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Tendam posts robust 18.6% increase in sales and grows market share in first quarter of 2022

Tendam’s impressive performance has positioned the company comfortably above pre-pandemic levels, with like-for-like sales up +11.3% versus 2019 and digital sales climbing from 8% to 17% of the total in Spain.

In the first quarter of financial year 2022, Tendam’s total revenues grew by 18.6% to €234.8 million, outperforming the Q1 2021 figures across all channels and brands. The digital channel grew by 19%.

Adjusted EBITDA for the quarter stood at €47.3 million, up 16.8% versus the same quarter of the previous year. EBITDA from the online business now accounts for about one third of the group’s total EBITDA.

The company’s cash position also improved versus Q1 2019 to over €300 million.

The company is set to launch another own brand in September, its fifth in the last twelve months.

Tendam Brands, the parent company of Tendam, one of Europe’s leading omnichannel specialist fashion retailers, today announces its results for the period from 1 March through 31 May 2022, corresponding to the first quarter of the company’s 2022-23 financial year.

Tendam President and CEO Jaume Miquel said: “The robust growth posted by Tendam in the first quarter underscores the success of our transformation agenda and positions the company comfortably above pre-pandemic levels. Our highly profitable, unparalleled integrated omnichannel ecosystem, which allows us to create and grow our own brands whilst remaining open to third party names, has proven its ability to gain freed-up market share and afford a robust competitive advantage over the rest of the market.”

Tendam’s total revenues for the first quarter of 2022 stood at €234.8 million, climbing by 18.6% year on year and 7.3% versus the first quarter of 2019, before the pandemic. On a like-for-like basis, sales grew by 16.9% versus 2021 and 11.3% versus 2019. Revenues were up across all channels in the first quarter of financial year 2022.

Tendam’s portfolio put in an outstanding performance with growth in total sales across all own brands versus 2021. The top performers were Springfield and Cortefiel/Pedro del Hierro, which posted sales growth of 24.3% and 19.4%, respectively.

Digital sales increased by 19% versus Q1 2021 and were up by 127% versus 2019. At the end of the first quarter of 2022, the digital business accounted for 17% of total sales in Spain, more than twice the proportion it represented pre-Covid. All brands saw stronger digital sales, particularly Cortefiel/Pedro del Hierro, which posted an increase of 38%.

Tendam’s strategic growth drivers continued to buoy the company’s results, underscoring the effectiveness of the Tendam 5.0 plan. These initiatives, spearheaded by the recently-launched new brands and the onmichannel multi-brand platform – which now features a total of 100 labels – have had a positive impact on Tendam’s total sales and incremental EBITDA and driven greater engagement with new, younger customers. They accounted for 121% of Tendam’s growth in the first quarter of 2022 and now represent 3.8% of the company’s total sales.

In line with its strategy, Tendam is set to launch a new own brand in September, a 100% sustainable men’s label which is the fifth brand launched by Tendam in the last 12 months. Sales by Tendam’s new own brands – Hoss Intropia, Slowlove, High Spirits and Dash & Stars – posted double-digit first quarter growth.

Adjusted EBITDA for the first quarter stood at €47.3 million, up almost 17% versus the comparable quarter of 2021 and significantly outperforming pre-Covid levels. EBITDA from the online business now accounts for about one third of the group’s total EBITDA.

At 31 May, the company’s cash position had increased to €300 million, versus €214.3 million in the comparable pre-Covid period. At the end of May, Tendam’s pre-IRFS 16 net debt was down versus the previous two years to €424.5 million, slashing its net debt to EBITDA ratio to 2.6x.

The number of loyalty club members for the various Tendam brands increased by over 9% to total 30.8 million.

Tendam has also continued to make great strides in its sustainability strategy. It has now brought forward its medium-term targets and is aiming for 45% of its products to be more sustainable by year-end. The company has removed more than 90% of B2C plastic from its retail operations.

“The overarching goal of Tendam’s strategy is to ensure sustainable and profitable growth by consistently building market share,” added Tendam President and CEO Jaume Miquel.

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Tendam dispara sus ventas un 43,3% y el EBITDA un 90% hasta los 277,2 millones de euros en 2021

Durante el ejercicio 2021 los ingresos totales de Tendam ascendieron a 1.113,4 millones de euros (+43,3%) creciendo de forma consistente en todos los canales y marcas. El digital, que ya representa casi el 19% de las ventas totales en España, creció un +30,4%.

El EBITDA recurrente del ejercicio alcanzó los 277,2 millones de euros, casi duplicando el EBITDA del año anterior.

Las nuevas marcas lanzadas en 2021 y la plataforma omnicanal multimarca registraron EBITDA positivo en su primer año confirmando la rentabilidad del modelo estratégico.

Tendam alcanzó 122 millones de euros de beneficio antes de intereses e impuestos (EBIT) durante el período, casi en los máximos históricos registrados en el 2019, previo a la pandemia. 

El margen bruto alcanzó un robusto 62%, mejorando el 61,3% del 2020 en línea al del ejercicio 2019 absorbiendo las tensiones inflacionistas y de cadena de suministro.

Gracias a una fuerte generación de caja Tendam repagó anticipadamente el total del préstamo ICO, redujo su deuda neta pre NIIF 16 hasta los 373,8 millones de euros y bajó su ratio de endeudamiento significativamente hasta 2,4 veces EBITDA. S&P Global y Moody’s, subieron sus respectivos ratings de la compañía hasta ‘B+’ y ‘B1’, ambos con perspectiva estable.

El número de socios en los clubes de fidelización creció en un +9% y supera la barrera de los 30 millones de asociados.

Tendam alcanzó el 30% de prendas más sostenibles y ha adelantado su objetivo del 50% al corto plazo.

Esta evolución ha situado a la compañía en niveles prepandemia tras haber registrado en 2019 cifras históricamente altas y demuestra el acierto de las iniciativas de crecimiento del plan de transformación Tendam 5.0. 

La compañía ha comenzado el ejercicio 2022 con un desempeño muy positivo en ventas y EBITDA durante el primer trimestre. 

Tendam Brands, la sociedad dominante de Tendam, uno de los principales grupos omnicanal de Europa en el sector de moda especializada, anuncia hoy sus resultados para el período comprendido entre el 1 de marzo de 2021 y el 28 de febrero de 2022, que se corresponde con su ejercicio fiscal 2021/22. 

Jaume Miquel, presidente y consejero delegado de Tendam destacó: “2021 ha sido un año muy positivo para Tendam en el que hemos avanzado decididamente y con éxito nuestra agenda de transformación, creando un ecosistema omnicanal de retail diferenciado, rentable y con alta capacidad de crecimiento y en el que los valores sociales y de sostenibilidad están incorporados en la estrategia de forma integrada. Confiamos en seguir acelerando el negocio en 2022 con mejoras en la rentabilidad al tiempo que incrementamos el peso del digital desde una perspectiva 100% omnicanal”. 

Los ingresos totales de Tendam para los doce meses (marzo de 2021 a febrero de 2022) crecieron de forma robusta alcanzando los 1.113,4 millones de euros, incrementándose en un +43,3% con respecto al ejercicio anterior. A superficie comparable las ventas crecieron un +22,9% versus el 2020 y un -0,3% respecto a 2019. En 2021 todos los canales aumentaron sus ingresos: al incremento del digital del +30,4% se suman las ventas en tiendas físicas de gestión propia que se elevaron en un 45,9% y la fuerte recuperación del negocio de franquicias.

Todas las marcas propias del Grupo incrementaron sus ventas por encima del 30% frente al año pasado. Así, destacan Cortefiel y Pedro del Hierro (la más afectada por la Covid-19) que registró el mayor crecimiento en ventas (+55%) y el continuado comportamiento positivo de Women’secret.

Las ventas digitales se han disparado un +30,4% respecto a 2020 y un +95,6% versus 2019. Todas las tiendas digitales de Tendam continuaron creciendo de forma significativa en cómputo interanual destacando CTF (+49%), Fifty (+38%) y Springfield (+27%). A cierre del ejercicio, el negocio digital representaba el 18,8% de las ventas totales en España.

Al respecto Jaume Miquel destacó “la relevancia clave del modelo omnicanal de Tendam, en el que el negocio de e-commerce generó en el ejercicio el 22% del EBITDA del Grupo y en el que las tiendas físicas actúan como hub logístico y de venta 100% conectado al negocio digital”.

De los 1.805 puntos de venta físicos, 1.200 son de gestión propia y conforman una red omnicanal y capilar íntimamente conectada con el negocio digital que recibe más de 200 millones de visitas al año. Las ocho webs/apps del Grupo reciben un tráfico de 150 millones visitantes al año y generan por su parte el 22% del EBITDA.

La compañía ha alcanzado un robusto margen bruto del 62% durante el ejercicio 2021, que mejora en 0,7 p.p. el 61,3% del 2020 y en los niveles prepandemia. El margen bruto obtenido por Tendam es resultado del acertado posicionamiento de la compañía, la gestión activa de la actividad promocional y la capacidad de la compañía para amortiguar el impacto de la coyuntura inflacionista y de las tensiones en la cadena de suministro, 

El EBITDA recurrente sumó 277,2 millones de euros casi duplicando los 145,8 millones de euros alcanzados en el ejercicio anterior. La rentabilidad del EBITDA se situó en el 24,9% de las ventas. El EBIT (beneficio antes de intereses e impuestos) de Tendam alcanzó los 122 millones de euros durante el ejercicio 2021 recuperando los niveles pre-Covid de 2019 cuando se registraron cotas históricamente altas alcanzando los 122,6 millones de euros.

Destacan en este sentido las iniciativas estratégicas de crecimiento lanzadas durante el ejercicio en el marco del plan Tendam 5.0. Así, las nuevas marcas propias lanzadas en 2021 (Hoss Intropia, Slowlove y High Spirits) registraron EBITDA positivo en su primer año. Con posterioridad al cierre la compañía ha lanzado su novena marca propia (Dash and Stars) y está incubando otras que se lanzarán durante el ejercicio 2022. Por su parte la plataforma digital multimarca del Grupo cerró el año fiscal con EBITDA positivo y más de 100 marcas de terceros que completan la oferta omnicanal de Tendam. Estas nuevas iniciativas estratégicas de crecimiento representaron un 8% del crecimiento del Grupo.

Al cierre del ejercicio la posición de liquidez alcanzó los 347,7 millones de euros frente a los 279,6 millones de euros del 2019 y solo 10,5 millones de euros menos que en el 2020, incluso tras la cancelación adelantada en el cuarto trimestre de 2021 de la totalidad del préstamo ICO por un importe de 132,5 millones de euros. Tendam consolida los más altos niveles de liquidez de la compañía, reduciendo la deuda neta hasta los 373,8 millones de euros (pre NIIF 16) resultando en una mejora muy significativa del ratio de endeudamiento que se sitúa, al cierre del ejercicio 2021 en 2,4 veces EBITDA. 

A finales del año fiscal S&P Global elevó el rating de Tendam a ‘B+’ con perspectiva estable tras valorar la robusta recuperación de la compañía y la reducción de sus niveles de endeudamiento. Posterior al cierre, también Moddy’s revisó al alza la calificación de Tendam hasta otorgarle el ‘B1’ con perspectiva estable reflejando la buena evolución en resultados operativos de la compañía durante 2021 y sus métricas crediticias sustancialmente más sólidas de lo previsto inicialmente, que se han recuperado hasta alcanzar casi los niveles anteriores a la pandemia.

El número de socios de los clubes de fidelización de las marcas de Tendam alcanzó los 30,2 millones, continuando con un crecimiento sostenido. Durante los últimos doce meses se han incorporado al programa de fidelización 2,5 millones de nuevos socios. El porcentaje de ventas en tiendas propias originado por los socios de los Clubes de Fidelización se incrementó en 2,9 p.p. entre marzo de 2021 y febrero de 2022 y representó al cierre del ejercicio un 76,6%.

En 2021 Tendam alcanzó el 30% de prendas más sostenibles y ha adelantado su objetivo del 50% al corto plazo. Durante el año la práctica totalidad de los procesos de acabado del denim de las marcas de Tendam ha sido de bajo consumo en agua con procesos de lavado responsable y técnicas de tratamiento con ozono o láser que minimizan el impacto ambiental en fabricación. 

La compañía ha visto reconocida su estrategia en ESG y cambio climático. Tendam subió del nivel Plata a Oro en la calificación de Ecovadis, situándose entre el 4% de las empresas evaluadas con mejor puntuación. En la iniciativa internacional Carbon Disclosure Project (CDP) Tendam subió al rating A- en clima, por encima de la media del sector retail (B-) y entre el 25% de compañías que han alcanzado el nivel de liderazgo en el sector. 

También, durante el ejercicio se ha aprobado el II Plan de Igualdad de Tendam que detalla los objetivos y sus acciones correspondientes para la igualdad efectiva de oportunidades en todos los ámbitos de la compañía. La brecha salarial de género ajustada se situó en el 0,8% mejorando los resultados de 2020.

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Tendam posts 90% increase in EBITDA to €277.2m in 2021 as sales climb by 43.3%

Tendam’s total revenues for the financial year 2021 were up 43.3% to €1,113.4 million, with consistent growth across all channels and brands. The digital channel, which now accounts for almost 19% of total sales in Spain, grew by 30.4%.

Adjusted EBITDA for the period stood at €277.2m, almost double the EBITDA posted for FY 2020.

The new brands launched in 2021 and the multi-brand, omni-channel platform posted positive EBITDA in their first year of operations, underscoring the profitability of the strategic model.

EBIT for the period stood at €122m, approaching the record high achieved pre-Covid in 2019. 

Gross margin was a healthy 62%, an improvement on the 61.3% registered in 2020 and in line with 2019 figures, successfully absorbing inflationary pressure and supply chain disruptions.

Robust cash generation allowed Tendam to repay its ICO-backed loan early in full, paying down pre-NIIF 16 net debt to €373.8m and slashing its net debt to EBITDA ratio to 2.4x. S&P Global and Moody’s upgraded their ratings to ‘B+’ and ‘B1’ respectively, both with a stable outlook.

The number of loyalty club members increased by 9% to total over 30 million.

The company has already hit 30% more sustainable garments and has brought its 50% target forward to the short term.

This strong performance has allowed Tendam to recover to record-high, pre-pandemic 2019 levels, evidencing the success of the growth initiatives outlined under the Tendam 5.0 transformation plan. 

The company has kicked off its financial year 2022 with an outstanding Q1 performance in both sales and EBITDA. 

Tendam Brands, Tendam’s parent company and one of Europe’s leading omni-channel fashion retailers, has announced today its results for the period from 1 March 2021 through 28 February 2022, corresponding to the company’s 2021-22 financial year. 

Tendam President and CEO Jaume Miquel said: “2021 was an extremely positive year for Tendam. We successfully achieved robust progress in our transformation agenda, building an unparalleled, omni-channel retail ecosystem which is profitable, offers strong growth potential, and fully integrates all of Tendam’s core social and sustainability values. We intend to continue growing the business in 2022 with enhanced profitability and  a more prominent weighting of the digital business, with a 100% omni-channel approach.” 

Tendam’s total revenues for the twelve-month period running from March 2021 to February 2022 were up by an impressive 43.3% year-on-year to stand at €1,113.4 million. On a like-for-like basis, sales were up 22.9% versus 2020 and down just 0.3% versus 2019. Revenues were up across all channels in 2021: in addition to the 30.4% growth posted by the digital channel, sales in directly-operated physical stores were up by 45.9% and the franchise business also put in a robust performance.

All of the Group’s own brands posted year-on-year sales growth of at least 30%. Cortefiel y Pedro del Hierro, which was hit hardest by Covid-19, generated the strongest growth in sales at 55%, and Women’secret also continued to outperform.

Digital sales were up significantly by 30.4% versus 2020 and 95.6% versus 2019. All of Tendam’s online stores continued to enjoy impressive year-on-year growth, particularly CTF (+49%), Fifty (+38%) and Springfield (+27%). At year-end, the digital business represented 18.8% of total sales in Spain.

Jaume Miquel highlighted “the crucial importance of Tendam’s omni-channel model, under which the e-commerce business generated 22% of the Group’s EBITDA over the financial year and the physical store network acts as logistics and sales hub which is seamlessly linked to the digital business.”

Of the 1,805 physical points of sale, 1,200 are directly-operated, affording an extensive, omni-channel network which is seamlessly connected to the digital business and receives over 200 million visitors a year. The Group’s eight websites and apps receive 150 million visitors a year and generate 22% of its total EBITDA.

The company secured a robust gross margin of 62% for the financial year 2021, up 0.7 percentage points versus the 61.3% registered in 2020 and back in line with pre-pandemic levels. Tendam achieved this healthy gross margin thanks to its effective positioning and active management of promotional activity, as well as its capacity to absorb the impact of current inflation levels and supply chain disruptions. 

Adjusted EBITDA totalled €277.2m, almost double the €145.8m achieved in FY 2020. The EBITDA margin stood at 24.9%. Tendam posted EBIT (Earnings before Interest and Taxes) of €122m in financial year 2021, recovering to the region of the pre-Covid, 2019 record high of €122.6m.

The strategic growth initiatives launched over the course of the year through the Tendam 5.0 plan performed particularly well in this area. The new own brands launched in 2021 (Hoss Intropia, Slowlove and High Spirits) posted positive EBITDA in their first year. After year-end 2021, the company launched its ninth own brand (Dash and Stars) and is incubating even more new brands to debut over the course of financial year 2022. The Group’s multi-brand digital platform closed the tax year with positive EBITDA and more than 100 third-party brands to complement Tendam’s own omni-channel portfolio. These new strategic growth initiatives accounted for 8% of the group’s growth.

At the end of the financial year, the Group’s cash position amounted to €347.7m, up from €279.6m in 2019 and down by just €10.5m versus 2020, even after paying off the entire ICO-backed loan of €132.5m ahead of schedule in Q4 2022. Tendam consolidated its higher liquidity levels, paying down net debt to €373.8m (pre-NIIF 16) and generating a substantial improvement in its net debt to EBITDA ratio, which closed FY 2021 at 2.4x. 

At the end of the tax year, S&P Global upgraded Tendam’s rating to B+ with a stable outlook, highlighting the company’s robust recovery and successful efforts to pare down debt levels. After year-end, Moody’s also upgraded its rating for the company, to B1 with a stable outlook, commending its strong 2021 operating results and its substantially better-than-expected credit metrics, which have recovered almost to pre-pandemic levels.

The number of loyalty club members of Tendam’s brands continued to rise steadily to stand at 30.2 million. Over the last twelve months, another 2.5 million members joined the loyalty programme. The percentage of sales in Tendam own brand stores by loyalty club members was up by 2.9 percentage points between March 2021 and February 2022 to total 76.6% at year-end.

In 2021, Tendam achieved the milestone of 30% more sustainable garments and has now brought its 50% target forward to the short term. Over the year, practically all denim finishing procedures by Tendam brands have entailed low water usage, with responsible denim washing processes and ozone or laser technology treatment techniques, which minimise the environmental impact of production. 

The company has been recognised for its ESG and climate change strategy. Ecovadis upgraded Tendam’s classification from Silver to Gold, positioning it among the top 4% of the highest-scoring companies. In the global Carbon Disclosure Project (CDP) Tendam climbed to a rating of A- in climate, outperforming the retail sector average of B-, and is now among the 25% of companies to secure this leadership position in the sector. 

Tendam also approved its 2nd Equality Plan last year, which outlines its core targets and corresponding lines of action to guarantee equal opportunities across every area of the company. The very slim gender salary gap stood at 0.8%, improving on the results for 2020.

Moody’s upgrades Tendam’s rating to B1 with stable outlook

The upgrade reflects Tendam’s good operational performance in 2021 and its substantially stronger credit metrics than initially expected, which have recovered to almost pre-pandemic level

Credit rating agency Moody’s has announced it is upgrading Tendam — one of Europe’s leading omni-channel groups in the speciality fashion sector — to a B1 with a stable outlook.

According to the Moody’s report the upgrade reflects Tendam’s good operational performance in 2021 and its substantially stronger credit metrics than initially expected, which have recovered to almost pre-pandemic levels. Despite our expectations of more difficult trading conditions in the next 12 months owing to the current high inflationary environment and uncertain economic prospects in Europe in relation to the Russia/Ukraine conflict, Tendam will be able to withstand a stress to its cost base and on consumer purchasing power, thanks to its good liquidity and strong credit metrics.

In its report, Moody’s explains that Tendam’s B1 CFR reflects (i) the company’s solid track record of earnings growth and positive free cash flow (FCF) generation; (ii) its strong brand awareness and differentiated market position in the Spanish apparel market; (iii) above-peer EBITDA profitability, underpinned by an efficient supply chain and a successful omnichannel distribution model; and (iv) its good liquidity and balanced financial policy historically.

The stable outlook reflects Moody’s view that Tendam’s sales and earnings will remain broadly stable despite the high inflation environment, supported by cost savings initiatives achieved in 2020-21 and thanks to a growing contribution from the online segment and the company’s new brands. The stable outlook also incorporates Moody’s expectations that Tendam will generate positive FCF and will maintain a good liquidity profile.

Tendam temporarily suspends operations in Russia

Tendam, one of Europe’s leading omnichannel fashion retailers, has announced today that it is temporarily suspending its operations in Russia. The company closed its Ukraine franchises last week. The company has close to 400 employees in Russian.

The decision to temporarily suspend operations will be implemented providing the greatest protection for all employees and partners.

Tendam has been in contact with the Spanish authorities and global NGOs to offer its support in any way necessary, both as a company in its own right and as part of broader initiatives.

S&P Global upgrades Tendam’s rating to B+ with stable outlook

Tendam’s rating is upgraded on the back of its robust recovery and deleveraging.

Credit rating agency S&P has announced it is upgrading Tendam — one of Europe’s leading omni-channel groups in the speciality fashion sector — to a B+ with a stable outlook. 

According to the S&P press release, Tendam’s results for the first nine months of its 2021-22 fiscal year (March through November 2021) showed strong signals of recovery thanks to the robust rebound of the group’s legacy brands and the impact of the Tendam 5.0 transformation strategy, despite volatility caused by the pandemic.  

S&P Global’s rationale for the rating upgrade is based onTendam’s results from the first nine months of FY 2021-22, which demonstrated strong operational performance and a progressive normalisation of sales. Thanks to active cost and working capital management, Tendam was also able to create significant cash flow generation which has made possible the early repayment of a state-backed loan (ICO). All this, together with the recovery of profitability, have driven up its credit rating to a B+, validating the company’s prudent approach to its debt management.

All the group’s brands recovered and contributed to its revenue growth, with portfolio diversification and segmentation and the launch of new brands playing fundamental roles in a volatile environment.

A factor the rating agency considered in its assessment was Tendam’s development of its digital channel which should benefit Tendam’s margins, given that the online channel is typically more profitable than store sales. Online profitability should be further reinforced by Tendam’s proprietary marketplace, which adds visibility to its own brands.

The stable outlook indicates that S&P expects Tendam to continue its solid performance despite macroeconomic uncertainty, and that the fashion company will be able to maintain strong revenue growth thanks to its ability to adapt its business model to the latest trends.

Tendam locks in its recovery, increases profitability and exceeds pre-pandemic levels in Q3 2021

Tendam’s sales exceeded pre-pandemic levels, growing by 31.3% to €258.8 million in the third quarter of its 2021-22 fiscal year.

Adjusted EBITDA for the quarter stood at €63.5m, up 78.3% versus the same period of 2020 and up 2.2% against 2019’s figures.

Tendam posted €11.2m in earnings before taxes (EBT) during the reporting period, up 124% versus 2019’s pre-pandemic Q3.

The online business continued to enjoy sustained, profitable growth, climbing 22.9% versus Q3 2020 and 101.3% versus the same period of 2019.  

The group’s new strategic initiatives (new brands launched in 2021 and its multi-brand, omnichannel platform) accounted for close to 11% of growth between September and November. Hoss Intropia, Slowlove and High Spirits posted positive EBITDA before completing their first year. The multi-brand digital platform now boasts more than 70 third-party brands.

The company’s cash position reached €430.2m, up €74m year on year and €153m more than in the same period in 2019, with net debt down to €424.5m, €10.3m lower than in November 2019 (pre-IFRS 16).

Loyalty club membership climbed by 8.6% to reach 29.5m.

Tendam made strong strides in its sustainability programme, increasing its year-end sustainable garment target to 30% and earning the gold sustainability rating from Ecovadis and an A- from the Carbon Disclosure Project (CDP).

Tendam Brands, Tendam’s parent company and one of Europe’s leading omni-channel fashion retailers, today announces its results for the period from 1 September through 30 November 2021, corresponding to the third quarter of the company’s 2021-22 financial year.

Tendam Chairman and CEO Jaume Miquel said: “We are delighted with the company’s performance and the quality with which the initiatives under the Tendam 5.0 umbrella strategy have been rolled out. Tendam has made remarkable progress this quarter in our omnichannel approach, the digitalisation of our points of sale and the consolidation of new brands that were launched in the first half. All this, coupled with the strong performance of our brands, provides further incentive to continue moving forward with our strategy, per our purpose”.

Tendam’s total revenues in the third quarter stood at €258.8 million, up 31.3% versus the same period in 2020 and outperforming the sales figure for Q3 2019 by €2.5 million. Like-for-like sales between September and November were up 26.5% versus the same period in 2020 and 5.7% versus Q3 2019.

In the first nine months of 2021 (March-November), like-for-like sales grew by 22.2% versus 2020 and 0.7% versus 2019.

Tendam’s portfolio of own brands put in an excellent performance. In particular, Cortefiel and Pedro del Hierro, the two brands hit hardest by the pandemic, posted outstanding sales growth of 61.5% versus the nine-month period in 2020.

In the third quarter, Tendam’s digital sales were up 22.9% year on year and up 101.3% versus the same period in 2019, accounting for 19% of total sales in Spain. In the nine-month period between March and November 2021, the digital business grew by 29.5% versus 2020 and 89.3% versus 2019.

Against this backdrop, Jaume Miquel said: “Tendam’s omnichannel model is of paramount importance, with the e-commerce business generating close to 35% of the group’s EBITDA this quarter and profit growth of 30% and brick-and-mortar shops serving as logistics and sales hubs which are fully connected to the digital business”.

The strategic initiatives driven by the company since the beginning of 2021 as part of its Tendam 5.0 plan accounted for 10.8% of Tendam’s growth between September and November. The group’s new own brands (Hoss Intropia, Slowlove and High Spirits) posted positive EBITDA even before completing their first year. The multi-brand digital platform added 10 new brands, taking Tendam’s omnichannel range of brands to a total of 70.

Gross margin for the quarter stood at a robust 66.2%, more than 1 percentage point above 2020 and among the highest in the sector.

Adjusted EBITDA for the quarter totalled €63.5m, up 78.3% versus the same period of 2020 and up 2.2% against 2019’s figures. For the first nine months of the reporting period, adjusted EBITDA stood at €194.9m, outperforming the €108m reported in 2020 and representing more than 97% of the 2019 figure. On a like for like (pre-IFRS 16) basis, adjusted EBITDA was up 3% versus the same nine-month period in 2019.

Tendam’s Q3 EBT (earnings before tax) totalled €11.2 million, up 124% versus pre-pandemic levels in 2019). For the first nine months of the year, EBT totalled €38.6 million, up 4.3% versus 2019.

The company increased its cash position to €430.2m, up €74m year on year and €153m versus 9M 2019, posting record-high cash levels for another consecutive quarter. Net debt was managed down to €424.5m, €10.3m lower than in November 2019 (pre-IFRS 16).

“We are very confident about Tendam’s ability to deliver. Despite current tensions caused by the Omicron variant and global supply chain difficulties, we are characteristically cautious yet optimistic that we will close the financial year at similar levels to 2019,” Tendam Chairman and CEO Jaume Miquel concluded.

Loyalty club membership continues to see sustained growth with 2.3 million new members over the last 12 months, taking the total to 29.5 million. The percentage of sales accounted for by loyalty club members in Tendam’s own stores rose by 3.9 percentage points over the last 12 months to total 78%.

In sustainability, Tendam has seen its strategy validated by upgraded rankings from international sustainability agencies Ecovadis and the Carbon Discloure Project Climate (CDP), recognising the company as a leader in ESG and backing its climate change strategy. Ecovadis promoted Tendam’s score from silver to gold, placing Tendam squarely among the top 4% of top-performing companies. Tendam’s rating from the internationally recognised Carbon Disclosure Project (CDP) rose to an A- in the climate category, well above the retail industry average of B- and among the top 25% sector-leading companies.

Over the quarter, Tendam continued to increase its range of sustainable garments, raising its target to 30% by year-end.

Tendam is upgraded to A- by the Carbon Disclosure Project (CDP) for its progress on climate change

This new upgrade reflects the company’s strategy in its ongoing efforts to reduce its CO2 emissions and minimise its climate impact.

Tendam, one of Europe’s leading groups in the specialised fashion sector, which includes the commercial brands Women’secret, Springfield, Cortefiel, Pedro del Hierro, Hoss Intropia, Slowlove, High Spirits and Fifty, has been recognised by the Carbon Disclosure Project (CDP), a global environmental non-profit organisation, with an A- rating, above the retail sector average (B-) and among the 25% of companies that have achieved Leadership in the sector. The result obtained consolidates Tendam as a company of reference in the fight against climate change and is a recognition of its environmental strategy.

Ignacio Sierra, Tendam’s Corporate General Manager highlighted that: “achieving this recognition is a significant endorsement of Tendam’s environmental sustainability strategy focused on decarbonising our operations by continuously improving energy efficiency, reducing the carbon footprint of its garments and processes and setting ambitious emission reduction targets in accordance with science-based objectives”.

CDP’s annual environmental rating and disclosure process is widely recognised as the most widely accepted standard for analysing corporate environmental transparency. Tendam was recognised in an independent and detailed analysis that takes into account issues such as awareness and management of climate change risks and how companies demonstrate best practices associated with environmental leadership, such as setting ambitious and meaningful targets.

Tendam has developed initiatives that have enabled it to move up a level from the previous year thanks to, among other issues, the development of internal sustainability policies and the building of a map of responsibility for climate issues at a high level and across the organisation, as well as the setting of science-based emissions reduction targets to achieve carbon neutrality by 2040 and which have been approved by the Science Based Target (SBTi) initiative in 2021. Thanks to these important advances, which are key for CDP when assessing it as a leading company in climate action, the company makes visible its efforts to integrate sustainability into its business strategy, collaborate with its stakeholders for mutual progress towards sustainable development, and achieve the commitments it has made to society and future generations.

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Tendam improves its ESG rating and achieves EcoVadis Gold rating for sustainable performance

Following last year’s Silver medal, the Spanish textile company has now achieved a rating that places it among the top 4% of companies evaluated by the rating agency for Environmental, Social and Governance (ESG).

The Gold medal is the result of the progress and initiatives implemented in the last year in which Tendam has validated its SBTi objectives to reduce CO2 emissions, with the goal of being carbon neutral by 2040.

Tendam, one of Europe’s leading groups in the specialised fashion sector, which includes the commercial brands Women’secret, Springfield, Cortefiel, Pedro del Hierro, Hoss Intropia, Slowlove, High Spirits and Fifty, has received the Gold medal from EcoVadis, one of the leading international rating agencies for Environmental, Social and Governance (ESG) management. After receiving the Silver medal in the previous edition, the Spanish fashion company improves its rating and is now among the 4% of the most advanced companies evaluated internationally in terms of sustainability.

Ignacio Sierra, Corporate General Manager of Tendam highlighted that: “The rating achieved by Tendam in the EcoVadis verification process supports the solvency of our sustainability strategy, key to the positive evolution of the company, the commitment to the expectations of our stakeholders and the constant improvement of our contribution to society and the environment”.

EcoVadis rates the sustainability performance of organisations based on four ESG (environmental, social and governance) domains: environment, labour practices and human rights, ethics, and sustainable procurement. Scores vary on a scale of zero to 100. Meeting the requirements for the Gold medal reaffirms Tendam’s commitment to stakeholders to assess and improve the sustainability of its management and to generate the most positive impact on society.

The progress in the level achieved by Tendam’s rating is the result of the improvement in the compliance indicators and the initiatives implemented in the last year in which a Climate Change strategy has been established with quantifiable and ambitious objectives. In this sense, this year we have achieved the reduction of carbon emissions due to the consumption of renewable energy and the implementation of energy efficiency projects, optimisation of logistics and increase of garments with more environmentally friendly materials. In addition, the science-based targets have been validated by the international SBTi initiative (to be carbon neutral by 2040) and an A- category has been achieved in the CDP assessment in 2021. The continuous improvement in the monitoring of its supply chain, the development of a global human rights strategy and the implementation of business ethics actions in governance have also been highly valued.

Tendam beats expectations in the first half of 2021 growing sales by 65% and recovering pre-pandemic levels a year early

The company’s first half results reflect outstanding profit growth. Adjusted EBITDA for the first half stands at €131.5m, hitting 95% of the figure for 2019 and climbing €80.1m versus H1 2020, after rising for the fifth consecutive month.

With sales of €515m in the first half of the 2021/22 financial year, up 64.9% versus H1 2020, Tendam outperformed expectations and achieved 92% of its 2019 sales.

The digital business continued to enjoy robust growth, with sales climbing 34.5% versus H1 2020 and standing at +84.5% versus 2019. Digital sales now account for 16% of total sales in Spain.

The multi-brand digital platform now boasts more than 60 third-party brands.

The three new own brands launched by Tendam this financial year (Hoss Intropia, Slowlove and High Spirits) will all post positive EBITDA in their first year.

The company’s cash position is the highest in its recent history, standing at €386.6m for the six months ending 31 August, up 25.5% versus 2020 and 38.5% versus 2019.

The autumn-winter campaign is off to a very strong start for Tendam, with total sales in September up 21.6% versus September 2020 and like-for-like sales up 4.5% versus 2019.

The company is six months ahead of schedule in its sustainable product targets across all brands and its science-based decarbonisation goals have been validated by the SBTI initiative.

Tendam Brands, Tendam’s parent company and one of Europe’s leading omni-channel fashion retailers, today announces its results for the period from 1 March through 31 August 2021, which corresponds to the first half of the company’s 2021-22 financial year.

Tendam Chairman and CEO Jaume Miquel said: “The first half of the year has exceeded our expectations. All our brands and channels performed extremely well and online sales were up by an impressive 34.5%, which is all the more significant given the remarkable growth recorded by the online channel during the year of the pandemic as a consequence of operational limitations at the brick-and-mortar shops”.

Tendam’s total revenues in the reporting period stood at €515 million, up €202.6 million year-on-year and representing a 92% recovery of 2019 revenues for the same period. Like-for-like sales between March and August were up 19.4% versus the same period in 2020 and down by just 1.7% versus 2019.

Between March and August 2021, Tendam’s digital sales were up 34.5% versus 2020 and up 84.5% versus 2019, representing 16% of sales in Spain and 13% of Tendam’s total sales. By brand, online sales were particularly strong at Cortefiel and Pedro del Hierro (+61%) and Springfield (+39%).

Tendam’s portfolio of own brands continues to enjoy robust growth. In the six-month period ending August 2021, Cortefiel and Pedro del Hierro and the outlet brand Fifty boasted their strongest year-on-year growth, up 75.1% and 77.2% respectively. Springfield and Women’secret posted year-on-year growth of 56% and 55.2%, and both Women’secret and Fifty reported higher revenues in the first half of 2021 than in the same period of 2019.

The new brands launched since March (Hoss Intropia, Slowlove and High Spirits) outperformed expectations and will post positive EBITDA in their first year of operation.

The outstanding performance of the company’s multi-brand digital platform, which added 35 new third-party brands in the first half of the financial year bringing the total to 60, validated the success of the company’s business model.

The two initiatives contributed more than 5% to the group’s sales growth in the first half, performing particularly well in the second quarter, when they accounted for 12% of the company’s growth, clearly demonstrating the power of the Tendam 5.0 strategy as an open ecosystem and transformation engine.

Gross margin stood at 62.4%, holding steady versus H1 2019 and climbing more than three percentage points versus the figure for H1 2020. Adjusted EBITDA for the six-month period totalled €131.5m, hitting 95% of the figure for 2019 and climbing €80.1m versus H1 2020, rising for the fifth consecutive month and demonstrating the strength of the group’s growth model.

Tendam’s cash position chalked up a new first-half record in the company’s recent history, standing at €398.6m at 31 August, up 24.5% versus 2020 and 38.5% versus 2019.

The company also reports a strong start to the autumn-winter campaign, with September sales up 21.6% year-on-year and a 4.5% improvement in like-for-like sales versus September 2019; Tendam has therefore successfully recovered pre-Covid sales levels during this financial year, a year earlier than expected.

Jaume Miquel, Chairman and CEO of Tendam, concluded: “Our first half performance, the success of the growth initiatives rolled out under the strategic plan and the positive start to the second half lead us to believe that in spite of macroeconomic pressures related to supply chains and logistics, Tendam is in a strong position to further improve its full-year forecasts.

Loyalty club membership continues to grow; 2.2 million new members signed up over the last 12 months, taking the total to 28.9 million. The percentage of sales accounted for by loyalty club members in Tendam’s own stores rose by seven percentage points over the last 12 months to total 77.3%.                                                             

With regard to sustainability, Tendam has reached its year-end target of ensuring sustainable products account for 25% of all brands’ collections six months ahead of schedule. Another milestone in H1 2021 was the validation of Tendam’s science-based decarbonisation targets by the Science Based Target Initiative (SBTI), which Tendam has joined in a bid to fulfil its commitments to the UN Global Compact, the 1.5º global warming initiative, The Fashion Pact and the United Nations Framework Convention on Climate Change (UNFICCA).