TOD'S S.P.A. 
Milan - May 10th, 2012
TOD'S S.p.A. - Another quarter of growth: further increase in sales (Tod's: +13.4%) and operating profitThe Board of Directors approved Tod's Group Q1 2012 Interim Report
Group's sales: 263.2 million Euros, +8% compared to Q1 2011
EBITDA: 66.7 million Euros, +2.4% EBIT: 57.3 million Euros, +2.4%
Positive Net Financial Position: 110.3 million Euros
The Board of Directors of Tod's S.p.A., the Italian company
listed on the Milan Stock Exchange and holding of the luxury
goods group of the same name operating in luxury and quality
shoes, accessories and apparel with the Tod's, Hogan, Fay and
Roger Vivier brands, today approved the Group's interim
report for the first quarter of 2012 (January
1st - March 31st, 2012).
Consolidated sales were 263.2 million Euros in the first
quarter of 2012, up 8% from Q1 2011. EBITDA
reached 66.7 million Euros in Q1 2012, up 2.4% from Q1 2011
and with a 25.3% margin on sales; EBIT was
57.3 million Euros, up 2.4% from Q1 2011.
As already highlighted in our previous press releases,
analyzing quarterly figures is not fully meaningful, due to
the discrepancies in the flow of industrial revenues and
costs on a monthly basis; therefore, annualizing quarterly
figures would be misleading.
At constant exchange rates, meaning by using Q1 2011 average
exchange rates, sales would have been
261.1 million Euros, up 7.1% from Q1 2011; EBITDA and EBIT
would have been, respectively, 65.4 million
Euros and 56.1 million Euros1.
Diego Della Valle, Chairman and CEO of the Group, commented as follows: "Our Group is achieving strong results also in the current year. Asian and US markets continue to develop successfully, achieving excellent double- digit growth rates. As expected and anticipated, given current situation in our domestic market, we have been even more selective with our Italian distribution network, in order to preserve the positioning and exclusivity of our brands. Considering the positive results we are registering in our DOS network and the backlog for the next Fall/Winter
collections, I'm confident that our Group will post a significant growth in sales and profits also this year."
1 In this release we comment figures at reported rates, if not differently specified.
TOD'S S.P.A. - SHARE CAPITAL EURO 61,218,802 ENTIRELY PAID - REGISTERED OFFICE IN SANT'ELPIDIO A MARE (FM)-VIA FILIPPO DELLA VALLE N. 1
FISCAL CODE AND REGISTRATION NUMBER WITH THE FERMO 01113570442 - CORPORATE WEBSITE: www.todsgroup.com
Breakdown of consolidated sales by brand: double-digit growth for Tod's and Roger Viviermillion Euros | Q1 2012 | Q1 2011 | % change | FY 2011 |
Tod's | 137.5 | 121.2 | +13.4% | 487.5 |
Hogan | 89.6 | 91.8 | -2.4% | 280.9 |
Fay | 23.0 | 23.9 | -4.0% | 87.8 |
Roger Vivier | 12.9 | 6.6 | +98.1% | 36.5 |
Other | 0.2 | 0.2 | n.m. | 0.9 |
TOTAL | 263.2 | 243.7 | +8.0% | 893.6 |
In Q1 2012, the Tod's brand achieved a significant
double-digit sales growth, in all its product categories,
confirming the outstanding results of the latest months. Its
revenues totaled 137.5 million Euros in the period, up 13.4%
from Q1 2011 (+11.5% at constant exchange rates).
The Hogan brand totaled 89.6 million Euros of sales in Q1
2012, compared to 91.8 million Euros of the same period of
2011. The brand's performance has been the result of its
selective commercial strategy adopted in Italy, aiming at
preserving the brand exclusivity and at enhancing the quality
of the distribution; in line with Group's expectations, the
Hogan brand is achieving positive results abroad, mainly in
the Asian markets, where its international expansion is
currently focused.
Also for the Fay brand, domestic sales' performance reflects
the selective distribution strategy adopted in the latest
months, to achieve the same goals explained for Hogan. Fay is
posting positive results abroad, mainly in the European
markets, where in the medium term it will address its
international expansion. In Q1 2012, Fay revenues totaled 23
million Euros, compared to 23.9 million Euros of Q1 2011.
Finally, Roger Vivier totaled 12.9 million Euros of revenues
in Q1 2012, almost the double than in Q1 2011, confirming the
enormous success of this prestigious brand of luxury
accessories, more and more appreciated and loved by clients,
in Italy as well as in the international markets.
TOD'S S.P.A. - CAPITALE SOCIALE EURO 61.218.802 I.V. - SEDE SOCIALE: SANT'ELPIDIO A MARE (FM)-VIA FILIPPO DELLA VALLE N. 1
CODICE FISCALE E NUMERO DI ISCRIZIONE NEL REGISTRO DELLE IMPRESE DI FERMO 01113570442 - SITO CORPORATE: www.todsgroup.com
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Breakdown of consolidated sales by product: double-digit growth for leather goodsmillion Euros | Q1 2012 | Q1 2011 | % change | FY 2011 |
Shoes | 195.9 | 181.0 | +8.3% | 646.5 |
Leather goods and accessories | 39.9 | 34.6 | +15.3% | 144.9 |
Apparel | 27.2 | 28.0 | -3.0% | 101.6 |
Other | 0.2 | 0.1 | n.m. | 0.6 |
TOTAL | 263.2 | 243.7 | +8.0% | 893.6 |
Revenues from shoes totaled 195.9 million Euros in Q1 2012,
up 8.3% from Q1 2011; the growth is even more noteworthy, if
considering the challenging comparison basis: +16.2% in Q1
2011. At constant exchange rates, the increase would have
been 7.5%.
Solid double-digit sales growth for leather goods and
accessories, mainly driven by the excellent results of the
Tod's brand, in the entire collection of handbags and
accessories. Sales of this product category totaled
39.9 million Euros in Q1 2012, up 15.3% from Q1 2011 (+13.3%
at constant exchange rates).
In Q1 2012, revenues from apparel were 27.2 million Euros;
the small reduction compared to Q1 2011 broadly reflects the
performance of the Fay brand, as earlier commented.
million Euros | Q1 2012 | Q1 2011 | % change | FY 2011 |
Italy | 134.9 | 140.5 | -4.0% | 449.3 |
Europe (excl. Italy) | 52.4 | 49.9 | +5.0% | 182.0 |
North America | 14.8 | 12.2 | +21.2% | 62.4 |
Asia and Rest of World | 61.1 | 41.1 | +48.7% | 199.9 |
TOTAL | 263.2 | 243.7 | +8.0% | 893.6 |
In Q1 2012, domestic sales totaled 134.9 million Euros;
despite a small reduction compared to Q1 2011,
the Group consolidated the excellent results posted last
year, confirming the leadership of its brands.
TOD'S S.P.A. - CAPITALE SOCIALE EURO 61.218.802 I.V. - SEDE SOCIALE: SANT'ELPIDIO A MARE (FM)-VIA FILIPPO DELLA VALLE N. 1
CODICE FISCALE E NUMERO DI ISCRIZIONE NEL REGISTRO DELLE IMPRESE DI FERMO 01113570442 - SITO CORPORATE: www.todsgroup.com
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The Group achieved positive results in the rest of Europe,
where sales totaled 52.4 million Euros in Q1
2012 (+5% compared to Q1 2011).
The US market posted double-digit sales growth; revenues
totaled 14.8 million Euros in Q1 2012, up 21.2% from Q1 2012
(+18.8% at constant exchange rates). The Group registered
outstanding results both in the DOS network and in the
wholesale channel, the latter returning to post important
growth rates after the rationalization implemented last
year.
Finally, in the area "Asia and Rest of the World", sales
totaled 61.1 million Euros in Q1 2012, up 48.7% from Q1 2011
(+45.4% at constant exchange rates). The Group confirmed the
excellent results of the latest quarters in mainland China,
Hong Kong and Macao; significant growth also in Japan.
million Euros | Q1 2012 | Q1 2011 | % change | FY 2011 |
Third parties (Franchised stores + Independent retailers) | 149.9 | 148.4 | +1.0% | 419.3 |
DOS | 113.3 | 95.3 | +18.9% | 474.3 |
TOTAL | 263.2 | 243.7 | +8.0% | 893.6 |
As already underlined several times, the first quarter
turnover is mainly generated by the wholesale channel, due to
the different timing in accounting Group's revenues. In fact,
deliveries made to DOS are accounted as stock inventory in
the consolidated results as of the end of March and are
largely translated into revenues only in the second quarter,
when the products are sold by the stores to the final
customers.
In Q1 2012, revenues to third parties totalled 149.9 million
Euros, with growth of 1% from Q1 2011.
The DOS network posted very good results; revenues through
DOS globally amounted to 113.3 million
Euros in Q1 2012, up 18.9% from Q1 2011 (+16.7% at constant
exchange rates).
Also this year the Group is registering a strong organic
growth, despite the challenging comparison basis: the Same
Store Sales Growth (SSSG) rate, calculated as the worldwide
average of sales growth rates reported by DOS opened as of
January 1st, 2011 , was 7.8% for the first 19
weeks of 2012 (from January 1st
to May 6th, 2012).
TOD'S S.P.A. - CAPITALE SOCIALE EURO 61.218.802 I.V. - SEDE SOCIALE: SANT'ELPIDIO A MARE (FM)-VIA FILIPPO DELLA VALLE N. 1
CODICE FISCALE E NUMERO DI ISCRIZIONE NEL REGISTRO DELLE IMPRESE DI FERMO 01113570442 - SITO CORPORATE: www.todsgroup.com
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As of March 31st, 2012 the Group's distribution network was composed by 179 DOS and 68 franchised stores, compared to 158 DOS and 68 franchised stores as of the end of March 2011.
Comments to the operating and financial interim results
In the first quarter of 2012, the Group's EBITDA was 66.7
million Euros, up 2.4% from Q1 2011 and with a
25.3% margin on sales. As already reminded, the comparison
with Q1 2011 is not fully meaningful, due to the different
timing of cost flows. As an example, in Q1 2012 the incidence
on sales of communication costs is almost 200 bps higher than
in Q1 2011 due to the different timing of accounting the
relative costs; this gap will be progressively reduced during
the year.
The industrial margin continues to improve, as already shown
in the last quarters, driven by the more favorable product
and area mix of revenues.
The widening of the DOS network contributed to increase the
incidence on sales of rental costs (7.2% in Q1 2012, compared
to 6% in Q1 2011). The growth of the Group's headcount (3,643
employees as of March 31st, 2012, versus 3,297
as of March 31st, 2011) caused also the higher
incidence on revenues of the labour cost (13.3% of sales in
Q1 2012, compared to 12.8% of Q1 2011).
The Group's EBIT was 57.3 million Euros in Q1 2012, up 2.4%
from Q1 2011 and with a 21.8% margin on sales. The incidence
on sales of depreciation and amortisation was broadly stable:
3.5% in Q1 2012, compared to 3.7% in Q1 2011.
In the first quarter of 2012, the Group invested a total of
14.7 million Euros in tangible and intangible fixed assets
(compared to 11.1 million Euros in Q1 2011). The major part
of the investments were devoted to the widening and
refurbishment of the DOS network and of the show-rooms; the
remaining part was invested in the normal update of the
industrial, logistic and production structures.
As of March 31st, 2012, the Group's net
financial position was positive and equal to 110.3 million
Euros, increasing as compared to the balance as of the end of
March 2011.
The operating working capital totaled 273.9 million Euros as
of March 31st, 2012, compared to 252 million
Euros as of March 31st, 2011, with a similar
incidence on sales.
TOD'S S.P.A. - CAPITALE SOCIALE EURO 61.218.802 I.V. - SEDE SOCIALE: SANT'ELPIDIO A MARE (FM)-VIA FILIPPO DELLA VALLE N. 1
CODICE FISCALE E NUMERO DI ISCRIZIONE NEL REGISTRO DELLE IMPRESE DI FERMO 01113570442 - SITO CORPORATE: www.todsgroup.com
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Merger in Tod's Spa of the 100% controlled subsidiary Formapura S.r.l.
Today the Board of Directors also approved, pursuant to the
law and the Company's by-laws, the merger in Tod's
S.p.A. of the 100% controlled subsidiary Formapura S.r.l.;
the merger had also been approved by the Shareholders'
Meeting of the merged company, Formapura S.r.l., on May
3rd, 2012.
The merger deed will be stipulated after the expiration of
the period prescribed by Article 2503 of the
Italian Civil Code and will be published in accordance with
the terms and conditions of law.
The documentation relating to the merger - which will not
have any effect on the shareholding of the Company - is made
available to the public at Borsa Italiana S.p.A., at the
registered office and on the website of the Company at
www.todsgroup.com; the minutes of the merger resolutions will
be made available to the public in accordance with the terms
and conditions of the applicable laws and regulations.
The manager responsible for preparing the company's financial reports, Mr. Rodolfo Ubaldi, declares, pursuant to paragraph 2 of Article 154-bis of the Consolidated Law on Finance, that the accounting information contained in this press release corresponds to the document results, books and accounting records.
Pursuant to article 154 ter, paragraph 5, of Legislative Decree n. 58/98 (the "Unified Financial Act") the interim management statement as at March 31 st 2012, approved by the Board of Directors today, is available to Shareholders and the public at the registered office of the Company and at Borsa Italiana S.p.A. The document will also be published under the Section "Financial Reports" on the website of the Company www.todsgroup.com .
Please note that the interim management statement as at March, 31st 2012, drafted pursuant to article 154 ter, paragraph 5, is not subject to audit.
Should you need explanations, please contact: Investor Relations Office - tel. +39 02 77 22 51 e-mail: c.oglio@todsgroup.com
Corporate website:
www.todsgroup.comTOD'S S.P.A. - CAPITALE SOCIALE EURO 61.218.802 I.V. - SEDE SOCIALE: SANT'ELPIDIO A MARE (FM)-VIA FILIPPO DELLA VALLE N. 1
CODICE FISCALE E NUMERO DI ISCRIZIONE NEL REGISTRO DELLE IMPRESE DI FERMO 01113570442 - SITO CORPORATE: www.todsgroup.com
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ATTACHMENT OPERATING AND FINANCIAL INTERIM FIGURES OF THE TOD'S GROUPMillion Euros | Q1 2012 | Q1 2011 | FY 2011 |
Sales revenues | 263.2 | 243.7 | 893.6 |
EBITDA | 66.7 | 65.1 | 232.4 |
EBIT | 57.3 | 55.9 | 194.6 |
Million Euros | March 31st, 2012 | March 31st, 2011 | December 31st, 2011 |
Net operating working capital (1) | 273.9 | 252.0 | 226.8 |
Positive Net Financial Position | 110.3 | 88.8 | 110.7 |
Investments | 14.7 | 11.1 | 61.9 |
(1) Trade receivables + Inventories - Trade payables
TOD'S S.P.A. - CAPITALE SOCIALE EURO 61.218.802 I.V. - SEDE SOCIALE: SANT'ELPIDIO A MARE (FM)-VIA FILIPPO DELLA VALLE N. 1
CODICE FISCALE E NUMERO DI ISCRIZIONE NEL REGISTRO DELLE IMPRESE DI FERMO 01113570442 - SITO CORPORATE: www.todsgroup.com
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