Gerry Weber International AG / Key word(s): Preliminary Results
29.01.2015 07:24
Dissemination of an Ad hoc announcement according to § 15 WpHG, transmitted
by DGAP - a service of EQS Group AG.
The issuer is solely responsible for the content of this announcement.
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Ad-hoc announcement pursuant to § 15 WpHG
GERRY WEBER International AG successfully increases profitability in FY
2013/14 and posts EBIT margin of 12.8%
- At EUR 852.1 million, sales revenues remain stable compared to previous
year in spite of challenging market conditions
- EBITDA margin climbs from 15.0% in previous year to 15.7% in financial
year 2013/14
- Consistent internationalisation and vertical integration of the
business model
(Halle/Westphalia, 29 January 2015) According to preliminary figures, GERRY
WEBER International AG generated sales revenues of EUR 852.1 million and
earnings before interest and taxes (EBIT) of EUR 108.9 million in the
financial year 2013/14 (1 November 2013 - 31 October 2014). As already
announced in November 2014, this means that the company did not quite reach
the targets it had set itself. At EUR 852.1 million, sales revenues
remained almost unchanged from the previous year's EUR 852.0 million. This
was primarily due to the lower-than-expected revenues of the Wholesale
segment as well as the challenging market conditions for the own retail
business especially during the fourth quarter of the financial year.
The Retail segment, which is the company's strategic growth driver,
reported an impressive 11.3% increase in sales revenues to EUR 404.9
million. This growth is attributable not only to the newly opened stores
but also to a 1.9% increase in domestic like-for-like sales. That means
that the GERRY WEBER Group showed a much better performance than the German
fashion market as a whole, which reported a decline in sales of approx. 3%
for the calendar year 2014 compared to the previous year.
Just like the previous year, 2014 was not a good year for the fashion
industry in Germany and Europe. Too much rain in the summer, mild
temperatures in the autumn and winter as well as difficult economic
conditions in some parts of Europe had an equally adverse impact on sales
as the uncertainty among consumers, which was additionally fuelled by the
geopolitical crises, e.g. in Russia. Against this background, the Wholesale
segment - unlike our own Retail stores - was unable to meet our sales
expectations.
Although the sales performance was not entirely satisfactory, the GERRY
WEBER Group was able to improve its profitability as desired. In
particular, the gross margin improved notably from 53.7% in the previous
year to 57.4%. Earnings before interest, taxes, depreciation and
amortisation (EBITDA) rose by 5.3% from EUR 127.4 million to EUR 134.2
million, which corresponds to an increase of the EBITDA margin from 15.0%
to 15.7% Earnings before interest and taxes (EBIT) climbed 2.9% to EUR
108.9 million in spite of increased depreciation and amortisation (EUR 25.3
million). Accordingly, the EBIT margin rose from 12.4% to 12.8%. This
improved profitability is due not only to strict cost management but above
all to the higher revenue contribution made by the Retail segment, which
increased from 42.7% in the previous year 47.5% in the financial year
2013/14. This means that the aim to increase the Retail segment's share in
total sales revenues to approx. 50% was missed only by a narrow margin.
Just like the previous years, the past financial year 2013/14 was primarily
marked by the internationalisation of the business model and the expansion
of the company's own Retail operations. The takeover of 25 stores in
Norway, which now form part of the Retail segment, highlights the
successful implementation of our objective to expand our own sales space in
Scandinavia. The total number of company-managed Retail stores rose from
701 to 778 in the financial year 2013/14, which means that we reached our
target of a 10% increase in the number of company-managed outlets. Both the
acquisition of the Norwegian stores and the continuous expansion through
the opening of new Retail sales areas confirms the strategy of the GERRY
WEBER Group to expand its own Retail operations in selected European core
markets.
The final figures for the financial year 2013/14 will be presented by the
management on the Annual Results Press Conference on 26 February 2015 in
Dusseldorf. Moreover, we expect to present the guidance for the current
financial year 2014/15 (1 November 2014 - 31 October 2015) including the
HALLHUBER contribution on the Annual Results Press Conference. The
acquisition of the fashion company HALLHUBER is still subject to approval
by the cartel authorities in Germany and Austria.
Admitted to the Regulated Market of the Frankfurt Stock Exchange (Prime
Standard)
ISIN: DE0003304101
WKN: 330410
<pre>
GERRY WEBER International AG
</pre>
Investor Relations Contact
Claudia Kellert
Tel: +49 (0)5201 185 8422
Email: c.kellert@gerryweber.de
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Corporate Communications Contact
Catharina Berndt
Tel: +49 (0)5201 185 320
Email: c.berndt@gerryweber.com
</pre>
29.01.2015 The DGAP Distribution Services include Regulatory Announcements,
Financial/Corporate News and Press Releases.
Media archive at www.dgap-medientreff.de and www.dgap.de
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Language: English
Company: Gerry Weber International AG
NeulehenstraÃe 8
33790 Halle/Westfalen
Germany
Phone: +49 (0)5201 185-0
Fax: +49 (0)5201 5857
E-mail: c.kellert@gerryweber.de
Internet: www.gerryweber-ag.de
ISIN: DE0003304101
WKN: 330410
Indices: MDAX
Listed: Regulierter Markt in Düsseldorf, Frankfurt (Prime Standard);
Freiverkehr in Berlin, Stuttgart
End of Announcement DGAP News-Service
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DGAP-Adhoc: Gerry Weber International AG successfully increases profitability in FY 2013/14 and posts EBIT margin of 12.8%
| Source: EQS Group AG