Lingerie group Van de Velde confirms sales downturn in 2018
As anticipated, lingerie group Van de Velde (Marie Jo, Andres Sardà, PrimaDonna) recorded a negative performance in 2018. Sales for the Belgian group lost 1.8% last year compared to 2017, down from €209 million to €205.2 million, equivalent to a 0.8% decrease at constant exchange rates.
The wholesale channel is partly to blame for this downturn: it lost 1.6% (-0.6% at constant exchange rates), though sales were bolstered by positive results for Marie Jo Swim, the label’s new swimwear range introduced in Spring/Summer 2018.
Retail sales were instead down 0.3% (+2.5% at constant exchange rates). There were contrasting performances in terms of regions, with direct sales in Europe up 5.1%, and the USA losing 3% instead.
The group’s EBITDA lost 33.1%, down from €53.5 million in 2017 to €38.4 million in 2018 in like-for-like terms. This erosion in operating income had already begun in 2017, when EBITDA fell by 13.9%. According to Van de Velde, this is due to the costs sustained last year to deploy new e-tail sites for its various labels.
Marie Jo, Andres Sardà and PrimaDonna launched e-tail sites in September 2018, available in Belgium, Germany, Spain, France, the Netherlands, the UK and the USA.
Marleen Vaesen, in charge of Van de Velde since January 2019 after replacing Erwin Van Laethem, told FashionNetwork.com at the latest SIL trade show in Paris: “In order to continue growing, we need to find the way to maximise our business across all channels. We must optimise our market presence within an increasingly digital environment.”
For 2019, Van de Velde hopes “to strengthen the group’s foundations and ensure growth by concentrating on its partner retailers and brands,” and indicated it wishes “to put at our consumers’ disposal, through our solid brands and retail partners,” a range of lingerie products at once directional and high-quality.
The group’s labels are present in 5,000 stores worldwide, in over 59 directly owned stores, in the Rigby & Peller and Lingerie chains in Germany, the UK, the USA and the Netherlands.
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