DGAP-News

VanCamel AG: First nine months of FY 2014 operationally very successful

DGAP-News: VanCamel AG / Key word(s): Interim Report/9-month figures
VanCamel AG: First nine months of FY 2014 operationally very
successful

28.11.2014 / 10:13

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VanCamel AG: First nine months of FY 2014 operationally very successful

- Adjusted Group revenue grew by 8.5%

- EBT margin of 25.1%

- Operating cash flow improved to EUR 32.2 million

- Forecast confirmed

Hamburg, 28 November 2014 - VanCamel AG (Prime Standard, ISIN DE000A1RFMM9,
VC8) today publishes its financial figures for the first nine months of
2014 which were operationally very successful. After adjustment for higher
rebates, sales grew 8.5% in renminbi in the first nine months of 2014
compared with the same period of last year. The pre-tax margin remained
high at 25.1% and the operating cash flow was over EUR 30 million in the
reporting period.

"Revenue growth and margin trends were in line with our expectations and
the company's financial position remains very solid. Our positive
performance is still driven by steadily rising domestic consumption in
China and the increasing fashion-awareness of the country's inhabitants.
This was confirmed at this year's China Fashion Week from 25 October to 2
November: it is one of the fastest growing fashion weeks in the world",
commented Xiaming Ke, CEO of VanCamel AG.

Sales and earnings

In the first nine months of 2014, the VanCamel Group increased sales
revenues by 2.5% year-on-year to EUR 122.8 million (9M 2013: EUR 119.8
million). It should be noted that the increase in rebates for distributors
from 4.5% in 2013 to 7.5% in 2014 will reduce revenue growth by roughly the
same amount this year and the renminbi devalued versus the euro. After
adjustment for the depreciation of the operating currency (renminbi) versus
the euro and the increase in rebates, growth was 8.5%. Both product lines
contributed to the positive overall performance. Revenue from apparel
increased by 2.9% from EUR 83.7 million to EUR 86.1 million in the
reporting period and revenue from shoes rose 1.5% from EUR 36.2 million to
EUR 36.7 million.

The company's gross profit was EUR 38.3 million at the end of the first
nine months of 2014 (9M 2013: EUR 40.1 million), giving a gross profit
margin of 31.2% (9M 2013: 33.5%). The other costs increased considerably
year-on-year in the first nine months of 2014. While marketing expenses
rose to EUR 5.9 million, up from EUR 5.3 million in the first nine months
of 2013, administrative expenses increased from EUR 1.4 million in the