Frequently asked questions

FAQ - Frequently Asked Questions

Send a question

Send your question by email to viestinta@kesko.fi.

Company

What is Kesko's line of business?

Kesko is a highly valued listed trading sector company. It manages retail store chains that are valued by customers, and efficiently produces services for retail store chains’ purchasing, logistics, network development and data management.

What are Kesko's lines of business?

Kesko’s business divisions are grocery trade, building and technical trade, and car trade.

In how many countries does Kesko operate?

Kesko currently operates in nine countries. Kesko carries on business in Finland, Sweden, Norway, Estonia, Latvia, Lithuania, Poland, Russia and Belarus.

What is the K-Group?

The K-Group consists of Kesko and K-retailers.

What is the K-Retailers' Association?

The K-Retailers' Association is a cooperation organisation that looks after the interests of the K-retailers. Its basic function is to develop and strengthen the K-retailer entrepreneurship and promote the interests of its members. All of the about 1,100 K-retailers are members of the K-Retailers' Association. Further information at www.k-kauppiasliitto.fi.

What is K-retailer entrepreneurship?

Kesko’s principal business model in the Finnish market is the chain business model, in which independent K-retailers carry on retail trade in chains managed by Kesko. K-retailers are independent chain entrepreneurs, whose good service, competencies and local knowledge are leveraged in chain operations. The K-retailer entrepreneur is responsible for the store’s customer satisfaction, personnel and business profitability.

What are Kesko’s values?

Customer and quality – in everything we do. Read more

What is Kesko’s strategy?

At the core of Kesko's strategy is profitable growth in three strategic sectors: the grocery trade, the building and technical trade and the car trade. Kesko differentiates itself from the competition with quality and customer orientation. Read more

How many stores does the K-Group have?

At the end of 2015, there were a total of 1,559 stores, of which 893 were grocery stores, 657 home improvement and speciality goods stores, and 9 car trade stores.

How many K-retailers are there?

At the end of 2016, there were 1,088 K-retailers in Finland, selling food, building and home improvement products, agricultural supplies, and speciality goods. The average age of K-retailers is 46 years; the youngest K-retailer is 23 and the oldest one is 93. Women account for around one fifth of K-retailers.

What is K-Plussa?

K-Plussa is the joint customer loyalty system of the K-Group. It is the most extensive and diverse customer loyalty system in Finland, providing K-Plussa customers with benefits from nearly 3,000 outlets and 40 chains.

Back to top

Investors

What are Kesko's net sales?

The Group's net sales  were 8,679 million in 2015. The K-Group's (i.e. Kesko's and the chain stores') retail and B2B sales (VAT 0%) were €10,818 million in 2015.

What is Kesko's operating profit?

In 2015, the operating profit excluding non-recurring items was €244.5 million.

On which stock exchange are Kesko shares listed?

Both Kesko shares, A and B, are listed on the NASDAQ OMX Helsinki exchange. Kesko first listed its ordinary shares (currently B shares) on the Helsinki Stock Exchange in 1960. Kesko A shares (formerly exclusive shares) have been listed on the Helsinki exchange since 1 June 1999. The shortname of the A share series is KESAV and that of the B share series is KESBV.

Kesko has two share series, A and B. What is the difference between them?

The only difference is in voting rights: one A share carries 10 votes and one B share carries 1 vote. Because they are traded independently of each other, they also have independent price formation and trading attractiveness. The B-share typically has a higher trading volume and is more liquid.

Can shares be transferred from one series to the other?

Transferring shares between series is not possible. Both share series are listed on the Helsinki exchange where they can be bought and sold.

How many shareholders does Kesko have?

Kesko has around 40,000 shareholders. More detailed information is available in the Largest shareholders section updated on a monthly basis.

What is the percentage of foreign shareholders?

Foreign ownership is around 26% of all shares and some 39% of B shares. More detailed information is available in the Largest shareholders section updated on a monthly basis.

Do members of the Kesko Board and the Corporate Management Board own Kesko shares or options?

Up-to-date information is available in the Permanent insiders section.

What is Kesko's dividend policy?

Kesko Corporation distributes at least 50% of its earnings per share excluding non-recurring items as dividends, taking however the company's financial position and operating strategy into account.

Why invest in Kesko?

Kesko has a strong position in the Finnish market and the other countries and it seeks growth in the Russian food market and the building and home improvement trade market. Kesko’s cash flow from operations and balance sheet are strong and its dividend payment capacity is good. Kesko is recognized for its responsibility work. Retailer entrepreneurship is a competitive advantage for the K-Group. Read more about Kesko as an investment.

What does a period of silence mean?

As of the beginning of 2016, Kesko will observe a 30-day period of silence before releasing the financial reports. Prior to 2016, Kesko observed a silent period of at least three weeks. At other times, the enquiries of analysts and investors are answered by phone or e-mail, or at the investor meetings arranged.

How to make a change of address in the shareholder register?

Shareholders should notify changes of address to the bank with which they have a book-entry securities account. If the account operator is Euroclear Finland Ltd (former Finnish Central Securities Depository), changes are reported in writing to Euroclear Finland Ltd, P.O.B. 1110, FI-00101 Helsinki, Finland, or electronically at www.euroclear.com/fi.html.

What to do with paper share certificates? What are they worth?

Paper share certificates were replaced by an electronic register in October 1993. Any paper share certificates not converted to online holdings were sold on behalf of their owners in 2001 and the proceeds were deposited at the State Provincial Office. From there, they could be claimed within 10 years’ time, but the time window has closed. Dividend rights have also expired. In other words, paper share certificates have collectable value only.

Back to top

Governance

Who runs Kesko?
The highest decision-making power in Kesko is exercised by the Company's shareholders at the Company's General Meeting. The Company's shareholders elect the Company's Board of Directors and Auditor at the General Meeting. Kesko Group is managed by the Board of Directors and the Managing Director, who is the President and CEO. The President and CEO is appointed by the Board of Directors. The Company uses a so-called one-tier governance model. Read more

When is Kesko's Annual General Meeting held?
The Annual General Meeting is held annually by the end of June, on a date determined by the company's Board, and the meeting deals with matters falling within the competence of the Annual General Meeting and possible other proposals to the General Meeting. Kesko's Annual General Meeting has usually been held in March-April. If needed, the company may also hold Extraordinary General Meetings. Read more

Who is Kesko’s Managing Director?

Kesko has a managing director who is the President and CEO. Kesko's President and CEO is Mikko Helander, M.Sc. (Tech.). He has been Kesko's President and CEO since 1 January 2015.  Read more

Who are the members of Kesko’s Board of Directors?

The Board of Directors elected by Kesko's Annual General meeting of 13 April 2015 has seven (7) members: Retailer Esa Kiiskinen (Ch.), eMBA Mikael Aro (Dep. Ch.), Retailer, Master of Science (Economics) Tomi Korpisaari, Master of Science (Economics) Matti Kyytsönen, Master of Science (Economics) Anu Nissinen, Retailer Toni Pokela, Master of Laws Kaarina Ståhlberg. In accordance with the Articles of Association, the term of each Board member will expire at the close of the 2018 Annual General Meeting.

Kaarina Ståhlberg and Tomi Korpisaari resigned from the Board of Directors as of 1 March 2016. The General Meeting held on 4 April 2016 elected retailer, trade technician Matti Naumanen and Managing Director, Master of Science in Economics Jannica Fagerholm to replace them until the close of the Annual General Meeting to be held in 2018. Read more

Back to top

Responsibility

Why is corporate responsibility important for Kesko?

For Kesko, responsible operation is a strategic choice and bearing its corporate responsibility is one of Kesko’s values. It creates possibilities to improve customer satisfaction and to increase healthy, profitable business.

As a multi-division company operating in nine countries, Kesko offers responsible product alternatives and service solutions to a great number of consumers in nearly all sectors of consumption. Kesko’s product and service selections provide choices with which Kesko and its customers together can reduce the adverse effects of consumption and promote sustainable development.

Is Kesko included in sustainability indices?

Kesko has established its position in comparative studies that measure responsibility.  Kesko is included in the most important sustainability indices, such as the FTSE4Good index. Kesko has been included in ‘The Global 100 Most Sustainable Corporations in the World’ list every year since the list was set up in 2005. Read more about Kesko in sustainability indices.

What is Kesko’s responsibility programme?

Kesko’s responsibility programme applies to all of Kesko’s divisions and contains both long-term and short-term objectives. Each division has prepared its own, division-specific objectives for the programme section. Read more about responsibility programme and its key objectives.

What are the results of Kesko’s responsibility operations?

Kesko's responsibility programme sets concrete targets for the areas of combating climate change, reducing wastage, transportation, responsible purchasing and employees' wellbeing. Read more about the objectives, actions and results of the programme.

How does Kesko take care of responsibility in its purchasing?

Kesko’s responsible purchasing is guided by Kesko’s purchasing principles. Various responsibility policies have been prepared to support purchasing. These include the palm oil policy, the fish and shellfish statement, the timber policy and the stand on sandblasting jeans. Kesko is a member in the European Business Social Compliance Initiative (BSCI). International assessment systems, BSCI auditing and SA8000 certification are used for supplier in high-risk countries (many Asian, Central American and African countries, for example)

Back to top

Personnel

What is Kesko's total personnel?

In 2015, the average number of Kesko personnel was around 19,000 converted into full-time employees.

What is the K-Group’s total personnel?

In all, the K-Group, i.e. Kesko and the K-retailers, employ around 45,000 people.

What proportion of Kesko’s personnel is working in Finland?

At the end of 2015, 46% of Kesko’s employees worked in Finland and 54% in the other operating countries.

What proportion of Kesko’s personnel is working in retailing?

Approximately three quarters of all employees work in retailing.

Back to top
To top