Earnings Release • Mar 4, 2010
Earnings Release
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Ad-hoc | 4 March 2010 15:42
United Labels AG: United Labels to target key account business as from 2010
United Labels AG / Preliminary Results
04.03.2010 15:42
Dissemination of an Ad hoc announcement according to § 15 WpHG, transmitted by
DGAP - a company of EquityStory AG.
The issuer is solely responsible for the content of this announcement.
Ad hoc announcement by United Labels AG dated 4 March 2010
ISIN: DE 0005489561, WKN: 548956, Ticker: ULC
Preliminary Annual Results 2009
United Labels to target key account business as from 2010
Münster, 4 March 2010 - Based on preliminary figures, United Labels AG
(ISIN: DE 0005489561), an enterprise specialising in comicware sold under
licence, recorded a decline in Group sales by 9% to EUR 40.3 million in the
2009 financial year (prev. year: EUR 44.2 million).
The United Labels Group was unable to escape the effects of sluggish
consumer demand throughout Europe over the course of the financial year
just ended. Retail partners operating within the key account and specialty
retail sectors were more tentative when it came to placing orders. In
response to weaker consumer demand, customers within both areas scaled back
their order volumes, in addition to extending their purchasing intervals.
Correspondingly, revenue generated from sales declined in Germany, Spain,
Italy, France and the United Kingdom. By contrast, the Belgian subsidiary
managed to lift revenue by 14%, buoyed by the successful expansion of its
key account business.
The consolidated result before taxes was EUR -4.4 million (prev. year: EUR
0.4 million). This figure was dominated by two exceptional non-cash items
totalling EUR 3.5 million.
At EUR 1.9 million, the single largest exceptional charge was attributable
to the full impairment of goodwill of the German parent company, which was
due to a decline in demand as a result of the economic climate.
The second exceptional item was related to the decision by the company to
focus on its profitable key account business in Germany, France and the
Benelux region and to discontinue its loss-making operations with smaller
specialty retailers in these countries. As a result of portfolio
streamlining associated with this decision, the company incurred
non-recurring restructuring expenses of EUR 1.6 million, which were also
non-cash in nature.
The remaining operational loss of EUR 0.9 million was attributable to a
lower contribution margin, which in turn was due to the contraction in
revenue combined with a slight increase in the cost of materials in
relation to sales.
In aggregate, staff costs and other expenses were down EUR 0.5 million year
on year at EUR 13.2 million.
The consolidated loss after the recognition of deferred taxes was EUR -3.9
million (prev. year: profit of EUR 0.8 million).
Order backlog at the end of the year was up by around 7%. It stood at EUR
9.6 million (prev. year: EUR 9.0 million) at the end of the reporting
period.
Order intake has developed encouragingly during the current 2010 financial
year, rising by more than 55% in the first weeks of the year to around EUR
9.0 million.
This is the result of measures initiated as early as mid-2009. The newly
developed textiles collections within the area of day- and nightwear,
swimwear and accessories produced a significant increase in orders from
existing customers, as well as attracting new key accounts in Germany and
abroad.
At the same time, business activities initiated in Eastern Europe,
particularly Poland, continued to grow.
At the beginning of the year, the remaining specialty retail business in
Southern Europe also proved buoyant, with order intake rising by more than
50%.
2009 saw the launch of a new airport shop in Düsseldorf, which was followed
by a new store in Hamburg in the first quarter of 2010. The first airport
megastore is to be opened in Malaga in the spring of 2010. Preparations are
currently underway for additional locations.
Against the backdrop of a volatile consumer climate, the company plans to
achieve revenue growth for the current 2010 financial year as a whole and
to return to the profitability levels seen in previous years.
The company will publish its audited annual financial statements on 30
March 2010.
For further information, please visit www.unitedlabels.com or contact the
following member of staff:
United Labels AG
- Corporate Communication -
Timo Koch
Gildenstr. 6, D - 48157 Münster
Tel.: +49 (0) 251-3221-406, Fax: +49 (0) 251-3221-960
Mobile: +49 (0) 170-5 62 88 65
[email protected]
04.03.2010 Ad hoc announcement, Financial News and Media Release distributed by DGAP.
Media archive at www.dgap-medientreff.de and www.dgap.de
Language: English
Company: United Labels AG
Gildenstr. 6
48157 Münster
Deutschland
Phone: +49 (0)25 132 21-0
Fax: +49 (0)25 132 21-999
E-mail: [email protected]
Internet: www.unitedlabels.com
ISIN: DE0005489561
WKN: 548956
Listed: Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr
in Berlin, München, Düsseldorf, Stuttgart, Hamburg
End of News DGAP News-Service
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