Europris ASA
OSE:EPR
Europris ASA
Europris ASA, a Norwegian retail company, has established itself as a prominent player in the Nordic consumer market since its inception in 1992. With its headquarters nestled in Fredrikstad, Europris operates as a chain of discount stores spreading across Norway, making affordability its centerpiece. The company positions itself strategically with a concept focused on being a one-stop-shop for everyday essentials. By offering a diverse selection of products ranging from groceries to home and garden supplies, Europris caters to a wide spectrum of consumer needs. This breadth of product offerings, coupled with competitive pricing strategies, forms the backbone of Europris’s market appeal. Their approach is tailored to maximize efficiency and cost savings, which are critical in maintaining the low-price leadership that attracts their target clientele.
Europris makes money through a finely tuned retail operation that emphasizes volume sales and an efficient supply chain. Capitalizing on economies of scale, they negotiate favorable terms with suppliers, allowing them to keep prices low without sacrificing margins. The effectiveness of their logistics and distribution network also plays a vital role in sustaining inventory flow and minimizing overhead costs. A careful blend of localized marketing efforts and national advertising campaigns ensures that Europris remains visible and appealing to cost-conscious shoppers. Moreover, their expansion strategy which includes franchising, further secures their foothold in the retail sector, enabling steady revenue streams while broadening their market influence across Norway. In this way, the company has built a robust business model that hinges on delivering value through affordability and convenience.
Europris ASA, a Norwegian retail company, has established itself as a prominent player in the Nordic consumer market since its inception in 1992. With its headquarters nestled in Fredrikstad, Europris operates as a chain of discount stores spreading across Norway, making affordability its centerpiece. The company positions itself strategically with a concept focused on being a one-stop-shop for everyday essentials. By offering a diverse selection of products ranging from groceries to home and garden supplies, Europris caters to a wide spectrum of consumer needs. This breadth of product offerings, coupled with competitive pricing strategies, forms the backbone of Europris’s market appeal. Their approach is tailored to maximize efficiency and cost savings, which are critical in maintaining the low-price leadership that attracts their target clientele.
Europris makes money through a finely tuned retail operation that emphasizes volume sales and an efficient supply chain. Capitalizing on economies of scale, they negotiate favorable terms with suppliers, allowing them to keep prices low without sacrificing margins. The effectiveness of their logistics and distribution network also plays a vital role in sustaining inventory flow and minimizing overhead costs. A careful blend of localized marketing efforts and national advertising campaigns ensures that Europris remains visible and appealing to cost-conscious shoppers. Moreover, their expansion strategy which includes franchising, further secures their foothold in the retail sector, enabling steady revenue streams while broadening their market influence across Norway. In this way, the company has built a robust business model that hinges on delivering value through affordability and convenience.
Q4 Sales Growth: Group sales grew 5.3% in Q4, or 4.1% in constant currency, with Norway slightly soft and Sweden exceeding expectations.
Norway Strength: Norway delivered strong growth, taking market share and maintaining high margins, driven entirely by increased customer footfall.
Sweden Turnaround: Sweden posted positive EBIT in Q4 as turnaround efforts began to show results, but overall 2025 results remain below long-term ambitions.
Store Remodelings: Sweden’s store remodeling pilots increased sales 5–15% and gross margin by 2–4 points; 35–45 remodels planned for 2026 and 2027, with no positive EBIT impact expected in 2026.
Margins and Costs: Group gross margin improved, and OpEx to sales ratio dropped; Norway’s OpEx was up due to more stores and volume, but full-year OpEx ratio was stable.
Profitability: Group EBIT rose 8.6% in Q4 and 6.6% for the year, though net profit declined 2.8% for the year due to turnaround costs and finance items.
Dividend Raised: The board proposed a 7.1% increase in dividend per share to NOK 3.75, with a payout ratio of 75.4%.
Stable Outlook: 2026 outlook is positive for both markets, but Sweden’s profits expected to be similar to 2025 as investments continue.