Suchen
Login
Anzeige:
Mi, 12. August 2020, 12:21 Uhr

PRESS RELEASE: Powerland AG: Sluggish economy continues to hamper sales development / Group EBIT up 16% to EUR 15.2 million


11.12.15 09:14
Dow Jones Newswires



PRESS RELEASE: Powerland AG: Sluggish economy continues to hamper sales development / Group EBIT up 16% to EUR 15.2 million





DGAP-News: Powerland AG / Key word(s): 9-month figures
Powerland AG: Sluggish economy continues to hamper sales development / Group EBIT up 16% to EUR 15.2 million

2015-12-11 / 09:14
The issuer is solely responsible for the content of this announcement.

Sluggish economy continues to hamper sales development / Group EBIT up 16% to EUR 15.2 million

Frankfurt/Main, 11 December 2015 - Against the background of a challenging market environment, Powerland AG generated
Group revenues of EUR 90.9 million in the first nine months of 2015. This corresponds to a decrease of 34% compared to
the last year's figure. In the three-month-period from Juli to September, sales amounted to EUR 30.3 million (-29%).
Both the Luxury as well as the Casual segment played a major part in contributing to this development: Revenues in the
Luxury segment were down 21% to EUR 72.4 million in the first nine months 2015, whereas in the Casual Segment, revenues
of EUR 18.5 million were generated (-60%).

In spite of this, Group EBIT increased significantly to EUR 15.2 million, a 16% rise as against the first nine months of
2014. The development mainly stems from the increase in gross profit in the Luxury segment, coupled with the decrease in
selling & distribution expenses and administrative and other expenses.

As a consequence, the EBIT margin improved from 9.6% to 16.7% in the first nine months 2015. With respect to the third
quarter, the margin even improved by 18.2 percentage points to 22.0%.

Net profit of Powerland Group came in at EUR 10.6 million, representing a 21% increase compared to 9M 2014. Based on 15
million shares, this figure is equivalent to earnings per share of EUR 0.71 (9M 2014: EUR 0.59).

Cash and cash equivalents went up from EUR 8.7 million at year-end 2014 to EUR 21.7 million as at 30 September 2015. The
increase is mainly due to higher net borrowings while cash generated from operations was at EUR 5.3 million.

Operation-wise, the Powerland Group is constantly enhancing its online and offline brand awareness. Despite the
achievements, Powerland faces substantial challenges: As the Chinese economy slows down and the competition in the
Luxury segment becomes increasingly intensive, Powerland has further downsized its distribution network and closed 26
under-performing stores so that a total of 129 stores remain as at 30 September 2015.

Consequently, Powerland maintains its conservative outlook for 2015. Group revenue is expected to decline substantially
due to weakening demand from home and abroad. Although Powerland will close down more stores and implement more
cost-effective marketing campaigns so as to reduce operating expenses, group EBIT will fall as well because of a sharp
top-line decline. Meanwhile, Powerland will continue to adopt a stringent working capital management to ensure a
healthier cash flow situation.

in EUR'000 Q3 2014 Q3 2015 Change (%) Q1-Q3 2014 Q1-Q3 2015 Change (%)
Revenue 42,656 30,320 -28.9 137,144 90,899 -33.7
Luxury 25,491 24,663 -3.2 91,199 72,440 -20.6
Casual 17,165 5,657 -67.0 45,945 18,459 -59.8
Luxury % 59.9 81.3 66.5 79.7
Casual % 40.1 18.7 33.5 20.3
Gross profit 13,454 14,232 5.8 46,461 38,963 -16.1
Luxury 10,747 12,574 17.0 38,923 34,668 -10.9
Casual 2,707 1,658 -38.8 7,539 4,295 -43.0
EBIT 1,623 6,675 311.3 13,047 15,160 16.2
Luxury 859 6,857 700.3 11,075 15,446 39.5
Casual 764 -200 -126.2 1,972 -286 -114.5
EBIT margin 3.8 22.0 9.6 16.7
Luxury 3.4 27.9 12.1 21.3
Casual 4.5 -3.5 4.3 -1.5
Net profit of the period 700 5,015 616.4 8,819 10,636 20.6
EPS 0.05 0.33 0.59 0.71

The full financial report for the first nine months of 2015 is now available at
http://www.powerland.ag/en/investor-relations/financial-reports

2015-12-11 Dissemination of a Corporate News, transmitted by DGAP - a service of EQS Group AG.
The issuer is solely responsible for the content of this announcement.

The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases.
Media archive at www.dgap-medientreff.de and www.dgap.de
Language: English
Company: Powerland AG
c/o GFD mbH, Fellnerstr. 7-9
60322 Frankfurt am Main
Germany
Phone: +49 69 - 66554-459
Fax: +49 69 - 66554-276
E-mail: ir@powerland.ag
Internet: www.powerland.ag
ISIN: DE000PLD5558
WKN: PLD555
Listed: Regulated Market in Frankfurt (Prime Standard); Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg,
Munich, Stuttgart

End of News DGAP News Service
422953 2015-12-11




(END) Dow Jones Newswires




December 11, 2015 03:14 ET (08:14 GMT)