Germany : Apparel marketer Tom Tailor reaffirms 2015 sales guidance

Home / Knowledge / News / Apparel/Garments / Apparel marketer Tom Tailor reaffirms 2015 sales guidance

Apparel marketer Tom Tailor reaffirms 2015 sales guidance

22
Sep '15

The management of German apparel marketer Tom Tailor Holdings reaffirmed its sales forecast and expects it range between €945 million and €955 million in 2015 as against €932 million in the previous year.

“The Company also expects recurring earnings before interest, taxes, depreciation and amortisation (EBITDA) in the range of €75 million to €80 million,” Tom Tailor said in a press release.

“This expected result leads to a recurring EBITDA margin, which is below the previous year's margin at 9.4 per cent,” the company informed.

“This development is in particular due to initial difficulties with the implementation of the new logistics warehouse causing partial delays in goods delivery in the third quarter,” Tom Tailor stated.

“In addition, market conditions were extraordinary poor in August, which led to the use of heavy promotions across the sector and negatively affected both retail segments, especially Bonita brand,” It added.

Against the backdrop of these market developments, the company said it will continue its course to accelerate verticalisation within the company, which began in April 2015.

The aim is to be able to capture and serve the customers wishes even faster and in this way, the company intends to strengthen its competitiveness and thus increase its sales productivity and profitability.

“We know that the textile market is difficult, however, we are confident that we will sustain our long-lasting market position and gain additional market share,” CEO Dieter Holzer said.

“This will be driven by our strategy to accelerate the verticalisation and strengthen our online presence and in parallel we will optimise and further streamline our cost structure,” he too added. (AR)

Fibre2fashion News Desk - India

More Apparel/Garments News - Germany...