MEDIA RELEASE PR36804
Tommy Hilfiger Continues Growth in the Six Months to 30 September 2009[1]
AMSTERDAM , Oct. 28 /PRNewswire-AsiaNet/ --
Tommy Hilfiger Group today announces that for the six month
period to 30 September 2009 total global sales increased by 3.5% to EUR772
million.
CEO Fred Gehring said: "We are very pleased with this set of
mid-year results. They demonstrate the strength of the Tommy Hilfiger brand
around the world in a still very challenging economic environment and
illustrate the benefits of our balanced and diversified business model, both
regionally as well as between retail and wholesale. During the period, we
delivered upon our strategy to reduce our European customer base by 15%, in
order to strengthen and consolidate our wholesale portfolio, which makes
these results even more compelling."
Executive Summary
Europe
In Europe, an increase in retail sales of 24.4% was
underpinned by a positive like for like growth of 2.5%. Overall, European
sales decreased 6.4% due to a slowdown in wholesale volumes as a result of
more cautious buying from wholesale customers, and the Company's strategic
decision to reduce the wholesale customer base, giving us a stronger customer
portfolio going forward.
North America
In North America, a negative comparable growth of 3.3% in the
retail stores was more than offset by higher overall sales, resulting in a
total retail sales growth of 11.6% (3.7% at comparable rates). Total North
American sales increased 13.1% to EUR324 million ($447million) or 4.9% at
comparable exchange rates. In the wholesale business, the addition of
handbags and footwear as well as the introduction of new product groups at
Macy's resulted in a growth of 23.3% (13.7% at comparable exchange rates).
The highlight of the period was the opening of our global flagship store on
Fifth Avenue in New York City, which has performed well so far.
Rest of the world
Sales in Japan were up 20.1%, but down 1.8% at comparable
rates reflecting the challenging economic climate in Japan. Sales at our
licensing partners in Middle and South America as well as the rest of Asia
were up 9.8% (flat at comparable rates).
Store portfolio
A total of 40 stores was added in the six months to 30
September 2009, taking the global store portfolio close to 950 stores at 30
September 2009. Of these stores, approximately 50% are wholly owned and
operated stores.
In all regions, initiatives to make the supply chain more
efficient as well as cost saving programs were implemented in order to
maintain a strong balance sheet. These initiatives will be continued
throughout the remainder of the year and will also result in a decrease in
trade receivables and inventory.
Notes to Editors
About the Tommy Hilfiger Group
With a premium lifestyle brand portfolio that includes Tommy
Hilfiger and Hilfiger Denim, The Tommy Hilfiger Group of Companies is one of
the world's most recognized designer apparel groups. The Group's focus is
designing and marketing high-quality menswear, womenswear, children's apparel
and denim collections. Through select licensees, the Group offers
complementary lifestyle products such as accessories, fragrances and home
furnishings. Tommy Hilfiger Group merchandise is available to consumers
worldwide through an extensive network of dedicated retail stores, leading
specialty and department stores and other carefully controlled distribution
channels. For additional information about the Tommy Hilfiger Group of
---------------------------------
[1] On a comparable basis, which is based on an ongoing scope of current
business going forward at actual rates.
SOURCE: Tommy Hilfiger Group
Translations:
NEWS 
