Inter IKEA Group balance sheet

The majority of the Inter IKEA Group balance sheet positions as of 31 August 2024 have not changed significantly when compared to 31 August 2023. The largest impact resulted from the termination of treasury services and working capital funding provided by Interogo Holding AG. In May 2024, all accounts receivable and payable with Interogo Holding AG were settled which led to a significant inflow for Inter IKEA Group. Treasury services and working capital funding to all Inter IKEA Group companies is now managed inhouse.

The consolidated balance sheet shows an overview of Inter IKEA Group’s assets, equity and what is due to suppliers, partners and other organisations.

 

Consolidated balance sheet

Intangible fixed assets 

In general terms, fixed assets are business property intended for long-term use. Intangible fixed assets are assets that lack physical form, such as patents, trademarks, copyrights and other intellectual property.

Most Inter IKEA Group intangible fixed assets are trademark rights and other intellectual property rights. Inter IKEA Group purchased these rights in 2012. The purchase price of EUR 11.8 billion is spread over 45 years since a positive return is expected for a long period.

Tangible fixed assets

Tangible fixed assets are things like real estate and equipment that you can physically touch and feel. Inter IKEA Group tangible fixed assets are mainly factories and distribution centres.

Inter IKEA Group owns several offices and distribution centres, the IKEA Delft store, the IKEA Hotel, the IKEA Museum and around 35 factories. Most of the factories are in Europe. The majority produce IKEA furniture, while two manufacture components, such as screws and wooden dowels, used to assemble IKEA furniture.

Inventories and receivables

Inventories mostly consist of IKEA products located in, or in transit to, warehouses, distribution centres and IKEA stores. In recent years, global supply chains have experienced severe disruptions due to factors such as the Covid pandemic, port strikes, the Suez Canal blockage by a container ship and, more recently, the Red Sea crisis. These events cause container shortages and transport constraints which pose challenges to our ability to replenish inventory to the desired levels. As a result, we made additional efforts to secure better availability of products for our customers. This resulted in extraordinarily high inventory levels during FY22 and FY23. Following corrective measures and a strong focus on working capital management, we could reduce inventory levels throughout FY23 and FY24.

Receivables are money owed to the Inter IKEA Group by business partners. Most receivables relate to franchise fees and products sold and invoiced to IKEA franchisees.

Group equity, provisions and liabilities

Equity is the capital invested by shareholders of Inter IKEA Group, plus accumulated profits over time. Equity increased with EUR 1.5 billion during FY24, which improved our equity ratio from 77% in FY23 to 85% in FY24.

A total dividend of EUR 2 billion will be distributed to our shareholder Inter IKEA Foundation, of which EUR 1 billion was paid as an interim dividend during FY24. The dividend will be funded from the EUR 2.2 billion net profit achieved during the year.

Provisions are money set aside for pension commitments, deferred taxes and claims.

Liabilities are money owed to others. Non-current liabilities are long-term loans payable to third parties. Current liabilities are short-term loans, money due to suppliers and tax payables.

Note to reader: the included abbreviated financial statements are an abridged version of the consolidated financial statements of Inter IKEA Holding B.V. as included in the Annual Report for the financial year 2024. An unqualified auditor’s report dated 7 November 2024 was issued on these financial statements. Inter IKEA Holding B.V.’s consolidated financial statements, from which these abbreviated financial statements have been derived, have been prepared in accordance with Part 9 of Book 2 of the Dutch Civil Code.