CALIDA Holding AG

Operational excellence as new strategic focus – EBIT margin of 10% as target by 2026 – focus online business on Group brands – impairment at COSABELLA

CALIDA Holding AG / Key word(s): Strategic Company Decision CALIDA Holding AG: Operational excellence as new strategic focus – EBIT margin of 10% as target by 2026 – focus online business on Group brands – impairment at COSABELLA 12-Sep-2023 / 07:00 CET/CEST Release of an ad hoc announcement pursuant to Art. 53 LR The issuer is solely responsible for the content of this announcement. CALIDA GROUP press release

ad hoc announcement pursuant to article 53 LR

Sursee (Switzerland), 12 September 2023

 

 

Strategy review completed:

Operational excellence as new strategic focus – EBIT margin of 10% as target by 2026 – focus online business on Group brands – impairment at COSABELLA

• New strategic focus on operational excellence for Group brands
• EBIT margin of 10% remains target by 2026 and attractive dividend policy maintained with distribution of at least half of free cash flow generated
• Intensification of e-commerce for the Group brands CALIDA, AUBADE, LAFUMA MOBILIER and COSABELLA – termination of the multi-brand webshop onmyskin.com with processing costs of around CHF 3 million
• COSABELLA still significantly behind acquisition targets – reassessment of business plan as part of strategy review leads to impairments and further expenses of CHF 39-49 million

 

"After the growth strategy defined in 2021 failed to deliver the planned business development, the CALIDA GROUP will concentrate on optimizing the business with the existing profitable Group brands over the next three years. Focusing on the operational excellence of our brands, our attention will be on solid organic growth and an above-average EBIT margin to create added value for our customers, shareholders and employees. As part of the strategy review, the business plan of the US lingerie brand COSABELLA was reassessed and required significant impairments. The consistent focus of the online business on our own brands allows us to intensify the profitable e-commerce operations”, comments Felix Sulzberger, Executive Chairman of the Board of Directors of the CALIDA GROUP.