Ikea Assembles Record-breaking Profits

Swedish furniture giant Ikea finished off the most recent fiscal year with record-setting profits, according to media reports.

The company hauled in $31.3 billion in revenues over the past year, up 8 percent from the previous year, enough to yield a pre-tax profit of 26.5 billion kronor the financial daily Dagens Industri (DI) reports.

“At Ikea, we’re really never totally satisfied. But this was significantly better than what we had expected and a really strong result considering the difficult economic conditions in many markets,” Ikea CEO Mikael Ohlsson told the newspaper.

Ikea, which is privately held, doesn’t generally release its financial results or other details about its economic situation. However, the company’s board recently decided to increase Ikea’s openness.

Ohlsson expects Ikea to increase its market share as it forges ahead with expansion in Russia and China, and eyes establishing stores in Serbia and Croatia.

In addition, Inter Ikea, which owns the Ikea concept and brand and is owned by the family of Ikea-founder Ingvar Kamprad, received 6.3 billion kronor out of Ikea’s operations during the last fiscal year, according to DI.

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