In the first half of financial year 2023-24, total revenues were up 5% to €606.2 million and like-for-like sales grew by +6.2%.

The company’s new strategic initiatives, new own brands and multi-brand platform doubled their contribution, delivering 32.5% of Tendam’s net growth over the period.

Gross margin was up by 1 percentage point thanks to a stronger inventory position and lower cost pressure in the supply chain

The number of loyalty club members increased by 7.8% to almost 34 million

During the period, Tendam launched its own underwear and swimwear brand HI&BYE and the kids’ clothing line Springfield Kids The company increased the number of third-party brands available on its multi-brand platform to 150

After the end of H1, rating agencies S&P and Moody’s both upgraded the outlook on their ratings for Tendam Brands from stable to positive

Tendam Chairman and CEO Jaume Miquel said: “Tendam continues to deliver a strong performance in line with the Tendam 5.0 strategy. In the first half of the year, the group stepped up the pace of all its new strategic initiatives, which accounted for 32.5% of the company’s growth over the period. Sales growth, combined with easing inflationary pressures, also led to further improvements in margins and profitability.”

Tendam Brands, the parent company of Tendam, one of Europe’s leading omni-channel fashion retailers and the second largest operator in the Spanish market by market share[1], has today announced its results for the period from 1 March through 31 August 2023, corresponding to the first half of its 2023-24 financial year.

Tendam’s total revenues in the first half stood at €606.2 million, up 5% versus the €577.4 million posted in the same period last year. Like-for-like sales were up 6.2% versus H1 2022. 

The strategic growth drivers under Tendam 5.0  delivered an even stronger contribution to the company’s results. New initiatives accounted for 32.5% of net growth over the first half, up from 18.6% in H1 last year, and now represent 5.3% of total sales. These results underscore the effectiveness of the Tendam 5.0 plan, which encompasses lines of action to strengthen group’s own brands, launch new labels, engage with consumers and build a unique, omni-channel ecosystem which is open to third-party brands and seamlessly integrates the digital and physical businesses. In the first half of year, Tendam launched HI&BYE, its own brand for underwear and swimwear for young people, and the Springfield Kids line, as well as increasing the number of third-party brands on the multi-brand platform from 110 to 150.

Tendam’s portfolio put in an outstanding performance in the first half of the year with growth in sales across all the group’s core brands. Cortefiel and Pedro del Hierro posted outstanding sales growth of 8.3%.  Globally, one of the best-performing markets was Mexico, a key market in the group’s international expansion plan where sales were up by 20.4%, in line with previous quarters, and where Tendam is now approaching 120 points of sale.

At the end of the first half, Tendam’s gross margin stood at 63.3%, up 1 percentage point year on year thanks to a stronger inventory position (-4%) and lower cost pressure in the supply chain.

Adjusted EBITDA in H1 2023 totalled €151.0 million, up 8.2% versus €139.6 million in the first half of 2022.

At the end of the first half, Tendam’s profit before tax amounted to €43.6 million, up 18.5% versus the first half of the previous year.

Tendam’s store network totalled 1,829 points of sale at the end of the period, of which 1,172 are own-brand stores and department store corners and 657 are franchises. In the last twelve months, Tendam’s store network has chalked up 25 net openings.

Over the first half, the number of loyalty club members rose by 7.8% to stand at 33.9 million.

Tendam continued to make strong inroads on its sustainability roadmap, and at the end of the first half, the proportion of products with sustainable content hit the 50% mark, beating the targets set ahead of schedule.

The group’s pre-IFRS 16 net debt for the period was €358.9 million, representing a net debt-to-EBITDA ratio of 2.1x. Tendam continues to deliver on its commitment to deleverage and optimise its borrowing costs.

After the end of the reporting period, in October, the rating agencies S&P Global and Moody’s both upgraded the outlook on their ratings for Tendam from stable to positive. The company also announced the early redemption of €190 million of its €300 million backed senior secured floating rate notes maturing in 2028. This early redemption and debt restructuring will reduce the Group’s annual interest payments by more than 20%, affording it a strong competitive advantage and allowing it to step up its growth plans.

Despite the uncertain macroeconomic landscape, Tendam is approaching the second half of the financial year with cautious confidence and maintains its initial sales growth target of over 5%. The company will remain focused on accelerating its 5.0 growth drivers and on enhancing lines of profitability.

Tendam Chairman and CEO Jaume Miquel said: “As a result of Tendam’s strong operating and financial performance under the plan implemented in recent years, its consistent performance in both sales and profit and the recent upgrades to its rating outlook by the top rating agencies the company and its shareholders are contemplating potential strategic alternatives to drive the company forward to its next growth phase, including the possibility of an initial public offering of its shares on a regulated market.”

[1]Tendam is Spain’s second largest specialist fashion retailer by market share. Source: Kantar.

The two reports, issued simultaneously, both revise the outlook on Tendam’s rating from stable to positive

These upgrades recognise the resilience of Tendam’s results in a volatile environment, its omni-channel strategy and its commitment to reducing debt, among other factors

The rating agencies S&P Global and Moody’s have both upgraded the outlook on the rating for Tendam Brands, one of Europe’s leading omni-channel specialist fashion retailers, from stable to positive. The reports, published in the last two days, both highlight the strength of Tendam’s results, expectations of continued growth in revenues and profitability, and the governance policy in relation to reducing debt, which signals efficient financial cost management and a commitment to ongoing deleveraging.

S&P Global

S&P Global has raised the outlook on its B+ rating from stable to positive. In its report, rating agency S&P attributes this upgrade, among other factors, to the fact that the company’s results “are proving resilient in the current inflationary macroeconomic environment, thanks to its diversified portfolio of own brands and its third-party brand offering, which enables Tendam to capture a large customer base.” It also highlights that Tendam continues to expand its portfolio of brands, building a variety of fashion styles “that capture current trends, target multiple customer demographics, and enables the group to remain attractive in a volatile macroeconomic environment.”

S&P Global also applauded the Tendam 5.0 strategy, which is now in its second phase and will allow for further convergence towards an omni-channel model and, in terms of profitability, should allow the company to benefit from some cost relief, in particular on energy and transportation.

The rating agency further praised the prepayment by Tendam of €190 million in senior notes maturing in 2028, adding that it views this transaction as credit-positive, as it decreases Tendam’s interest payment and indicates the group’s willingness to deleverage its capital structure.

Moody’s

Moody’s has also raised the outlook on Tendam’s B1 rating from stable to positive. In its report, Moody’s points to Tendam’s robust recovery following the pandemic and its expectations of continued growth in revenue and profitability as well as solid free cash flow (FCF) generation over the next 12-18 months.

The rating action by Moody’s is also supported by the company’s strong brand and established position in the Spanish apparel market; its good EBITDA margin, underpinned by an efficient supply chain and a successful omni-channel distribution model; as well as its good liquidity.

The positive outlook also considers the decision by Tendam’s management to partially redeem outstanding senior secured notes, which signals a commitment to deleverage over time.

On 16 October, Tendam Brands announced the early redemption of €190 million of its €300 million backed senior secured floating rate notes maturing in 2028. This early redemption and debt restructuring will reduce the Group’s annual interest payments by more than 20%, affording it a strong competitive advantage and allowing it to step up its growth plans. The early redemption was delivered via a two-part strategy: the provision of funds from the company’s own cash reserves and a loan for over €180 million linked to sustainability targets, which was signed in July 2023.

• Tendam’s EBITDA climbed to almost €52 million, up 17.7% versus 2022 and 16.3% versus 2019
• From March to May 2023, Tendam’s total sales stood at €243.2 million, up 3.6% versus the comparable period last year. Like-for-like growth stood at 4.1%
• Gross margin was up by 2.3 pp to a substantial 68.2%, which is a clear reflection both of Tendam brands’ excellent positioning in the premium mass market segment with a strong commercial value proposition, and of the first signs of tapering inflationary pressure
• New initiatives delivered under the Tendam 5.0 strategy contributed 44.6% of net growth over the quarter and represent 5.1% of the group’s sales
• The multi-brand third-party platform posted a 75.5% increase in online sales, contributing 18.1% to the net quarterly growth in Tendam’s sales
• The profitability of the digital business grew by over 4% 
• Tendam’s omnichannel ecosystem, which combines online and physical stores with advanced analytics and encompasses traffic of almost 400 million customers, eleven own brands and over 150 third-party brands, has confirmed its capacity to generate sustainable growth and profitability quarter after quarter
• The number of loyalty club members also continues to rise steadily: in the last 12 months 2.5 million new members have joined (+8.2%), crossing the 33 million members mark at the end of the first quarter
• Tendam raised the percentage of garments with sustainable content to 46% over the quarter, delivering good progress towards its sustainability targets

In relation to the company’s results for the first quarter of its financial year 2023/2024 Tendam Chairman and CEO Jaume Miquelsaid:

“The first quarter of our 2023 financial year was excellent. All brands, formats and channels put in a strong performance and contributed positively to business profitability. The initiatives rolled out under the Tendam 5.0 strategy outperformed in particular, delivering almost 45% of net growth over the quarter and positioning themselves as key growth drivers in a very short space of time.”

Tendam Brands, the parent company of Tendam, one of Europe’s leading omni-channel fashion retailers and the second largest operator in the Spanish market by market share^[1], has today announced its results for the period from 1 March through 31 May 2023, corresponding to the first quarter of its 2023-24 financial year.

EBITDA for the first quarter climbed to €51.9 million, up 17.7% versus the comparable quarter of last year and +16.3% versus pre-pandemic figures in 2019.

Tendam’s total sales for the period stood at €243.2 million, rising by 3.6% year on year. Like-for-like sales were up 4.1% year on year and 11.1% versus 2019. Despite the impact of rising interest rates in particular on the current consumer spending landscape, the company maintained a strong commercial value proposition and significantly improved its profit margins.

Tendam’s gross margin expanded considerably over the first quarter to stand at 68.2%, rising 2.3 percentage points year on year and outperforming pre-pandemic figures. The key drivers behind the growth in gross margin – which comfortably outperformed the sector average – were the efficient management of the company’s operations and the strong positioning of Tendam’s brands in the premium mass market segment, along with the downward trend in inflationary pressure and particularly in the cost of global transport.

The Tendam 5.0 strategy is making strong headway and Tendam now operates as a single open ecosystem which efficiently harnesses almost 400 million customers, 11 own brands and more than 150 third-party brands, and seamlessly integrates the digital and physical businesses, both in terms of logistics and sales.

New initiatives under the Tendam 5.0 strategy represented 44.6% of the net growth posted over the quarter and accounted for 5.1% of the group’s sales. Online sales through the multi-brand third-party platform were up 75.5% year on year, contributing +18.1% to Tendam’s net quarterly growth.

The digital business continued to grow, posting a 4.1% increase in profitability. There were three key drivers behind this outstanding result: the increase in the number of third-party brands on the multi-brand platform from 90 to 150 over the last 12 months; strong growth in the click-shopping format, which accounted for 31.5% of digital sales in versus 24.1% in the first quarter of 2022; and the lower impact of logistics costs thanks to a low, stable return rate of 27.9%.

At the end of the first quarter of financial year 2023/24, Tendam’s store network totalled 1,804 points of sale. Directly-operated stores continued to drive up footfall consistently and posted like-for-like growth of 4.8%. Tendam grew its store network from March to May 2023, with five net openings of directly-operated stores and six new franchises. In the last twelve months, the franchise network has chalked up 47 net openings.

The number of loyalty club members and associated sales continue to post consistent growth quarter after quarter. At 31 May 2023, Tendam had a total of 33.3 million loyalty club members, having added 2.5 million partners over the last twelve months, an increase of 8.2%.

Tendam continues to make strong inroads with its strategy and comfortably outperforming the targets outlined in its sustainability plan. At the end of the first quarter of its 2023/24 tax year, the proportion of products with sustainable content stood at 46% and emissions were down 16% (Scope 1&2 -74% and Scope 3 -14%) versus the 2019 baseline, despite the impact of the energy crisis and the war in Ukraine.

Tendam Chairman and CEO Jaume Miquel concluded:

“Despite the current macroeconomic uncertainty, we maintain our positive outlook and our goal of delivering sustained growth whilst maintaining Tendam’s strong levels of profitability. Sales are enjoying robust growth in the second quarter with a consistent improvement in margins, so we expect the results for the first half of the year to be excellent.”

[1]Tendam is Spain’s second largest specialist fashion retailer by market share, according to data by Kantar.

• The Tendam ecosystem, which combines digital and brick-and-mortar stores with advanced analytics, has proven its ability to deliver consistent growth and profitability 
• These results evidence the successful implementation of the Tendam 5.0 strategic plan, which has delivered strong operational and financial fundamentals to underpin a new phase of development 
• Total sales increased by almost €100 million (+8.8%) to €1.21 billion in financial year 2022. Like-for-like sales were up more than 10% year on year 
• Tendam’s digital business posted growth of 10.6% and now accounts for 19% of total sales in Spain 
• The strategic growth drivers under Tendam 5.0 (new own brands, multi-brand platform and an omnichannel approach) have been instrumental to the success and profitability of the model. These initiatives accounted for nearly 5% of total sales and contributed almost 30% to the company’s net growth 
• Gross margin stood at €741.9 million, up €51.1 million versus 2021, and closed the period at 61.3%, outperforming the retail industry average thanks to the successful positioning of Tendam’s brands in the premium mass market 
• Adjusted EBITDA totalled more than €285 million over the period, up 3% versus 2021 
• Footfall and sales continued to rise at a store network which benefits from an intimate connection with the digital business, acting as both a logistics hub and a meeting point for the eleven own brands and more than 140 third-party brands on the multi-brand platform 
• Robust cash generation allowed Tendam to pay down pre-IFRS 16 net debt to €340.4 million and deliver a substantial cut in its net debt to EBITDA ratio to 2.1x 
• The number of loyalty club members – which is a substantial component of a business based on customer knowledge, engagement and optimising the customer experience – was up by +8.4% to stand at 32.7 million 

On the company’s performance over the year, Tendam Chairman and CEO Jaume Miquel said: 

“In 2022, we gave significant added momentum to the transformation agenda designed in 2020, which has allowed us to position Tendam as a unique, unrivalled omnichannel ecosystem which is profitable and has strong growth potential. Our strategic growth drivers under Tendam 5.0 were instrumental in securing greater market share and rolling out a real omnichannel model affording access for customers anytime, anywhere.” 

Tendam Brands, the parent company of Tendam, one of Europe’s leading omni-channel fashion retailers and the second largest operator in the Spanish market by market share1, has today announced its results for the period from 1 March 2022 through 28 February 2023, corresponding to its 2022-23 financial year. 

An unparalleled omnichannel ecosystem underpinning a strong operational performance 

In the financial year 2022, Tendam’s total sales were up 8.8% year on year to stand at €1.21 billion. On a like-for-like basis, sales were up 10.4% versus 2021 and 9.2% versus 2019. Tendam’s digital business posted growth of 10.6% versus 2021 and now accounts for 19% of total sales in Spain. 

On a like-for-like basis, all Tendam brands outperformed their results for the last two years, confirming the effective positioning both of the brands and of their collections. 

One of the company’s strategic growth drivers is the incubation and launch of its own new brands; this strategy has seen six new brands integrated into the Tendam portfolio over the last two years. Following the launch of Hoss Intropia, SlowLove and High Spirits in 2021, Tendam launched women’s sportswear brand Dash and Stars and the first new brand designed specifically for men, OOTO, in 2022. HI&BYE, Tendam’s first underwear and swimwear brand for Gen Z customers, began operating in 2023. 

Growth initiatives, new own brand launches and the multi-brand platform – which now features 140 brands – performed well and now account for 4.8% of the group’s total sales. 

Tendam continues to roll out its global expansion, opening new stores for its core brands in Mexico, where it now has a digital store and more than 120 physical points of sale, including directly-operated stores and franchises, as well as Ecuador, Peru, Venezuela and the UAE, among others. 

In Iberia, where the Tendam ecosystem is better developed, the store network delivered an excellent omnichannel performance thanks to its dual function as both a logistics hub for collections, returns and last-mile deliveries and a hub for online sales. 

A total of 20% of all digital sales take place in physical stores. Out of total online sales, 53% of collections and 77% of returns take place in Tendam’s brick-and-mortar stores. 

The group’s strategy is intended to deliver the best possible customer experience and the greatest possible access to its products. The customer is at the core of the business, and customer knowledge is one of its greatest assets. The number of loyalty club members for Tendam’s brands stood at 32.7 million (+8.4%) at the end of the financial year 2022, with 2.5 million new members joining up over the period. Multiclub and multichannel customers accounted for 25.2% of total sales for the year. 

Robust financial background to support future business development 

Effective management of the business model, active deployment of promotional activity and rigorous inventory control have all helped keep margins at very robust levels. Gross margin stood at €741.9 million, up €51.1 million versus 2021, and closed financial year 2022 at 61.3%, outperforming the sector average thanks to Tendam’s strong position in the premium mass market segment. 

Adjusted EBITDA for the period totalled over €285 million, up 3% versus 2021. 

Robust cash generation over the year allowed Tendam to pay down net debt by €33.4 million to €340.4 million (pre-IFRS 16), delivering a substantial improvement in its net debt to EBITDA ratio, which closed financial year 2022 at 2.1x, versus 2.42x in 2021. 

Tendam Chairman and CEO Jaume Miquel said: 

“The omnichannel model is the future of retail and Tendam is already positioned for success. 

The excellent deployment of the Tendam 5.0 strategic plan by our entire team has allowed us to continue to drive the Group forward to even higher levels of growth and profitability. 

Early figures for 2023 already reveal strong progress for our growth model.” 

A firm commitment to ESG 

Tendam joined the Carbon Disclosure Project’s (CDP) climate A-list, beating the retail sector average of B-and positioning itself among the top 25% leading global companies in the field. It also joined other top-level global retailers on the “Retailers for climate” initiative. 

At the end of the financial year, 43% of the products in the company’s collections boasted sustainable characteristics. The company also eliminated 97% of single-use plastics. 

Tendam renewed its adhesion to the European Diversity Charter – a series of best practices to support equality and non-discrimination, promoting diversity and respect in the workplace – for the 20-23 period. 

Tendam’s Board of Directors also achieved gender parity at the end of the second quarter of financial year 2022, and 61% of executive roles at the company are now held by women. 

Decathlon, H&M, IKEA, Inditex, Kiabi, Mango and Tendam have created the Association for Textile Waste Management, with the aim of managing clothing and footwear waste generated in the Spanish market, through a Collective System of Extended Producer Responsibility (SCRAP). With the constitution of this association, officialised yesterday in Museo del Traje, the associated companies want to give a collective boost to textile recycling in Spain, advancing towards a circular model through the correct management of waste from the sector.

The Association for Textile Waste Management will enable compliance with the Extended Producer Responsibility, which has arisen from the transposition of Directive 2008/98/CE on Waste into Spanish legislation through Law 7/2022, of 8 April, on waste and contaminated land for a circular economy.

The draft legislation establishes the separate collection of textile waste by local organisations by 31 December 2024. Within three years of the new Law coming into effect, the Ministry for Ecological Transition and Demographic Challenge (MITECO) will develop systems of extended producer responsibility for textiles, in other words, legislation that will require the separate management of textile waste flows from other municipal waste.

The Textile Waste Management Association, a not-for-profit association, has been formally incorporated in the Spanish National Register of Associations. The association members are Decathlon, H&M, IKEA, Inditex, Kiabi, Mango and Tendam, the companies that agreed to create the association and which will work on the operational, financial and data model of SCRAP for the management of clothing and footwear waste in the Spanish market. 

The presidency of the Textile Waste Management Association will rotate among its members annually, starting with Mango. One representative from each company will sit on the Governing Body of the association.

From March to August 2022, Tendam’s total revenues stood at €577.4 million, up €62.4 million year on year

Adjusted EBITDA for the period totalled €139.6 million, climbing 6.2% versus H1 2021 and outperforming pre-pandemic results for the same period

At the end of the reporting period the Group had paid down gross debt by 19.3%, contributing €103.3 million from its own cash reserves, securing a green loan worth €130.9 million and issuing €300 million in bonds

Products with sustainable content now account for 47% of the total, beating the target set for 2022 by two percentage points

The number of loyalty club members grew by 8.8% versus H1 2021 to break through the 31 million threshold

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 August 2022, corresponding to the first half of the company’s 2022-23 financial year.

Tendam President and CEO Jaume Miquel said: “We closed the first half of the financial year with robust business growth driven by outstanding performances across all brands and channels. Tendam is better positioned than ever operationally, financially and in terms of its business model to weather the current uncertain conditions, as evidenced by these strong results and the company’s new debt structure.”

Tendam’s total revenues for the first half of 2022 stood at €577.4 million, up 12.1% year on year. On a like-for-like basis, sales were up by 13% versus 2021 and 8.9% versus 2019. Despite the global backdrop, like-for-like sales in the second quarter climbed 10.4% versus 2021 and 6.2% versus 2019.

Tendam’s brand portfolio put in an outstanding performance: all group brands posted an increase in total sales of more than 10% versus the first half of 2021.

In the first half of the year, the digital business posted growth of 16.6% versus 2021 and 117.2% versus 2019. From 1 March to 31 August, the digital business continued to grow its share of total sales to account for 17.2% of all sales in Spain.

Gross margin held steady year on year at 62.3%, reflecting Tendam’s efficient procurement strategy and active management of promotions and inventory levels and effectively offsetting inflationary pressures.

Adjusted EBITDA for the period totalled €139.6 million, climbing 6.2% versus H1 2021 and outperforming the pre-pandemic results for the same period, posting positive growth even against a backdrop of rising inflation. Tendam’s digital business accounts for around 20% of the company’s total EBITDA.

The company’s strategic growth drivers continued to contribute demonstrably to a positive business performance, delivering strong results and endorsing the Tendam 5.0 plan. By strengthening group brands, launching new labels, engaging with consumers and building a unique, omni-channel ecosystem which is open to third-party brands – with over 110 brands at the end of H1 – Tendam has ensured a seamless integration of its digital and physical businesses. New initiatives accounted for 18.6% of Tendam’s net growth in the period and now represent 4% of the company’s total sales.

From March to August, Tendam’s earnings before tax (EBT) grew by over 34% to stand at €36.8 million.

The company’s liquidity position improved by more than €72 million versus H1 2019 to stand at €360.1 million at 31 August 2022. At the end of the first half, Tendam’s pre-IRFS 16 net debt amounted to €363.3 million, down €89 million versus August 2021, dramatically reducing the company’s net debt to EBITDA ratio to 2.2x.

At the close of H1, the Group had paid down gross debt by 19.3%, contributing €103.3 million from its own cash reserves, securing a green loan worth €130.9 million from global and domestic financial institutions and issuing bonds for a total of €300 million. Tendam’s improved debt structure, which has pushed back maturities until 2028, affords it a strong competitive advantage which will allow the company to better withstand the current economic scenario whilst simultaneously stepping up its growth plans.

The number of loyalty club members for the various Tendam brands increased by almost 9% to total 31.4 million.

The company also continued to make great strides with its sustainability strategy. In addition to signing its first ever green loan, with terms tied to sustainability targets, Tendam’s Board of Directors also achieved gender parity in the H1 period.

The proportion of products with sustainable content rose by two percentage points to 47%, growing at a faster pace than expected and already outstripping the 45% target set for the full financial year ending in 2023. Tendam has also removed more than 90% of the plastic used in its B2C (business-to-consumer) retail operations.

“Despite the uncertain macroeconomic and geopolitical backdrop, we remain committed to our goal of delivering sustainable growth, cutting debt levels and protecting the company’s profitability,” said Tendam President and CEO Jaume Miquel.

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Tendam Brands reduces gross debt by 19.3% and extends maturity

• Early redemption of the full amount of €534.1 million in gross debt maturing in 2024 
• The company has put up €103.2 million from its cash reserves and secured a €130.9 million green loan with leading financial institutions as well as issuing new bonds totalling €300 million
• Following this transaction, Tendam Brands’ gross debt stands at €430.9 million, down 19.3% compared to €534.1 million in August 2022

Tendam Brands announces today the early redemption of €534.1 million in debt, two years ahead of the maturity date for its 2017 bond issues.

Tendam Chairman and CEO, Jaume Miquel, said: “This transaction underscores Tendam’s ability to generate cash, as well as the significant backing the company has received from reputable financial institutions and institutional investors for its transformation plan and its progress in sustainability. The new improved debt structure puts us at a competitive advantage to further accelerate our growth plans and shield the company from the current economic downturn.”

The early repayment of Tendam Brand’s gross debt was delivered via a three-part strategy: the provision of €103.2 million from its own cash reserves, the signing of a green loan worth €130.9 million linked to sustainable goals and a new bond issue totalling €300 million.

The green loan, the first of its kind for Tendam, is linked to sustainability targets and builds on the company’s solid progress in this area. The terms of the green loan are tied to lowering greenhouse gas emissions and increasing the weight of sustainable products in the company’s collections. By the end of the 2021 financial year, Tendam had already delivered 30% more sustainable garments, bringing forward its target of aiming for 45% of its products to be more sustainable by the end of the 2022 financial year.

Tendam’s solid operating performance and financial solvency, which outperformed the company’s forecasts, were critical in securing the syndicated loan provided by leading national and international financial institutions.

With regard to the bond issuance, Tendam Brands is announcing today the successful pricing of floating rate senior secured notes maturing in 2028 for an aggregate principal amount of €300 million. The market reacted positively to the issuance, with demand more than doubling the nominal amount subscribed of €300 million.

Deutsche Bank, Société Générale, BNP Paribas, Crédit Agricole, ICO, CaixaBank, BBVA, Intesa Sanpaolo, and Banco de Sabadell were the banks that took part in this global refinancing process.

With maturities of more than five years and a weighted average variable interest rate of Euribor +6.1%, the success of this financing transaction ensures the company’s long-term financial stability. Upon completion, Tendam’s gross debt will stand at €430.9 million, compared to €534.1 million as of 31 August 2022.

This transaction represents a further milestone in the Group’s roadmap to pare down its gross debt, following the €65.9 million in bond buybacks the company completed in 2018 and the early repayment of the entire €132.5 million ICO loan by the Group in February 2022.

With the help of commercial banks and qualified investors, the company has been able to continue reducing its debt and secure favourable financing terms thanks to its outstanding performance and cash flow generation capabilities. Tendam Brands’ leverage ratio decreased in August 2022 to 2.2x EBITDA from 4.5x EBITDA in August 2021.

The company’s exceptional success is reflected in current business developments delivered under the Tendam 5.0 Strategic Plan and its ongoing recovery from the pandemic. Total revenue for the six months ended 31 August 2022 stood at approximately €577.4 million, up from €515 million for the six months ended 31 August 2021, a 12.1% increase.

Cautionary Statement

The Notes will be offered in a private placement to qualified institutional buyers pursuant to Rule 144A and non-U.S. persons pursuant to Regulation S under the U.S. Securities Act of 1933, as amended (the “Securities Act”), subject to market and other conditions.  No assurance can be given that the offering of the Notes will be completed or, if completed, as to the terms on which it is completed. The Notes to be offered have not been registered under the Securities Act or securities laws of any other jurisdiction and may not be offered or sold in the United States absent registration or pursuant to an applicable exemption from the registration requirements of the Securities Act and any other applicable securities laws. This release does not constitute an offer to sell or the solicitation of an offer to buy the Notes, nor shall it constitute an offer, solicitation or sale in any jurisdiction in which such offer, solicitation or sale is unlawful.

Statements in this release which are not historical facts are forward-looking statements.  All forward-looking statements involve risks and uncertainties which could affect the Group’s actual results and could cause their actual results to differ materially from those expressed in any forward-looking statements made by, or on behalf of, the Group.  Any forward-looking statements and information contained in this release are made as of the date hereof and the Group undertakes no obligation to update publicly or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws.

In member states of the European Economic Area, this release (and any offer of the securities referred to herein if made subsequently) is only addressed to and directed at persons who are  “qualified investors” within the meaning of Article 2(e) of Regulation (EU) 2017/1129 (as amended, the “Prospectus Regulation”) or, if resident in the United Kingdom, at persons who are qualified investors within the meaning of Article 2(e) of the Prospectus Regulation as it forms part of United Kingdom domestic law by virtue of the European Union (Withdrawal) Act 2018, as applicable.

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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.

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.