Van de Velde posts marginal rise in FY16 turnover

On a comparable basis including comparable season deliveries, Van de Velde said its consolidated turnover grew slightly from 206.7 million euros (219 million dollars) to 206.8 million euros (219.4 million dollars). The company said turnover on comparable basis grew by 1.2 percent at constant exchange but reported consolidated turnover declined by 1.1 percent from 209 million euros (221 million dollars) to 206.6 million euros (219 million dollars). The company’s reported turnover was stable at constant exchange rates.

Wholesale turnover up 4.4 percent, retail drops 15.6 percent

Van de Velde said that this turnover development on comparable basis consists of growth of wholesale turnover of 4.4 percent, with continued positive performance of both lingerie and swimwear, rise in pre-orders but stagnant back-orders stagnated and 5 percent growth at constant exchange rates due to weakening of the British pound.

The company’s retail turnover declined by 15.6 percent, driven by growth of retail turnover in Europe on a comparable basis at constant exchange rates by 3.7 percent (after closures of loss-making stores: 1.7 percent and after exchange rates: decline of 5.1 percent and the decrease in retail turnover in the US on a comparable basis at constant exchange rates by 20.2 percent (after closures of loss-making stores: dropped 29.9 percent and after exchange rates: down 29.7 percent).

REBITDA increases 2.6 percent, group profit down

On comparable basis (including comparable season deliveries), REBITDA rose by 2.6 percent from 60.4million euros (64 million dollars) to 62 million euros (65 million dollars). Reported consolidated REBITDA was 61.9 million euros (65 million dollars), which was at the same level as the previous year.

The company said, this development (on comparable basis) is primarily due to solid turnover growth of wholesale resulting in a higher gross margin, increases in fixed costs, mainly related to sales-driving costs (such as representatives, customer programs and marketing, expenses made to strengthen ecommerce and ICT as well as in training and development, recruitment and management costs were also higher due to the changes to the management committee and contribution to profit of the retail business at the same level as the previous year, despite lower turnover.

The recurring Group profit declined 18.1 percent, from 41 million euros (43 million dollars) to 33.6 million euros (35 million dollars) and the recurring profit per share decreased from 3.07 euros (3.26 dollars) to 2.52 euros (2.67 dollars).

For the financial year 2016, the board of directors will propose to the General Meeting of Shareholders the same dividend as in the two previous financial years, i.e. a total dividend of 3.5000 euros (3.71 dollars) per share (net dividend of 2.4905 euros. Of this amount, 1.3500 euros (1.43 dollars) was paid out as an interim dividend in November 2016 (net dividend of 0.9855 euros per share). After approval by the General Meeting of Shareholders, the final dividend of 2.1500 euros (2.28 dollars) per share (net dividend of 1.5050 euros per share) will be paid out as from May 4, 2017.

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