Etam Group net sales 6.2 percent ahead of last year

The Etam Group generated net sales of 1,296.6 million euros (1,459.5 million dollars) in 2015, up 6.2 percent against 2014, including a positive currency impact of 60.7 million euros (68.3 million dollars) relating mainly to the appreciation of the yuan against the euro. Like-for-like and at constant exchange rates, net sales increased by 1.6 percent.

The company said, in Europe, the sales growth of 2.9 percent on like for like and at constant exchange rates was achieved through the lingerie activities of Etam and Undiz despite difficult market conditions. In China, like-for-like sales and at constant exchange rates declined by 2.5 percent. Gross margin of 58.7 percent decreased by 0.3 percentage point year-on-year, mainly in Europe, due to higher markdowns in sales and the negative impact of a more expensive dollar on costs of goods.

Reports rise in annual EBITDA

In 2015, the Group generated an EBITDA of 95.4 million dollars (107.3 million dollars) vs 85.4 million euros (96.1 million dollars) in 2014 and an operating income of 52.4 million euros (58.9 million dollars) compared to 51.7 million euros (58.1 million dollars) in 2014. In Europe, the EBITDA of 85.5 million euros (96.2 million dollars) increased by 3.7 million euros (4.1 million dollars).

The operating income came to 59.8 million euros (67.3 million dollars) vs 58.3 million euros (65.6 million dollars) in 2014. In China, the EBITDA came to was up 6.3 million euros (7 million dollars). The operating income was a loss of 7.7 million euros (8.6 million dollars).

Consolidated net income came to 23.9 million euros (26.9 million dollars) compared with 23 million euros (25.8 million dollars) in 2014. At the next shareholders' meeting, the Group will propose to pay a dividend of 0.70 euro (0.79 dollar) per share for 2015, compared to a dividend of 0.50 euro (0.56 dollar) per share in 2014.

0.9 percent rise in Q1 net sales

The Etam Group generated net sales of 349.2 million euros (393.2 million dollars) in the first quarter of 2016, including a negative currency impact of 3.3 million euros (3.7 million dollars) relating mainly to the depreciation of the yuan against the euro. Compared to March 31, 2015, this represents an increase of 0.9 percent or 0.3 percent like-for-like and at constant exchange rates. In Europe, sales increased 5.6 percent or 1.3 percent like-for-like and at constant exchange rates compared to the first quarter of 2015. The Group brands all achieved good sales in January and February and disappointing sales performance in March, mainly due to a declining footfall in stores for all brands.

In China, sales were down 6.8 percent and like-for-like and at constant exchange rates, sales were down 2 percent compared to the first quarter of 2015. At March 31, 2016, the Etam Group had 4,064 sales points of which 950 in Europe, 270 operated by international franchises and 2,844 in China. As part of a consortium with other retail distributors, the Etam Group has been chosen by the Commercial Court of Nanterre for the take-over of 11 Bata stores in France.