LUDWIG BECK Reports Positive Sales Growth Amid Fiscal Year 2023 Challenges

Munich-based fashion retailer, LUDWIG BECK, announced a positive sales trajectory in the fiscal year 2023 despite facing numerous challenges including the war in Ukraine, unfavorable weather conditions, and competitive online discount campaigns. The company, known for its diversified offerings in "textile" and "non-textile" segments, reported a gross sales increase of around 20% compared to the previous year, reaching €86.5m. This growth comes in a period marked by COVID-19 impacts and challenging consumer sentiment.

Despite a drop in the gross profit margin from 49.8% to 48.5%, due to higher price discounts, LUDWIG BECK achieved a slight increase in gross profit, up from €35.0m to €35.3m. Operational adjustments and the adaptation to external pressures, such as a snow chaos and a rail strike over the Christmas season, impacted the earnings before interest, taxes, depreciation, and amortization (EBITDA), decreasing from €11.3m to €9.9m. Nevertheless, the company ended the year on an optimistic note, planning further investments in their flagship store and expecting a gross sales between €90m and €93m for the fiscal year 2024.