New Risk • May 13
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Finnish stocks, typically moving 7.1% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Major Risk Interest payments are not well covered by earnings (1.8x net interest cover). Minor Risks Share price has been volatile over the past 3 months (7.1% average weekly change). Market cap is less than US$100m (€48.2m market cap, or US$56.5m). Reported Earnings • Apr 13
Full year 2025 earnings: EPS misses analyst expectations Full year 2025 results: €0.11 loss per share (further deteriorated from €0.067 loss in FY 2024). Revenue: €227.5m (up 2.9% from FY 2024). Net loss: €4.20m (loss widened 62% from FY 2024). Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 35%. Revenue is forecast to grow 2.5% p.a. on average during the next 3 years, compared to a 6.5% growth forecast for the Leisure industry in Europe. Over the last 3 years on average, earnings per share has fallen by 19% per year but the company’s share price has fallen by 38% per year, which means it is performing significantly worse than earnings. Reported Earnings • Mar 12
Full year 2025 earnings: Revenues in line with analyst expectations Full year 2025 results: Revenue: €227.8m (up 3.0% from FY 2024). Net loss: €200.0k (loss narrowed 92% from FY 2024). Revenue was in line with analyst estimates. Revenue is forecast to grow 2.3% p.a. on average during the next 3 years, compared to a 6.7% growth forecast for the Leisure industry in Europe. New Risk • Feb 09
New minor risk - Financial data availability The company's latest financial reports are more than 6 months old. Last reported fiscal period ended June 2025. This is considered a minor risk. If the company has not reported its earnings on time, it may have been delayed due to audit problems or it may be finding it difficult to reconcile its accounts. Currently, the following risks have been identified for the company: Minor Risks Latest financial reports are more than 6 months old (reported June 2025 fiscal period end). Market cap is less than US$100m (€46.8m market cap, or US$55.4m). Announcement • Dec 18
RapalaVMC Announces Executive Changes for Rapala VMC USA, Effective January 1, 2026 RapalaVMC's Rapala VMC USA announced that Travis Tuma, currently Vice President of Sales and a member of the USA Senior Leadership Team, will succeed Marcus Twidale as President of Rapala VMC USA, effective January 1, 2026. Tuma joined Rapala VMC in 2006 as Sales Manager, bringing more than a decade of experience from fishing retail. Since then, he has advanced through the organization, becoming Vice President of Sales in 2022. Under his leadership, Rapala VMC achieved its highest three-year sales volumes. Travis will continue to build upon this historic progress as part of the Senior Leadership Team. After four years of leadership, Twidale will return to Europe in his new role as Vice President, Rapala Brand and Group Strategic Brand Management, effective January 1, 2026. In Twidale’s new role, he will focus on accelerating the implementation of Rapala’s brand-focused growth strategy, which was initiated in early 2025. Twidale will coordinate all Rapala-branded initiatives. This initiative will focus on investment, consumer trust, and long-term brand appreciation to ensure sustainable success. Announcement • Oct 16
Rapala VMC Corporation Announces Executive Changes Rapala VMC Corporation announced Travis Tuma has been appointed as a member of the Global Management Team effective immediately (October 15, 2025). Tuma joined Rapala VMC USA with strong industry experience in 2006 as Sales Manager. He became member of the US Senior Leadership Team in 2022 as Vice President of Sales. He will take on the role of Rapala VMC USA President effective January 1st, 2026, as current President Marcus Twidale returns to Europe to take on a new role as head of Rapala Brand and Group Strategic Brand Management. Tuma will continue to lead U.S. sales as part of the Rapala VMC USA Senior Leadership Team. Announcement • Oct 14
Rapala VMC Corporation, Annual General Meeting, Apr 29, 2026 Rapala VMC Corporation, Annual General Meeting, Apr 29, 2026. Reported Earnings • Jul 27
First half 2025 earnings: Revenues exceed analysts expectations while EPS lags behind First half 2025 results: EPS: €0.018 (down from €0.072 in 1H 2024). Revenue: €125.5m (up 4.1% from 1H 2024). Net income: €700.0k (down 75% from 1H 2024). Profit margin: 0.6% (down from 2.3% in 1H 2024). Revenue exceeded analyst estimates by 3.7%. Earnings per share (EPS) missed analyst estimates by 33%. Revenue is forecast to grow 2.3% p.a. on average during the next 3 years, compared to a 6.5% growth forecast for the Leisure industry in Europe. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 34 percentage points per year, which is a significant difference in performance. Major Estimate Revision • Jun 17
Consensus EPS estimates have been downgraded. The consensus outlook for earnings per share (EPS) in fiscal year 2025 has deteriorated. 2025 revenue forecast decreased from €227.2m to €219.2m. Now expected to report a loss of €0.05 per share instead of €0.01 per share profit previously forecast. Leisure industry in Finland expected to see average net income growth of 25% next year. Consensus price target down from €1.70 to €1.30. Share price was steady at €1.24 over the past week. New Risk • Apr 13
New major risk - Revenue size The company makes less than US$1m in revenue. This is considered a major risk. Companies with a small amount of revenue are most likely businesses that have not yet released a product to market or are simply a very small company without a wide reach. Either way, risk is elevated with these companies because there is a chance the product may not come to fruition or the company's addressable market or demand may not be as large as expected. In addition, if the company's size is the main factor, it is less likely to have many investors and analysts following it and scrutinizing its performance and outlook. Currently, the following risks have been identified for the company: Major Risk Revenue is less than US$1m. Minor Risk Market cap is less than US$100m (€55.0m market cap, or US$62.4m). Price Target Changed • Mar 12
Price target decreased by 37% to €1.70 Down from €2.70, the current price target is provided by 1 analyst. New target price is 8.3% above last closing price of €1.57. Stock is down 46% over the past year. The company is forecast to post earnings per share of €0.01 next year compared to a net loss per share of €0.067 last year. Announcement • Dec 12
Rapala VMC Corporation, Annual General Meeting, May 08, 2025 Rapala VMC Corporation, Annual General Meeting, May 08, 2025. New Risk • Oct 14
New minor risk - Market cap size The company's market capitalization is less than US$100m. Market cap: €91.4m (US$99.6m) This is considered a minor risk. Companies with a small market capitalization are most likely businesses that have not yet released a product to market or are simply a very small company without a wide reach. Either way, risk is elevated with these companies because there is a chance the product may not come to fruition or the company's addressable market or demand may not be as large as expected. In addition, if the company's size is the main factor, it is less likely to have many investors and analysts following it and scrutinizing its performance and outlook. Currently, the following risks have been identified for the company: Major Risk Earnings have declined by 20% per year over the past 5 years. Minor Risk Market cap is less than US$100m (€91.4m market cap, or US$99.6m). New Risk • Jul 27
New major risk - Revenue and earnings growth Earnings have declined by 20% per year over the past 5 years. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are declining over an extended period, then in most cases the share price will decline over time unless the company can turn around its fortunes. A trend of falling earnings can be very difficult to turn around. If the company is well already established it may also be a sign the company has matured and is in decline. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. This is currently the only risk that has been identified for the company. Reported Earnings • Jul 26
First half 2024 earnings: EPS and revenues miss analyst expectations First half 2024 results: EPS: €0.072 (up from €0.028 loss in 1H 2023). Revenue: €120.5m (up 2.2% from 1H 2023). Net income: €2.80m (up €3.90m from 1H 2023). Profit margin: 2.3% (up from net loss in 1H 2023). Revenue missed analyst estimates by 6.6%. Earnings per share (EPS) also missed analyst estimates by 42%. Revenue is forecast to grow 4.8% p.a. on average during the next 3 years, compared to a 8.6% growth forecast for the Leisure industry in Europe. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 76 percentage points per year, which is a significant difference in performance. Announcement • Jun 15
Rapala VMC Corporation Announces Executive Changes Rapala VMC continues its strategic plan introduced this year. The Group is working continuously to become more agile on all operational levels, fulfilling the promise of being the best partner in the business. This approach is best enhanced by bringing decision making closer to the local markets and defining clear country and regional accountabilities. Following the transition in movement, Executive Vice Presidents Päivi Ohvo, Enrico Ravenni and Joni Tuominen have decided to pursue new career opportunities outside the Rapala VMC Group. All three are highly motivated to assist in transferring their current duties to the other members of the Group during the transition period. This process will start immediately, and the Group is confident the change of duties will be performed in a timely and business-first manner. Ohvo, Ravenni and Tuominen will leave the Global Management Team (“GMT”) on June 14, 2024. Executive Vice President David Neill will also step down from the GMT and return to his former position of President of Rapala Canada. Neill will be reporting to Marcus Twidale, President of Rapala USA. The Group will not look for replacement for exiting GMT members and the GMT member count will reduce the number of GMT members from eleven to seven. Responsibilities of the exiting GMT members are distributed between the remaining seven GMT members or reorganized otherwise. Chief Operating Officer Jean-Philippe Nicolle will strongly focus on European performance improvement initiatives in addition to his global duties. Nicolle will report to Deputy CEO Cyrille Viellard and will continue as a member of the GMT. Announcement • Apr 19
Rapala VMC Corporation Announces Board Appointments Rapala VMC Corporation that at its AGM held on April 18, 2023, announced that Johan Berg were elected as new members. In its organising meeting, the Board elected Emmanuel Viellard as Chairman of the Board. Announcement • Mar 21
Rapala VMC Corporation Announces Board Changes Rapala VMC Corporation announced that Louis d’Alançon and Jorma Kasslin have notified that they are not available for re-election as members of the Board of Directors. Reported Earnings • Mar 07
Full year 2023 earnings: EPS and revenues miss analyst expectations Full year 2023 results: €0.19 loss per share (down from €0.095 profit in FY 2022). Revenue: €222.6m (down 19% from FY 2022). Net loss: €6.90m (down 287% from profit in FY 2022). Revenue missed analyst estimates by 4.7%. Earnings per share (EPS) also missed analyst estimates by 46%. Revenue is forecast to grow 6.7% p.a. on average during the next 3 years, compared to a 7.7% growth forecast for the Leisure industry in Europe. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 55 percentage points per year, which is a significant difference in performance. Buy Or Sell Opportunity • Mar 06
Now 24% undervalued after recent price drop Over the last 90 days, the stock has fallen 1.1% to €2.60. The fair value is estimated to be €3.41, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has been flat over the last 3 years. Meanwhile, the company became loss making. Revenue is forecast to decline by 0.6% in a year. Earnings are forecast to grow by 93% in the next year. New Risk • Feb 05
New minor risk - Financial data availability The company's latest financial reports are more than 6 months old. Last reported fiscal period ended June 2023. This is considered a minor risk. If the company has not reported its earnings on time, it may have been delayed due to audit problems or it may be finding it difficult to reconcile its accounts. Currently, the following risks have been identified for the company: Major Risk Interest payments are not well covered by earnings (1.7x net interest cover). Minor Risks Latest financial reports are more than 6 months old (reported June 2023 fiscal period end). Share price has been volatile over the past 3 months (5.6% average weekly change). Announcement • Dec 22
Rapala VMC Corporation (HLSE:RAP1V) acquired remaining 40% stake in DQC International Corp from James Coble. Rapala VMC Corporation (HLSE:RAP1V) acquired remaining 40% stake in DQC International Corp from James Coble on December 21, 2023. The acquisition offers Rapala VMC the opportunity to consolidate 13 Fishing into Rapala USA and continue to strengthen the company’s market position within the U.S. market. The brand and its products will be driven by Rapala USA’s proven marketing and 13 Fishing’s product development team.
Rapala VMC Corporation (HLSE:RAP1V) completed the acquisition of remaining 40% stake in DQC International Corp from James Coble on December 21, 2023. New Risk • Dec 01
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Finnish stocks, typically moving 6.1% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Major Risk Interest payments are not well covered by earnings (1.7x net interest cover). Minor Risk Share price has been volatile over the past 3 months (6.1% average weekly change). Buying Opportunity • Aug 14
Now 20% undervalued after recent price drop Over the last 90 days, the stock is down 19%. The fair value is estimated to be €4.25, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has been flat over the last 3 years. Meanwhile, the company became loss making. Reported Earnings • Jul 21
First half 2023 earnings: EPS and revenues miss analyst expectations First half 2023 results: €0.028 loss per share (down from €0.22 profit in 1H 2022). Revenue: €117.9m (down 21% from 1H 2022). Net loss: €1.10m (down 113% from profit in 1H 2022). Revenue missed analyst estimates by 13%. Earnings per share (EPS) were also behind analyst expectations. Over the last 3 years on average, earnings per share has fallen by 6% per year but the company’s share price has increased by 7% per year, which means it is well ahead of earnings. Announcement • Jul 15
Rapala VMC Corporation (HLSE:RAP1V) agreed to acquire 11% stake in DQC International Corp from James Coble. Rapala VMC Corporation (HLSE:RAP1V) agreed to acquire 11% stake in DQC International Corp from James Coble on July 13, 2023. James Coble will retain a 40% share of DQC International Corp. Under the agreement, Coble will continue as Chief Executive Officer of 13 Fishing. Valuation Update With 7 Day Price Move • Jul 03
Investor sentiment deteriorates as stock falls 16% After last week's 16% share price decline to €3.38, the stock trades at a forward P/E ratio of 20x. Average forward P/E is 15x in the Leisure industry in Europe. Total returns to shareholders of 17% over the past three years. Announcement • Jul 01
Rapala VMC Corporation Updates Earnings Outlook for the Full Year 2023 Rapala VMC Corporation updated earnings outlook for the full year 2023. Full year comparable operating profit (excluding mark-to-market valuations of operative currency derivatives and other items affecting comparability) for 2023 is expected to be significantly below the previous year. Profitability will be significantly below last year due to challenging market conditions caused by prolonged destocking at retail and wholesale levels. This is a result of supply chain bottlenecks and a shift in consumer spending, leading to decreased sales in major markets. Pre-sales for the upcoming winter season have also been below expectations. To mitigate the impact of lower turnover, the Group has already started implementing cost-savings. These include, among other measures, a restructuring of the Helsinki headquarters which was finalized in June. Previous Outlook for 2023 (issued on February 10, 2023): Group expects 2023 full year comparable operating profit (excluding mark-to-market valuations of operative currency derivatives and other items affecting comparability) to decrease from 2022. Buying Opportunity • May 12
Now 21% undervalued after recent price drop Over the last 90 days, the stock is down 2.5%. The fair value is estimated to be €5.41, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 3.0% over the last 3 years. Earnings per share has grown by 45%. For the next 3 years, revenue is forecast to grow by 4.5% per annum. Earnings is also forecast to grow by 37% per annum over the same time period. Board Change • Apr 02
Insufficient new directors No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 2 experienced directors. 4 highly experienced directors. Independent Director Vesa Luhtanen was the last director to join the board, commencing their role in 2020. The company’s insufficient board refreshment is considered a risk according to the Simply Wall St Risk Model. Upcoming Dividend • Mar 23
Upcoming dividend of €0.04 per share at 1.1% yield Eligible shareholders must have bought the stock before 30 March 2023. Payment date: 07 July 2023. Payout ratio is a comfortable 42% but the company is not cash flow positive. Trailing yield: 1.1%. Lower than top quartile of Finnish dividend payers (5.1%). Lower than average of industry peers (2.4%). Reported Earnings • Feb 12
Full year 2022 earnings released: EPS: €0.10 (vs €0.45 in FY 2021) Full year 2022 results: EPS: €0.10 (down from €0.45 in FY 2021). Revenue: €274.8m (down 6.7% from FY 2021). Net income: €3.70m (down 79% from FY 2021). Profit margin: 1.3% (down from 5.9% in FY 2021). The decrease in margin was driven by lower revenue. Revenue is forecast to grow 5.4% p.a. on average during the next 3 years, compared to a 8.6% growth forecast for the Leisure industry in Europe. Over the last 3 years on average, earnings per share has increased by 46% per year but the company’s share price has only increased by 14% per year, which means it is significantly lagging earnings growth. Announcement • Feb 04
Rapala VMC Corporation to Report Fiscal Year 2022 Results on Mar 09, 2023 Rapala VMC Corporation announced that they will report fiscal year 2022 results on Mar 09, 2023 Announcement • Feb 03
Rapala VMC Corporation, Annual General Meeting, Mar 29, 2023 Rapala VMC Corporation, Annual General Meeting, Mar 29, 2023, at 10:00 E. Europe Standard Time. Valuation Update With 7 Day Price Move • Dec 06
Investor sentiment improved over the past week After last week's 15% share price gain to €5.55, the stock trades at a forward P/E ratio of 16x. Average forward P/E is 15x in the Leisure industry in Europe. Total returns to shareholders of 103% over the past three years. Price Target Changed • Nov 16
Price target decreased to €6.50 Down from €7.00, the current price target is provided by 1 analyst. New target price is 27% above last closing price of €5.12. Stock is down 47% over the past year. The company is forecast to post earnings per share of €0.21 for next year compared to €0.45 last year. Valuation Update With 7 Day Price Move • Nov 08
Investor sentiment improved over the past week After last week's 16% share price gain to €4.90, the stock trades at a forward P/E ratio of 14x. Average forward P/E is 13x in the Leisure industry in Europe. Total returns to shareholders of 69% over the past three years. Announcement • Sep 01
Rapala VMC Corporation Provides Earnings Guidance for the Year 2022 Rapala VMC Corporation provided earnings guidance for the year 2022. The Group expects 2022 full year comparable operating profit (excluding mark-to-market valuations of operative currency derivatives and other items affecting comparability) to be below the previous year. Major Estimate Revision • Jul 21
Consensus forecasts updated The consensus outlook for 2022 has been updated. 2022 EPS estimate fell from €0.39 to €0.21 per share. Revenue forecast steady at €279.0m. Net income forecast to grow 36% next year vs 24% growth forecast for Leisure industry in Finland. Consensus price target down from €7.00 to €6.50. Share price was steady at €5.84 over the past week. Reported Earnings • Jul 15
First half 2022 earnings released First half 2022 results: Revenue: (down 100% from 1H 2021). Net income: (down €16.5m from profit in 1H 2021). Profit margin: (down from 10% in 1H 2021). The decrease in margin was driven by lower expenses. Over the next year, revenue is forecast to grow 1.8%, compared to a 13% growth forecast for the industry in Finland. Over the last 3 years on average, earnings per share has increased by 68% per year but the company’s share price has only increased by 22% per year, which means it is significantly lagging earnings growth. Announcement • Jul 15
Rapala VMC Corporation Reaffirms Group Earnings Guidance for 2022 Rapala VMC Corporation reaffirms group earnings guidance for 2022. Short-term outlook unchanged from April 28, 2022. The Group expects 2022 full year comparable operating profit to be below the previous year. Valuation Update With 7 Day Price Move • May 20
Investor sentiment improved over the past week After last week's 15% share price gain to €6.72, the stock trades at a forward P/E ratio of 17x. Average forward P/E is 16x in the Leisure industry in Europe. Total returns to shareholders of 131% over the past three years. Announcement • May 12
Rapala VMC Corporation Announces Retirment of Lars Ollberg as Chief Operating Officer Rapala VMC Corporation announced Lars Ollberg, chief operating officer is retiring at the end of May 2022 after a highly successful 44-year career at Rapala VMC. Price Target Changed • May 04
Price target decreased to €7.00 Down from €8.50, the current price target is provided by 1 analyst. New target price is 25% above last closing price of €5.60. Stock is down 37% over the past year. The company is forecast to post earnings per share of €0.39 for next year compared to €0.45 last year. Upcoming Dividend • Mar 17
Upcoming dividend of €0.15 per share Eligible shareholders must have bought the stock before 24 March 2022. Payment date: 01 April 2022. Payout ratio is a comfortable 34% but the company is not cash flow positive. Trailing yield: 2.0%. Lower than top quartile of Finnish dividend payers (4.3%). Lower than average of industry peers (2.4%). Reported Earnings • Mar 04
Full year 2021 earnings: EPS and revenues miss analyst expectations Full year 2021 results: EPS: €0.47 (up from €0.044 in FY 2020). Revenue: €295.9m (up 13% from FY 2020). Net income: €18.2m (up €16.5m from FY 2020). Profit margin: 6.2% (up from 0.6% in FY 2020). The increase in margin was driven by higher revenue. Revenue missed analyst estimates by 2.1%. Earnings per share (EPS) also missed analyst estimates by 27%. Over the next year, revenue is forecast to stay flat compared to a 15% growth forecast for the industry in Finland. Over the last 3 years on average, earnings per share has increased by 71% per year but the company’s share price has only increased by 26% per year, which means it is significantly lagging earnings growth. Announcement • Mar 01
Rapala VMC Corporation Proposes Dividend for the Financial Year Which Ended 31 December 2021, to Be Paid on 1 April 2022 Rapala VMC Corporation proposed to the Annual General Meeting that a dividend of EUR 0.15 per share be paid based on the balance sheet to be adopted for the financial year which ended 31 December 2021 and the remaining part of profit be retained and carried further in the Company’s unrestricted equity. The dividend shall be paid to shareholders who on the dividend record date 25 March 2022 are registered in the Company’s shareholders’ register held by Euroclear Finland Oy. The dividend shall be paid on 1 April 2022. Valuation Update With 7 Day Price Move • Feb 14
Investor sentiment deteriorated over the past week After last week's 19% share price decline to €6.66, the stock trades at a forward P/E ratio of 11x. Average forward P/E is 19x in the Leisure industry in Europe. Total returns to shareholders of 117% over the past three years. Announcement • Jan 28
Rapala VMC Corporation, Annual General Meeting, Mar 23, 2022 Rapala VMC Corporation, Annual General Meeting, Mar 23, 2022, at 11:00 E. Europe Standard Time. Announcement • Jan 06
Rapala VMC Corporation(HLSE:RAP1V) dropped from OMX Nordic Small Cap Index "Rapala VMC Corporation has been removed from OMX Nordic Small Cap Index Major Estimate Revision • Jul 22
Consensus EPS estimates increase to €0.60 The consensus outlook for earnings per share (EPS) in 2021 has improved. 2021 revenue forecast increased from €276.0m to €295.0m. EPS estimate increased from €0.42 to €0.60 per share. Net income forecast to grow 1.3% next year vs 29% growth forecast for Leisure industry in Finland. Consensus price target up from €9.00 to €12.00. Share price was steady at €10.60 over the past week. Reported Earnings • Jul 18
First half 2021 earnings released: EPS €0.43 (vs €0.12 loss in 1H 2020) The company reported a strong first half result with improved earnings, revenues and profit margins. First half 2021 results: Revenue: €159.6m (up 36% from 1H 2020). Net income: €16.5m (up €21.2m from 1H 2020). Profit margin: 10% (up from net loss in 1H 2020). The move to profitability was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 33% per year but the company’s share price has increased by 42% per year, which means it is tracking significantly ahead of earnings growth. Announcement • Jul 16
Rapala VMC Corporation Affirms Earnings Guidance for 2021 Rapala VMC Corporation affirms earnings guidance for 2021. The company provided that short-term outlook unchanged from April 20, 2021: The Group expects 2021 full year comparable operating profit (excluding mark-to-market valuations of operative currency derivatives and other items affecting comparability) to increase significantly from the previous year. Announcement • Jun 15
2022 Pan European Launch of Okuma Reels, Rods and Combos by Rapala VMC Corporation Supported by Massive Marketing Campaign Rapala VMC Corporation (Rapala VMC) announced on January 27, 2021 the acquisition of Okuma European and Russian trademarks and associated intangible assets. Rapala VMC is now pleased to announce that the largescale launch of Okuma reels, rods and combos in Europe and Russia will occur January 1, 2022. Svendsen Sport A/S (“Svendsen“) and Okuma Fishing Tackle Co Ltd. (“Okuma”) have recently agreed that Okuma’s long term exclusive distribution agreement with Svendsen covering Denmark, Norway, Sweden, Iceland, UK, Ireland, France, Germany, The Netherlands, Luxembourg, Austria, Belgium, Czech Republic, Hungary, Poland and Russia (“Svendsen Territory”) will terminate effective December 31, 2021 and that Svendsen’s rights to collect pre-orders terminates September 15, 2021. To facilitate a smooth transition, Rapala VMC has agreed to acquire Svendsen’s inventories of Okuma reels, rods, and combos at year end, when the exclusive distribution agreement will terminate. Okuma’s product range is highly suited to European and Russian fishing methods, and Okuma will become the brand in Rapala VMC’s European rod & reel product portfolio. Together with 13 Fishing and other Rapala VMC Group brands, the Group’s impressive product portfolio will form a winning platform in the region. Furthermore, Rapala VMC will invest heavily into marketing efforts to support the Okuma brand in its growth journey - Okuma’s customers and consumers will be at center stage. Through both Okuma’s and Rapala VMC’s strong network of marketers, ambassadors and brand advocates, the joy of fishing with Okuma will be brought to every local market in Europe and Russia. Rapala VMC will implement a renewed and consistent in-store presence at retail outlets that will elevate the modern Okuma brand to the highly respected level that it deserves; and a new digital marketing strategy will remold Okuma’s European social media and website landscape to deliver more value to existing Okuma fans, and to help new anglers develop their fishing skills. The consumers in Europe will see Team Okuma exploding onto the growing online fishing tournament scene, catching big fish and winning trophies with high performance Okuma tackle! Okuma will be everywhere. Announcement • Apr 23
Rapala VMC Corporation Revises Financial Guidance for Full Year 2021 Rapala VMC Corporation revised financial guidance for full year 2021. The Group expected 2021 full year comparable operating profit (excluding mark-to-market valuations of operative currency derivatives and other items affecting comparability) to increase significantly from the previous year. In Previous guidance the Group expected 2021 full year comparable operating profit (excluding mark-to-market valuations of operative currency derivatives and other items affecting comparability) to be in line or above the previous year. Is New 90 Day High Low • Mar 11
New 90-day high: €6.96 The company is up 72% from its price of €4.05 on 11 December 2020. The Finnish market is up 5.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Leisure industry, which is up 17% over the same period. Reported Earnings • Mar 06
Full year 2020 earnings released: EPS €0.044 (vs €0.099 in FY 2019) The company reported a poor full year result with weaker earnings, revenues and profit margins. Full year 2020 results: Revenue: €261.7m (down 5.1% from FY 2019). Net income: €1.70m (down 55% from FY 2019). Profit margin: 0.6% (down from 1.4% in FY 2019). Over the last 3 years on average, earnings per share has fallen by 62% per year but the company’s share price has increased by 21% per year, which means it is well ahead of earnings. Analyst Estimate Surprise Post Earnings • Mar 06
Revenue and earnings miss expectations Revenue missed analyst estimates by 1.4%. Earnings per share (EPS) also missed analyst estimates by 20%. Over the next year, revenue is forecast to stay flat compared to a 9.2% growth forecast for the Leisure industry in Finland. Announcement • Feb 11
Rapala VMC Corporation, Annual General Meeting, Mar 25, 2021 Rapala VMC Corporation, Annual General Meeting, Mar 25, 2021. Reported Earnings • Feb 10
Full year 2020 earnings released: EPS €0.04 (vs €0.099 in FY 2019) The company reported a poor full year result with weaker earnings, revenues and profit margins. Full year 2020 results: Revenue: €262.9m (down 4.6% from FY 2019). Net income: €2.50m (down 34% from FY 2019). Profit margin: 1.0% (down from 1.4% in FY 2019). The decrease in margin was driven by lower revenue. Over the last 3 years on average, earnings per share has fallen by 61% per year but the company’s share price has increased by 20% per year, which means it is well ahead of earnings. Analyst Estimate Surprise Post Earnings • Feb 10
Revenue and earnings miss expectations Revenue missed analyst estimates by 1.4%. Earnings per share (EPS) also missed analyst estimates by 20%. Over the next year, revenue is forecast to grow 1.2%, compared to a 10% growth forecast for the Leisure industry in Finland. Is New 90 Day High Low • Feb 04
New 90-day high: €5.32 The company is up 91% from its price of €2.78 on 05 November 2020. The Finnish market is up 15% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Leisure industry, which is up 14% over the same period. Is New 90 Day High Low • Jan 05
New 90-day high: €4.50 The company is up 65% from its price of €2.72 on 07 October 2020. The Finnish market is up 9.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Leisure industry, which is up 15% over the same period. Is New 90 Day High Low • Dec 16
New 90-day high: €4.10 The company is up 58% from its price of €2.60 on 16 September 2020. The Finnish market is up 6.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Leisure industry, which is up 10.0% over the same period.