Van de Velde, the producer of luxury lingerie, has realised consolidated turnover growth of 0.4% (from € 181.8m to € 182.4m) for the fiscal 2013.

Annual results

The development was driven by several factors, including:

• A stable wholesale turnover versus the same period last year: in the first half, there was a decline of 2%, in the second half there was an increase of 2.2%.
• A fall in the retail turnover of Intimacy of slightly over 12% in local currency.
• The retail turnover of Rigby & Peller in the UK grew by 0.6% in local currency and decreased by about 4% in EUR due a weaker British pound.
• An increase of 13.5% in the retail turnover at Rigby & Peller (the former Oreia) in Continental Europe, thanks to a like-for-like growth in Germany (6.5%) and a number of new stores in Cologne, Munich and Copenhagen.
• The retail turnover at Donker stores in the period April-December 2013 contributed € 3.5m.

REBITDA development

Consolidated REBITDA was € 48.7m, which is in line with the previous year’s figure. Performance improved significantly in the second half of the year. After six months, REBITDA was 9% down on the previous year.

This is primarily due to the turnover growth, as well as a higher gross margin in wholesale on an annual basis compared to the previous year, mainly due to a positive price impact.

The retail division’s total EBITDA contribution was lower than in 2012, mainly due to the weaker performance of Intimacy. The EBITDA contribution of all other retail chains, however, (Europe, United Kingdom, Far East) increased.

Financial result

The financial result in 2013 was € 2.2m lower than in 2012. This is due to a lower adjustment of outstanding balances between Van de Velde and the minority shareholders of Intimacy, a profit of € 0.9m in 2013 versus € 3.0m in 2012.

This adjustment relates to the purchase price for a 35.1% shareholding in Intimacy, for which an advance payment of US$ 13.5m was made.

Prospects for 2014

Wholesale looks promising in the first half of the year, the company reports. There is a slight growth in lingerie pre-orders, while the figures for PrimaDonna’s Swim collection are very strong.

In Retail the company is looking forward to expanding Rigby & Peller in the United Kingdom, Germany and Asia. In the Netherlands the Lincherie concept will be given a stronger presence on the market within the Lingerie Styling experience.

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