DGAP-Adhoc

Gerry Weber International AG successfully increases profitability in FY 2013/14 and posts EBIT margin of 12.8%

Gerry Weber International AG / Key word(s): Preliminary Results

29.01.2015 07:24

Dissemination of an Ad hoc announcement according to § 15 WpHG, transmitted
by DGAP - a service of EQS Group AG.
The issuer is solely responsible for the content of this announcement.

---------------------------------------------------------------------------

Ad-hoc announcement pursuant to § 15 WpHG

GERRY WEBER International AG successfully increases profitability in FY
2013/14 and posts EBIT margin of 12.8%

- At EUR 852.1 million, sales revenues remain stable compared to previous
year in spite of challenging market conditions

- EBITDA margin climbs from 15.0% in previous year to 15.7% in financial
year 2013/14

- Consistent internationalisation and vertical integration of the
business model

(Halle/Westphalia, 29 January 2015) According to preliminary figures, GERRY
WEBER International AG generated sales revenues of EUR 852.1 million and
earnings before interest and taxes (EBIT) of EUR 108.9 million in the
financial year 2013/14 (1 November 2013 - 31 October 2014). As already
announced in November 2014, this means that the company did not quite reach
the targets it had set itself. At EUR 852.1 million, sales revenues
remained almost unchanged from the previous year's EUR 852.0 million. This
was primarily due to the lower-than-expected revenues of the Wholesale
segment as well as the challenging market conditions for the own retail
business especially during the fourth quarter of the financial year.

The Retail segment, which is the company's strategic growth driver,
reported an impressive 11.3% increase in sales revenues to EUR 404.9
million. This growth is attributable not only to the newly opened stores
but also to a 1.9% increase in domestic like-for-like sales. That means
that the GERRY WEBER Group showed a much better performance than the German
fashion market as a whole, which reported a decline in sales of approx. 3%
for the calendar year 2014 compared to the previous year.

Just like the previous year, 2014 was not a good year for the fashion
industry in Germany and Europe. Too much rain in the summer, mild
temperatures in the autumn and winter as well as difficult economic
conditions in some parts of Europe had an equally adverse impact on sales
as the uncertainty among consumers, which was additionally fuelled by the
geopolitical crises, e.g. in Russia. Against this background, the Wholesale
segment - unlike our own Retail stores - was unable to meet our sales