China'S ETAM Sales Fell 2% In The First Quarter.

France

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Retailer ETAM D veloppement SCA (TAM.PA) yesterday announced sales figures for the first quarter of fiscal year 2016 and its full performance in the 2015 fiscal year.

In the first quarter, China's ETAM D veloppement SCA SCA business recorded a 2% decline in sales compared with a constant exchange rate, but the decline narrowed sharply compared with 7% in the four quarter.

During the period, China's total sales amounted to 122 million 300 thousand euros, with an annual reduction of 6.8% in real terms.

European sales rose 5.6% to 226 million 900 thousand euros compared to the same period last year, mainly because of local profits.

France's 6.3% strong growth has been promoted, while sales in other European countries have been slightly reduced by 0.1%.

Europe's comparable sales increased by 1.3%, while France increased by 1.7%, but the rest of Europe dropped 1.3%.

The group noted that sales were good in 1 and February, but all the brands in March declined significantly.

The overall sales of the group in the first quarter amounted to 349 million 200 thousand euros, an increase of 0.9% over the same period last year, an increase of 0.3% over the constant sales rate.

In the 2015 fiscal year, ETAM D veloppement SCA SCA achieved a net profit of 25 million 800 thousand euros, up 7.1% from 24 million 100 thousand euros in fiscal year 2014.

Core profit EBITDA increased from 85 million 400 thousand euros to 95 million 400 thousand euros, an increase of 11.7%, of which China's EBITDA jumped 1.75 times to 9 million 900 thousand euros, but the operating profit level loss expanded, operating losses from 6 million 600 thousand euros to 7 million 700 thousand euros, mainly due to the decline in the inventory of the past quarter.

European EBITDA and operating profits rose by 4.5% and 2.6% to 85 million 500 thousand euros and 59 million 800 thousand euros respectively.

The annual sales data were revealed in January: China was able to record a 2.5% decline compared to sales, while sales increased by 9.1% to 417 million 400 thousand euros, including a favorable impact of a 59 million 800 thousand euro depreciation of the RMB against the euro.

The group's overall sales increased by 1.6%, and sales totaled 1 billion 296 million 600 thousand euros, an annual increase of 6.2%.

As of March 31st, ETAM D e veloppement SCA has 4064 sales outlets, 950 in Europe, 270 in international authorized partners, and 2844 in China.

The market was disappointed by the performance of ETAM D veloppement SCA (TAM.PA), which fell 3.27% to 34.01 euros at the time of the deadline.