We are entering the new year with an even stronger position, which will provide us with a favorable conditions to continue to attract new customers and strengthening the loyalty of our existing customers, and to become even more efficient in our underlying operation as our new logistic initiatives will put into full use.
With that, please turn to page 27, and I would like to hand over to the operator to open up the line for questions. Thank you.
If you wish to ask a question, please dial pound key five on your telephone keypad to enter the queue. If you wish to withdraw your question, please dial pound key six on your telephone keypad. The next question comes from Fredrik Ivarsson from ABG Sundal Collier. Please go ahead.
Good morning, guys. Well done. I've got three questions. I'll take them one by one. So the first one on Willys margin. So I, I guess you've been talking about gross margin pressure for quite some time now, and you mentioned it today in the report as well, even though the margin was stable in Willys. So the question is, when do you see this gross margin pressure sort of turning and, and maybe even turn positive, given that we've seen positive CPI, PPI gap for, for quite some time? That's the first question.
Yeah, and morning, Fredrik. Well, I think, first of all, if you look at the from the supplier side and how that works, there is currently a lower cost pressure from the suppliers, which we think is positive. However, as you're all aware, there are many things that is now affecting our structure, and we are still at higher levels versus before the inflation started. There's a climate impact. There are also overall, the whole market has cost inflation into the system. So it's, I have to say, it's difficult to predict. What we have seen in terms of the market currently, we've seen a slightly lower campaign effects, which obviously has a positive sign in terms of margins.
But on the other hand, we are still on a significant lower margin, so we have not been able to compensate for the cost pressure from the supplier at extent on that. And then, of course, it's a very competitive market, so we'll see how it goes.
Okay, thanks. And then on the store openings, if you can just remind us if you—I guess we talked about it on the Capital Markets Day, but if you can remind us if you have any planned closures, or if that 10-15 is more or less a net figure?
There are no planned closures, so in that perspective, it's a net figure. Then obviously, there's nothing that we are aware of today, I think.
Okay, great. Last question on 2024 cash flow and the working capital. We talked about, I think, SEK 200 million-SEK 300 million cash flow or working capital release. As you close down the overlapping warehouses, is that figure still relevant?
Yeah, I think it's very relevant to assume that.
Okay, perfect. That's all my questions. Thanks.
Thanks.
The next question comes from Niklas Ekman from Carnegie. Please go ahead.
Thank you. Yes, a couple of questions from my end. Coming back to the margin discussion here, and maybe not for Willys, but for the Group. You've had two years now with a stable or declining margin, and this is the first quarter where we see a clear year-over-year increase. Can you elaborate a little bit on the factors behind this? Are prices now started to finally catch up with costs, and is this something you think could continue, or are there more one-off factors that are boosting the profitability in Q4 here?
Well, obviously, as you look at the one-offs, and I think you've seen that clearly, so they- but I don't think that's what you're related to, you have a-
No, no, the underlying.
Yeah, I understand that. So, and then, you know, we, as you're all aware, when you get positive like-for-like, and you get that dynamics, and now, as you've seen and heard, that we are not seeing a shrinking gross margin at the same extent that we saw, you know, last year. So obviously from that base, and if we continue to drive that growth, we can offset the cost that we have in our structure. We also have cost structure, as you know, of rent and staff cost, as I commented several times in the report. So, we continue to work to make sure that we get customers into our stores, and we can drive our like-for-like.
That is the way for us to drive it, to drive it further, and to see what happens in the overall market in terms of you know, price pressure and all of that. So it's a clearly competitive market. We've seen that the full year, and we continue to make sure that we you know, keep our price position in the market, which is crucial for us.
Yeah, very good. Thank you. And on Hemköp, I'm just curious about the strong momentum of Hemköp in this quarter and in previous quarters. You point at price value, and that seems to be where ICA and Coop have really been struggling, and they're kind of acting in the same segment, or if you talk about the supermarket segment. Why is Hemköp really standing out in this market? And what is to prevent your major peers from doing the same?
... No, I'm glad you're lifting it up. Obviously, I think it's the fifth quarter that, you know, we are not only, in our view, at least, assumption, we are clearly beating our traditional segment, but because as Hemköp is also, you know, beating the overall market growth, including the full, low price segment as well. So, but I think it's been, you know, we have been very clear in terms of we have worked with our price value, as you know, and we have communicated that for now, a long time, even before this started, in terms of we have really, you know, some of our range is put into, you know, the best offer in that perspective.
But then in addition, I think, we've had a journey now, as you're all aware, that we are modernizing our stores, we are upgrading our stores, we are, you know, developing the brand. We also, and I'm pleased to see that we put a lot of effort in the sustainability progress in Hemköp. They still have the double points when you're buying sustainable products, et cetera. We still-- I think we still have the highest share of ecological, or organic, products in the market in Hemköp. So, hopefully, that we are also getting rewarded for that from our customers. But it's a journey, and, we're pleased to see that we are, for the last five quarters, taking positive steps on that journey.
Very good, thanks. And turning to Bålsta, the new distribution center. You've started now with the refrigeration. Have there been any hiccups along the way here, similar to what we've seen before? Or just an update on the-
Yeah
Progress here. Is it following your plans?
Yeah. No, we are following the plan right now. I think that, as we have commented it several times, and many of you have now seen the facility, it's a large facility. We will have daily things that we are trimming and that we're working on. But overall, the dry range is now set, and we are now rolling out the chilled, and it goes according to plan. We have daily things we need to fix, but there's, you know, we are very, you know, in a good place and significantly, you know, compared to what you referred to, so we have nothing like that in the ramp-up at all.
Can you update us also on the closure of the warehouses that it will be replacing? How is that progressing, and what can we expect? When will you close the last of these six fulfillment centers?
Well, as you've heard, in terms of we are gradually now phasing out. We also start to leave parts of the facility in Jordbro. We have rented out some of that as well. So that will take, you know, gradually over the year. And then, you know, and I think we've talked about that, we also have service trade. We continue to have service trade in Örebro, that. And we will not make any other decisions on that yet. We'll see how that is developed, because, of course, we see that how we are now ramping up, we make sure we make a controlled ramp-up pace of our business. So we have to come back to you on that part, but that facility runs, you know, as a separate with the service trade.
Okay, and any update on one-off items in 2024? I think you've indicated the one-off cost of around SEK 20 million. Is that still valid?
Yeah.
Very good. Thank you so much for taking my questions.
Thanks, Niklas.
The next question comes from Simen Aas from DNB Markets. Please go ahead.
Good morning, guys, and congratulations on a very strong finish to the year. Just, could you just give us an update on your outlook for food prices in 2024? So now we have seen, obviously, in 2023, on a sequential basis, prices were basically flat throughout the year. Should we expect, you know, a return to our normal inflation now, 1%-2%, or how do you guys reflect on that? That's my first question.
Understood, and good morning, Simon. I think this is the kind of questions I get daily now in terms of how would it look going forward. And as I, you know, I can only comment on what we actually see right now, and then it's as you've seen and you looked at the, the inflation rate is going down, so it's it's less cost pressure from that perspective. But I have to just say that going forward there are so many areas right now that is affecting the the overall food supply chain and the whole in terms of we have climate concerns that is affecting harvests. We have as you have-- I'm sure you follow that, we have some around Yemen. We have...
So, there are many factors that could impact this, and in Sweden, also the currency. So, have to be vague on that response in terms of what we're seeing right now, and we are pleased to see that we are not seeing any strong inflation pressure at the moment. But how it will turn out going further through the rest of the year, I don't wanna give you a forecast on that.
Okay, yeah, I get, I get that. It's, it's hard to predict, but just, I know you don't comment on current trading, but has anything changed from what you saw in Q4 now into 2024 in terms of, you know, Willys and, and everything?
Yeah, it's a good question, but I'll follow that up in April when we talk about the first quarter. So I only comment on the fourth quarter right now. Yeah.
Yeah, yeah. Sure, sure, sure. I get that. And then just one final one for me. And, you know, last year, especially during the first part of 2023, you know, the industry volumes was very, very weak. And then, given that you guys were growing volumes, I guess that, you know, it was ICA and Coop that was the main losers to that. So now that you sort of entering the first half year, and I guess that those guys want to grow volumes to return to restore margin. Should we expect, you know, if volumes are returning now for them, should that be a healthy sign for the industry as a whole? And could this-
No, I think,
Potentially result in less competition?
Yeah, but I don't, you know, I'm not gonna comment the competitors' activities. But I think overall, of course, we've seen, as I started to say, we've seen an exceptional time where it's been a lot of, you know, price pressure, cost pressure for our industry, for suppliers, for us, but also for households, which has put some pressure, of course, in terms of food. But and therefore, you've seen that reflected as well in the overall market with negative volume development. I think in any market you are in, and I think that as well, it's positive that we now start to see in the end of last year, volume is picking up again.
I think that's just a healthy sign.
Yeah. Okay, thank you, guys, and that was all my questions.
Thank you.
Thanks.
The next question comes from Anna Schumacher from BNP Paribas Exane. Please go ahead.
Hi, and yeah, congratulations on the great results. I have two questions, if that's okay. The first one is, across all of the banners, you talk about effective cost control. Would you be able to talk further on how you've been able to do this, especially given rental and salary costs have increased?
Morning. Yeah, of course, it's kind of part of our DNA to be to make sure that we drive as efficient operation as we possibly can. And as I pointed out, it's been a you know, an exceptional year with which we have changed in consumer patterns and in terms of differences in campaign, et cetera. And I think the staff and the store managers and the whole operation has been able to navigate and try to adapt and adjust as good as they can in this environment. And that's what I'm relating to, that we've been able to handle and to manage an efficient operation. Yes, we have higher fixed costs in terms of fixed, but in terms of rental and also some salary costs that it goes up.
And of course, it's up to us to make sure that we can, you know, be as efficient as we can. We're also investing a lot, as I pointed out in the end of my presentation, in terms of our IT systems and IT platforms that should support and guide our store operation and our logistical operations, also to be more efficient through data and through digitization and through a data-driven approach. So, that's how it refers to.
Okay, great, understood. And then, my last question is, in Q3, you had a chart showing the addition of new Willys Plus members. I was just wondering how that has evolved since?
Very healthy. We are positive to see that we are still on a significant higher inflow of new customers in our loyalty program. We've continued to see a higher inflow. So, we are pleased to see that, as I also comment on the report, that we got many new customers coming into both the stores, but also adding up to our loyalty program.
Okay, great. Thank you.
Thank you.
The next question comes from Gustav Hagéus from SEB. Please go ahead.
Thanks for taking my questions. I was a bit late into the call, so apologies if you already answered these. But two questions, just first one on the margins then. Is there a notable impact from bonuses or kickbacks from suppliers in terms of volume targets being reached that have been paid out in Q4 affecting your gross margin year-over-year?
No, I would not say that, Gustav. That is an ongoing, so no, I wouldn't say that.
Okay. Perfect. And then secondly, since you have customer data on both Hemköp and Willys, and they do represent quite two polar opposites in the market, I guess. Have you been able to sort of follow any customers that have migrated from Hemköp to Willys and migrated back, so to speak, in this quarter? Do you see any of those flows going back since Hemköp now outperformed Willys for the first time in like-for-like for quite some time?
It's no, I wouldn't say... There's nothing significant on when we see that. But I want to comment on what you're saying there is, which is also valid for the market, somewhat also valid for Hemköp when you're comparing Willys or something. If you look at Willys growth last year, we continued to growth on a very high comp figures, and have volume growth on a very high comp figures. So, it's not that, and Hemköp had obviously somewhat lower comp figures as the rest of the market. So, I don't think you really can make that conclusion.
Okay, and a final one for me: Online was obviously better than the market. Could you remind us of the margin profile for online versus your traditional stores, fully loaded?
Well, margin on online is lower. There's nothing that's dramatically changed on that. So and obviously, we are pleased to see that the largest growth, as you know, is Willys, and Willys has a very solid model, also transparent in their pricing. And, but it's a volume that, and as you're also aware, that we are about take our steps as well into, in the back end of optimizing to improve our margins. But margins is significantly lower on online, yeah.
Mmh. Okay, perfect. Those were all my questions. Thanks.
Thank you. Thanks.
The next question comes from Daniel Schmidt from Danske. Please go ahead.
Thank you. Good morning, Klas and Anders. Just, I think one question from me, coming back to pricing in the market, and I think you said that price campaign intensity has actually eased a little bit. If you look at sort of your biggest competitor, ICA, they continue to indicate that they have closed or gradually are closing the price gap between ICA Maxi and Willys, and it's gone from basically 5%-2.5% over the past year. What's your sort of reflection on that? What does your sort of statistics tell you? Where is the price gap, and has it moved at all, or is it standing still? Where are we in that?
Morning, Daniel. Now, there's a lot of discussions and a lot of comments from various competitors of doing a lot of activities. For us, we are really focusing on to make sure that we keep our price position in the market, and we'll continue to drive that. I think, you know, you're mentioning some actors, I'm not sure they have one price. I think they have many prices out there, if I'm understood right. So, you know, for us, it's really that we are driving our agenda. We are making sure that we keep our work on price position. With that said, it is, and I think we said it the full year, it's a very competitive market.
There's a lot of, you know, PR and activities and campaigns out there, and we want to make sure that we continue our steadily positioning to make sure that what we offer to the consumers is something they can trust. And we see that on various surveys out in the market, how Willys come out very well in the surveys in terms of price, and their position.
So basically, your conclusion is that the gap has not really moved over the past year if you look at your data?
No, I'm not gonna comment in terms of specific. As I pointed out, that there are various players out there, there are various stores out there that is driving, you know, their position, et cetera. And I think that's what basically also relates to. But yes, there is a very competitive position out there.
Okay. But do you feel that competitiveness is more elevated than a year ago?
I think the competitiveness has increased, yeah.
Yeah. Okay. Okay, thank you, Klas.
Thanks.
There are no more questions at this time, so I hand the conference back to the speakers for any closing comments.
Well, thank you for listening, and thank you for all your questions, and, thanks for today, and I wish you a good day. Thank you.