Home / Knowledge / News / Apparel/Garments / Van de Velde EBITDA declines to €28.5mn in H1 2018

Van de Velde EBITDA declines to €28.5mn in H1 2018

Sep '18
Courtesy: Van de Velde
Courtesy: Van de Velde
Van de Velde, one of the global leaders in lingerie, swimwear and sportswear, is continuing with the implementation of the strategic plan which has resulted in decline of EBITDA by 21.5 per cent to €28.5 million in the first half (H1) of 2018. Turnover declined by 2.3 per cent to €114.2 million, or a decline of 0.6 per cent at constant exchange rates.

During January-June 2018, the consolidated turnover at Van de Velde declined by 3.9 per cent from €115.3 million to €110.9 million compared with the year before.

“The fashion retail market was under pressure in our core markets globally in the first half of the year. The lower number of people in high streets and the change in shopping behaviour had a negative impact of up to more than 2 per cent on retail turnover. Within this context our brands have held up well, we experienced a successful launch of Marie Jo Swim and we saw growth in the new distribution channels. This confirms that the rollout of an omnichannel approach with a central role for speciality boutiques is very important. To develop the different aspects of that omnichannel approach, Van de Velde has set up working groups of speciality boutique owners. This is a unique approach,” said Erwin Van Laethem, CEO of Van de Velde.

The contribution of wholesale to EBITDA on a comparable basis decreased by €6.2 million in H1 2018. “The fall within wholesale is the consequence of lower turnover, combined with a lower margin and higher sales and marketing costs. The contribution to reported EBITDA fell by €7.2 million, because of more spring/summer 2018 deliveries at the end of last year, which resulted in strong delivery reliability,” the Brussels headquartered company said in a press release.

The retail contribution to reported EBITDA rose by €0.7 million. The rise in the profit contribution is the result of steady turnover, improved margins and the closure of loss-making stores.

“Van de Velde continues to invest in a scalable platform for future growth. These costs put pressure on profitability in the short term. The initiatives are being rolled out on schedule. Delivery reliability in the first half of 2018 was better than ever before. The ICT hardware was upgraded successfully. The development of the new ICT and e-commerce functionalities and the raising of process efficiency are ongoing,” said Bart Rabaey, CFO of Van de Velde.

In terms of prospects, Van de Velde expects a modest decrease in turnover on a comparable basis over the year as a whole. “This is expected to result in a very strong profit decline in comparison with historic results (based on comparable EBITDA) of Van de Velde in 2018, as a consequence of the expenditures with regard to the initiatives for future growth,” the company said. (RKS)

Fibre2Fashion News Desk – India

Must ReadView All

Pic: Clariant

Textiles | On 15th Jul 2020

PolyOne buys colour masterbatch businesses of Clariant

PolyOne Corporation, a global provider of specialised polymer...

Pic: Thiti Sukapan / Shutterstock.com

Apparel/Garments | On 15th Jul 2020

Japan's clothing imports down 6.2% in 2019-20

Japan’s imports of clothing and accessories decreased by 1.5 per cent ...

Pic: CGS

Retail | On 15th Jul 2020

US, UK buyers ready to pay more for sustainability: survey

The United Kingdom is home to more eco-friendly consumers, but both...

Interviews View All

Top executives, Machinery Company

Top executives
Machinery Company

We will promote latest technologies at ITMA Barcelona

Evelyne Cholet, UCMTF

Evelyne Cholet

‘France had a reputation of being big in new ideas, but poor in marketing...

Prabu Mohanram, Balavigna Weaving Mills Pvt Ltd

Prabu Mohanram
Balavigna Weaving Mills Pvt Ltd

The biggest challenge that the weaving industry faces is high price

Boban Charly,

Boban Charly

Bierrebi designs and manufactures automatic machines that cut fabric into...

Luca Formentini,

Luca Formentini

From the very beginning, Loris Bellini's aim was to produce dyeing...

Riddhi Jain,

Riddhi Jain

Conceived in Europe and curated in New Delhi, NeceSera is a...

Eamonn Tighe, Nature Works LLC

Eamonn Tighe
Nature Works LLC

Eamonn Tighe, Fibres and Nonwovens - Business Development Manager of...

Dave Rousse, INDA

Dave Rousse

INDA, the Association of the Nonwoven Fabrics Industry, serves hundreds of ...

Steve McCullough & Marco Weichert, Functional Fabric Fair & Design and Development GmbH Textile Consult respectively

Steve McCullough & Marco Weichert
Functional Fabric Fair & Design and Development GmbH Textile Consult respectively

Functional Fabric Fair is a trade-exclusive event showcasing the latest...

Vaanee Bhatia, Gritstones Clothing

Vaanee Bhatia
Gritstones Clothing

<div>Delhi-based Gritstones Clothing offers quality and exemplary style...

Adriano Goldschmied, AG Jeans

Adriano Goldschmied
AG Jeans

The hype around 'designer jeans' was created by him. And the new wave of...

Mike Hoffman, Gildan Activewear SRL

Mike Hoffman
Gildan Activewear SRL

Gildan Activewear, a manufacturer and marketer of branded clothing and...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


Letter To Editor

(Max. 8000 char.)

Search Companies


Leave your Comments

July 2020

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

Advanced Search