Capital Markets Day 2021: CALIDA GROUP expects a solid 2021 financial year and presents its 2026 strategy – attractive dividend policy

EQS Group-Ad-hoc: CALIDA Holding AG / Keyword (s): Strategic forecasting / Business decision
Capital Markets Day 2021: CALIDA GROUP expects a solid 2021 financial year and presents its 2026 strategy – attractive dividend policy

25-Nov-2021 / 07:00 CET / CEST
Publication of an ad hoc announcement in accordance with art. 53 LR
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Press release CALIDA GROUP
ad hoc announcement in application of article 53 LR

Sursee (Switzerland), November 25, 2021

Capital Markets Day 2021:
CALIDA GROUP expects a solid 2021 financial year and presents its 2026 strategy – attractive dividend policy

  • CALIDA GROUP confirms strong performance in 2021 with projected net sales growth of 15% to approx. CHF 285 million and an EBIT margin of approx. 8 percent
  • Future growth will be accelerated by four strategic initiatives:
    • Acceleration of the growth of core brands thanks to significant investments
    • Expansion of controlled distribution channels and increased share of online sales
    • Market consolidation through acquisitions in the underwear and lingerie segment
    • Extension of the platform model to unlock synergies and support brand growth
  • Financial targets for 2026 are to double organic sales growth to 4-6% per year and a double-digit EBIT margin of 10%.
  • New attractive dividend policy adopted to distribute at least half of normalized free cash flow generated and increase dividend each year
  • Expansion of sustainable development measures through the introduction of the Global Reporting Initiative and joining the United Nations Global Compact in 2022

Speaking today on the Capital Markets Day of CALIDA GROUP, Chairman of the Board Hans-Kristian Hoejsgaard said: by loyal consumers and are leaders in their home markets, and we can leverage from this position as we continue our planned international expansion. We will continue to build our successful online business as a key part of our omnichannel distribution strategy. our ambitious financial objectives for 2026 through organic growth and strategic acquisitions to create value for all our stakeholders. “

CEO Timo Schmidt-Eisenhart added, “Our strategy to accelerate growth is built on several pillars to ensure we meet our ambitious goals. We plan to grow our existing brands, but we will also use strategic acquisitions to strengthen our underwear and lingerie core segments. We will strengthen the management of our brand through centralized platforms while freeing synergies in the development of the brand. The expected 15% increase in sales for the whole of 2021 is a promising starting point for accelerating the commercial development of the CALIDA GROUP. “

Four strategic pillars for a sustainable acceleration of growth

Unlike the fashion industry as a whole, the underwear and lingerie market has shown resilience and is very likely to outperform the general apparel market growth in the coming years. As a recognized pioneer in sustainable development, with established brands and above-average financial strength, the CALIDA GROUP is ideally positioned to take its business performance to a new level. To this end, the CALIDA GROUP has defined four strategic priorities for the next five years:

  • Growth of main brands: Increase investments in major brands by 30% to further accelerate their international growth.
  • Own distribution channels: Increase the share of own distribution channels to 70% of the Group’s net sales by 2026 to ensure better brand control and increased profitability.
  • Active role in market consolidation: Acquire growing brands in the underwear and lingerie segment to regularly expand its market share and make the CALIDA GROUP a leading player in the underwear and lingerie market.
  • Platform for consistent brand support: In line with the focus on the underwear and lingerie segment, increase the Group’s synergies and create additional platforms as a basis to drive accelerated growth.

Further strengthen our position as a pioneer in sustainable development and adopt ESG reporting standards

In order to further strengthen its position as a pioneer of sustainable development in the underwear segment, the CALIDA GROUP plans to adopt the Global Reporting Initiative (GRI) as a standard for its sustainable development reporting. In addition, from 2022, the Group will enter into the United Nations Global Compact (UNGC) and align its financial reporting with the principles of the UNGC. At the same time, the Group will provide a 360-degree view of its greenhouse gas emissions and set targets to reduce them.

Strong commercial performance in 2021 – ambitious financial targets until 2026

The CALIDA GROUP has performed very well in recent years: thanks to the early attention given to e-commerce and its successful expansion, net sales of around CHF 285 million are expected for 2021, with an EBIT margin about 8%.

Until 2026, the target range for annual organic growth in the CALIDA GROUP’s sales is 4 to 6% (from 2015 to 2019: + 2.3% per year). For the EBIT margin, the target is 10%. The channel mix will continue to shift to online business over the next several years, with digital sales expected to account for 50% of total net sales by 2026 (2019: 22%). Over the same period, the CALIDA GROUP plans to increase its share of controlled distribution to 70 percent (2019: 50 percent).

The accelerated penetration of international markets in the coming years will bring new profitable growth to the Group. In Germany in particular, the CALIDA Group expects to achieve disproportionate growth rates, this market being the largest in Europe.

For its shareholders, the CALIDA GROUP will offer an attractive dividend policy to ensure that they participate in the targeted growth. Dividend payouts will increase year over year, with 50 percent or more of normalized free cash flow allocated for distribution to shareholders.

The presentation of CALIDA GROUP Capital Markets Day can be downloaded at 13:45 from the following link: https://www.calidagroup.com/investors/financial-reports

For more information, please contact:
Calida Holding SA
Sacha Gerber, Chief Financial Officer
Phone. : +41 41 925 44 49
[email protected]

The CALIDA GROUP is a globally active clothing group headquartered in Switzerland. It is made up of the CALIDA and AUBADE brands in the underwear and lingerie segment as well as the outdoor furniture brand LAFUMA MOBILIER. The CALIDA GROUP is synonymous with high quality products that delight consumers every day. The registered shares of Calida Holding AG (CALN) are traded on SIX Swiss Exchange AG.

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