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Haypp Group’s CEO Gavin O’Dowd participated in DiTV live stream as quarterly report shows strong growth
2021-11-25 17:35
Today, the 25th of November, the quarterly report for Haypp Group was published. The Q3 report is the first report after Haypp Group became a listed company on the Nasdaq First North Growth Market in Stockholm on October 13, 2021. There was a great interest shown from analysts, media and investors around the report which showed a net sales increase of 28 per cent, with an organic sales growth of 18 per cent and over 50 per cent year-on-year growth in the nicotine pouch category, which constitutes one third of the volume in the third quarter.
As the quarterly report was published, Haypp Group’s CEO Gavin O’dowd was invited to participated in DiTV, which is the online streaming channel for Dagens Industri, the largest business newspaper in the Nordic region, to comment on the developments and what can be expected going forward.
“At this point in time, what is most fundamental is the growth, and that we are sustaining our growth levels and accelerating our growth levels in nicotine pouches. Organically our growth for the third quarters was over 50 per cent within nicotine pouches.”, says Gavin O’Dowd, CEO of Haypp Group, and continues regarding the category of nicotine pouches.
“This is the category which not only is the driver of key growth for us within Scandinavia, but it is also the category which is driving all of the growth across North American and across Europe where there is 35 million smokers in the US and another 45million smoker in the EU, all of whom are looking for healthier alternatives. So, for us this is very much a long-term game, and we are keen to always focus on sustainable growth and we realize that with scale the profits will continue to perform.” According to Gavin O’Dowd.
Questions were raised in regard to Haypp Group’s profit margins and the balance with growth ambitions where CEO Gavin O´Dowd elaborated on how the resources from the Scandinavian business were used to accelerate the growth in other markets;
“This is more a reflection of the international growth we have been experiencing.”, and adding regarding the foreseeable future up until 2025 that;
“Given the opportunity we see for the category at this point, we will be prioritizing growth over margin, and we expect the margin uplift in the later part of that period.”
The full online stream can be found here.