Etam H1 net sales up 0.5 percent

As compared to the first half of the fiscal 2011, the Etam Group announced an increase of 0.5 percent

in net sales to 592.7 million euros (741.05 million dollars) during the first half of 2012. Like-for-like and at constant exchange rates, sales were down 7.6 percent.

With favorable buying conditions, better inventory management and lower discounts, group’s gross margin improved to 58.5 percent compared with 56.8 percent in the first half of 2011.

With an improvement of 32.1 percent or 0.8 points of sales, the group generated an operating income of 18.8 million euros (23.51 million dollars) in the first half of 2012 compared with 14.3 million euros (17.90 million dollars) in the first half of 2011. In Europe, the operating income came to 12.8 million euros (16.02 million dollars) compared with a loss of 0.6 million euros (0.75 million dollars) during the comparable period in 2011. In China, where the group suffered a slowdown in growth and an increase in costs, particularly staff costs, the operating income came to 6.1 million euros (7.63 million dollars) in the first half of 2012 compared with 14.8 million euros (18.50 million dollars) for the comparable period last year.

Consolidated net income totaled 8.9 million euros (11.13 million dollars) compared with 4.3 million euros (5.38 million dollars) in the first half of 2011. The group ended the first half of fiscal 2012 with a cash inflow of 15.9 million euros (19.90 million dollars) in the first half of 2012 compared with a cash outflow of 19.8 million euros (24.76 million dollars) in the first half of 2011.

At 30 June 2012, net debt stood at 146.2 million euros (182.79 million dollars) compared with 203.1 euros million (254.16 million dollars) at 30 June 2011, a reduction of 56.9 million euros (71.20 million dollars).

With a network of 4,400 sales outlets in more than 40 countries and regions, the Etam Group is into women's fashion market (ready-to-wear, lingerie and accessories). It designs and retails fashion products through three complementary brands – Etam, 1.2.3 and Undiz.