Frequently asked questions

What is Kesko's line of business?

Kesko is a Finnish trading sector pioneer. Our divisions and chains act in close cooperation with retailer entrepreneurs and other partners.

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 eight countries: in Finland, Sweden, Norway, Denmark, Estonia, Latvia, Lithuania and Poland.

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 more than 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 2023, there were a total of 1,802 stores, of which 1,208 were grocery stores, 483 building and technical trade stores, and 111 car trade stores.

How many K-retailers are there?

At the beginning of 2024, there were 1,063 K-retailers in Finland, selling groceries, building and technical trade products, and sport trade goods. The average age of K-retailers is 48 years; the youngest K-retailer is 23 and the oldest one is 86. Women account for around 25% 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.

What are Kesko's net sales?

The Group's net sales  were €11.8 billion in 2023. The K Group's (i.e. Kesko's and the chain stores') retail and B2B sales (VAT 0%) were around €15.9 billion in 2023.

What is Kesko's operating profit?

In 2023, comparable operating profit was €712 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 KESKOA and that of the B share series is KESKOB.

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. Transferring shares between series is not possible. 

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 more than 100,000 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, nominee registered, is around 35-40% of all shares. More detailed information is available in ownership structure updated on a monthly basis.

What is Kesko's dividend policy?

In the long-term, Kesko aims to distribute a steadily growing dividend of some 60-100% of its comparable earnings per share, taking into account the company's financial position and strategy. Kesko pays its dividends in four instalments, starting with the dividend paid for the year 2021.

Why invest in Kesko?

Kesko has a strong position in the Finnish market and the other countries. 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?

The release of financial results is preceded by a silent period, during which Kesko does not comment on Kesko Group’s financials or the outlook for Kesko Group or the markets, and does not hold investor meetings. The silent periods begin on 1 January, 1 April, 1 July and 1 October, but always last at least 21 days, ending once the relevant financial results are released. The dates for financial result releases and silent periods are stated in the investor calendar section of Kesko’s website. 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 the bank, the brokerage firm or other book-entry register in which they have a book-entry securities account of any change of address. 

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.

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 Jorma Rauhala, M.Sc. (Econ.). He has been Kesko's President and CEO since 1 February 2024.  Read more

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

The Annual General Meeting held on 26 March 2024 resolved to elect seven members to the Board of Directors. 

The composition of the Board of Directors is as follows as of 26 March 2024:

• Esa Kiiskinen (retailer, Business College Graduate), Chairman

• Peter Fagernäs (Master of Laws), Deputy Chairman

• Jannica Fagerholm (M.Sc. Econ.)

• Pauli Jaakola (retailer, EMBA)

• Piia Karhu (Doctor of Science, Economics and Business Administration)

• Jussi Perälä (retailer, Business College Graduate)

• Timo Ritakallio (Doctor of Science (Technology), Master´s degree in law (LL.M.), MBA)

 
The term of office for the Board members is one year, as determined in Kesko’s Articles of Association. Read more

Why is corporate responsibility important for Kesko?

Corporate responsibility is a strategic choice for K Group and it is integrated into our day-to-day activities. Key focus areas in our corporate responsibility work are transparency in sourcing, mitigating climate change and environmental care, and extensive value creation
throughout the society.

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 amfori Business Social Compliance Initiative (BSCI). International assessment systems, such as amfori BSCI auditing is used for supplier in high-risk countries (many Asian, Central American and African countries, for example)

What is Kesko's total personnel?

At the end of 2023, the number of Kesko personnel was 17,702.

What is the K-Group’s total personnel?

Kesko and K-retailers combined employ approximately 39,000 people and K Group employs some 45,000 people in total.

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

At the end of 2023, 12,384 of Kesko’s employees worked in Finland and 5,318 in the other operating countries.