DGAP-News: Ludwig Beck am Rathauseck-Textilhaus Feldmeier AG: LUDWIG BECK closes fiscal year 2021 with a profit due to special effects

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LUDWIG BECK closes fiscal year 2021 with a profit due to special effects

Munich, March 31, 2022 - Munich-based fashion group LUDWIG BECK (ISIN DE 0005199905). continued to face the COVID-19 pandemic in the fiscal year 2021 and its drastic effects on the economy and consumer behaviour. With 56 sales lockdown days, the number increased significantly compared to the previous year with just under 40 days. This again had a significant impact on the group's assets and its financial and earnings position.

Sales development
In the 2021 fiscal year, LUDWIG BECK (including online) generated gross sales of € 66.0m (previous year: € 60.4m). The turnover of goods amounted to € 65.6m (previous year: € 60.1m).

The first half of 2021 was massively affected by the 10-week lockdown and by the restricted access to department stores, such as Click & Meet and, with an incidence of over 50, Click & Meet + Test. It was not until the end of May that the situation improved, and LUDWIG BECK was able to reopen normally. During the Christmas season, there were renewed restrictions due to the officially imposed 2G rule for retailers. The only positive development was in the online business; however, it could not compensate for the decline in sales in the stationary trade.

Earnings situation
In line with the development of sales, gross profit was € 25.4m (previous year: € 20.5m).

Earnings before interest and taxes (EBIT) was € 6.6m (previous year: € -1.9m). Special factors such as the income from the bridging aid III amounting to € 5.7m that was granted as partial compensation for the losses incurred due to the COVID-19 pandemic and profits from the sale of real estate amounting to € 2.3m had a positive effect on EBIT.

The financial result amounted to € -2.3m (previous year: € -2.4m). Earnings before taxes (EBT), including all special factors, increased from € -4.3m in the previous year to € 4.3m in the 2021 fiscal year.

Earnings after taxes (EAT) amounted to € 3.6m (previous year: € -1.7m).

To cushion the negative consequences on the company's liquidity, LUDWIG BECK AG had already secured a medium-term LfA loan in the amount of € 10.0m in the fiscal year 2020.

As retained earnings of LUDWIG BECK AG for the fiscal year 2021 amount to € 0, no dividend can be distributed for the 2021 fiscal year.

Outlook
A concrete assessment of the further economic development is difficult due to the ongoing COVID-19 pandemic with continuing imponderable infection patterns and its consequences for the global economy.

Assuming a more normal course of business with the Oktoberfest taking place again and a non-restricted Christmas business with Christmas markets like prior to the pandemic, LUDWIG BECK expects gross sales of between € 85m and € 88m and slightly positive earnings before taxes (EBT) in fiscal year 2022.

However, a prerequisite for this forecast is that there are no further restrictions in the city centres, such as lockdowns, 2G regulations, curfews hours, or access restrictions. In case of renewed restrictions, it would be difficult to estimate the extent to which the sales and earnings situation of LUDWIG BECK would be negatively affected.

Due to the war in Ukraine, people are already reacting anxiously. Increased energy prices and high inflation are currently causing a significant drop in buying mood.

Further information on the company and its shares can be found on the company's website at http://kaufhaus.ludwigbeck.de

Key Performance Indicators

*) The decline in personnel numbers is mainly related to temporary staff, who were only partially deployed due to the severely restricted Christmas business.

Contact Investor Relations:
A. Deubel
t: +49 89 206021 - 745
f: +49 89 206021 - 600
[email protected]