RNB RETAIL AND BRANDS: Interim Report 1 September 2014 - 31 May 2015

Regulatory News:

The Group´s performance 2014/2015

RNB RETAIL AND BRANDS’ positive trend of profit improvements is continuing. For the third quarter 2014/2015, RNB reports operating income of SEK -4 M, an improvement of SEK 11 M (excluding impairment losses) compared to the preceding year. The third quarter 2014/2015 was the company’s fifth consecutive quarter with better sales than the market. The sales increase during the quarter for the three concepts’ comparable stores amounted to between 5 and 10 percent and to 8.8 percent for the Group overall.

THIRD QUARTER, MARCH 1, 2015 – MAY 31, 2015 IN SUMMARY

· Sales in comparable stores increased during the quarter by 8.8 percent, compared to the market’s decrease of 2.8 percent (Swedish Retail and Wholesale Trade Research Institute (HUI)).

· Net sales amounted to SEK 485 M (442).

· Operating income totaled SEK -4 M (-166, including impairment of goodwill of 151).

· The loss before tax amounted to SEK -8 M (-169).

· The loss after tax amounted to SEK -8 M (-169), correspon- ding to SEK -0.25 (-4.99) per share.

· Cash flow from operating activities was SEK 40 M (-22). New stores were established in Karlstad and in Värmdö.

THE PERIOD, SEPTEMBER 1, 2014 – MAY 31, 2015 IN SUMMARY

· Net sales amounted to SEK 1,573 M (1,538, including divested operation, JC).

· Operating income totaled SEK 36 (-154, including divested operation, JC), corresponding to an operating margin of 2.3 percent (-10.0).

· Operating income for the latest 12-month period totaled SEK 40 M.

· Profit before tax amounted to SEK 36 M (-164, including divested operation, JC).

· Profit after tax amounted to SEK 36 M (-165), including divested operation, JC), corresponding to SEK 1.07 (-4.86) per share.

· Cash flow from operating activities was SEK 87 M (1).

· During the second quarter, RNB entered into an agreement on possible extension of the business financing (SEK 200 M) from the company’s main owner, Konsumentföreningen Stockholm. The agreement implies a possibility to extend the financing by one year, from 2016 to 2017.

RNB RETAIL AND BRANDS owns, operates and develops fashion, clothing, accessories, jewelry and cosmetics stores that focus on providing excellent service and a world-class shopping experience. Sales are mainly conducted in Scandinavia through the store concepts Brothers and Polarn O. Pyret, as well as through shops in the department stores NK in Stockholm and Gothenburg. RNB RETAIL AND BRANDS has operations in 11 countries. RNB RETAIL AND BRANDS has been listed on the Nasdaq Stockholm Exchange since 2001.

The information is such that RNB Retail and Brands AB (publ) is required to disclose in accordance with the Swedish Financial Instruments Trading Act and/or the Swedish Securities Market Act. The information was submitted for publishing at 07:30 a.m. on June 23, 2015.

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