The prospects, strategy and the financial results of the FOLLI FOLLIE Group, were presented by the Management of the Group on the 20th of March, 2008 at the Association of Greek Institutional Investors.
Due to the country wide strike, the originally scheduled presentation at the Association of Greek Institutional Investors for Wednesday 19th March, had to be postponed to the 20th March.
At the same the Groups' subsidiaries HELLENIC DUTY FREE SHOPS S.A. and ELMEC SPORT S.A. were presented.
The new vision of the Group was introduced, which creates numerous possibilities and synergies throughout the companies of the Group. The newly introduced divisions of the Group were also presented, following the recent acquisition of ELMEC SPORT S.A.
The Group's worldwide presence spreads throughout 570 points of sales, 5.300 employees and pro forma sales exceeding euro 850 million.
The divisions of the Group and their respective strategies are summarized as follows:
a. Own brands, i.e. FOLLI FOLLIE and LINKS OF LONDON, with the aim to be established as world brands.
b. Retail, enhancement of the retail network by 10% per annum for the next 3 years.
c. Department Stores, ATTICA, FACTORY OUTLET in Pireaus and FACTORY OUTLET in the AIA with a total surface of 51,000 sq. m. and sales (to end customers) of euro 147.3 million. Further expansion of this division by opening 4 new department stores in Greece and Romania by 2010, with a total surface of 55,000 sq. m.
d. Travel retail, rebranding and a refurbishment program in key POS, introduction of a one-stop-shop concept (shopping, F&B, recreation area, fuel) in the border stores, implementation of new concepts in the existing product mix/store network.
e. Wholesale, enrichment of the Group's distribution brand portfolio with attractive distinguished brands and optimization of CONVERSE wholesale in Greece, Cyprus and S/E Europe.
Analyzing the financial results for 2007, FOLLI FOLLIE Group achieved a 45.8% increase in sales, reaching euro 706.2 million versus euro 484.4 million in 2006. Group EBITDA reached to euro 158 million from euro 121.2 million in 2006, improving by 30.3%, while net earnings after taxes and minority interest, increased by 11.7% reaching euro 72.8 million from euro 65.1 million in 2006.
HDFS management presented the financial results for 2007. Consolidated sales increased by 38% in 2007 reaching euro 414.1 million from euro 300 million in 2006. EBITDA increased to euro 69.8 million compared to euro 64.8 million for 2006. Net Earnings after taxes and minority interest, reached euro 33.5 million, mainly affected by the one off taxation of reserves according to Law 3220/2004 (investments amounting to circa euro 16 million and corresponding tax of euro 5.9 million).
ELMEC SPORT management continued with the presentation of its financial results for the year 2007. Sales increased by 16.7% reaching euro 211.5 million from euro 181.3 million in 2006. EBITDA improved by 41% reaching euro 24.5 million from euro 17.4 million in 2006. Net earnings after taxes and minorities improved by 203% reaching euro 14.2 million from euro 4.7 million in the respective period of 2006.