2020

25.03.2020 – Lalique Group SA

Lalique Group announces preliminary key figures for the financial year 2019

Lalique Group SA / Key word(s): Preliminary Results
Lalique Group announces preliminary key figures for the financial year 2019

25-March-2020 / 07:00 CET/CEST
Release of an ad hoc announcement pursuant to Art. 53 KR
The issuer is solely responsible for the content of this announcement.

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MEDIA RELEASE

Lalique Group announces preliminary key figures for the financial year 2019

Zurich, 25 March 2020 - Lalique Group SA (SIX: LLQ), which is active in the
creation, development, marketing and worldwide distribution of luxury goods,
today announced preliminary, unaudited key figures for the financial year
2019. Operating revenue increased by around 5% to approximately EUR 143.5
million (up around 5% in local currencies) compared to the previous year.
Earnings before interest and taxes (EBIT) totalled around EUR 1.4 million,
as expected, and the EBIT margin was around 1.0%. Net Group profit is
expected to reach around EUR 1.1 million. The coronavirus situation did not
have a significant impact on Lalique Group's business until mid-March 2020,
before the lockdowns imposed by the authorities in France and Switzerland;
however, the company expects to be adversely affected over the remainder of
the year.

In line with the guidance published in October 2019, Lalique Group generated
further moderate growth in sales in the financial year 2019 in a challenging
market environment. This was driven primarily by continued strong growth in
the Ultrasun segment and positive developments of almost all brands in the
perfume business as well as by the Lalique crystal business. The newly
acquired stake in the Scottish whisky distillery The Glenturret also
contributed to growth. As previously communicated, sales were negatively
impacted in particular by a significant decline in higher-margin sales at
Lalique Parfums in the Middle East. Overall, operating revenue increased by
around 5% to approximately EUR 143.5 million compared to the previous year.
In local currencies, this also corresponds to growth of around 5%.

Personnel costs increased by around 9% to approximately EUR 35.5 million in
the reporting year, reflecting the planned expansion of the business. Other
operating expenses decreased by around 7% to approximately EUR 30.0 million
compared to the previous year. This includes a decrease of around EUR 7.5
million due to the first-time application of IFRS 16, with a corresponding
increase in depreciation allowances of approximately EUR 6.9 million,
totalling EUR 14.8 million. Operating expenses also reflect planned costs
for the international expansion of the business as well as the restructuring
in the US; they additionally include EUR 1.2 million of one-off costs
related to the acquisition of the 50% interest in The Glenturret.

EBIT totalled around EUR 1.4 million in 2019 (previous year: EUR 6.1
million, including extraordinary income of EUR 2.4 million related to legal
proceedings) and was thus at the upper end of the guidance given in October
2019. The EBIT margin was around 1.0%, compared to 4.5% in the previous
year. Excluding one-off costs related to the acquisition of 50% of The
Glenturret, EBIT totalled around EUR 2.6 million in the reporting year and
the EBIT margin was around 1.8%.

Net Group profit is expected to be approximately EUR 1.1 million, compared
to EUR 5.2 million in the previous year.

Outlook
States, societies and companies around the world face immense challenges due
to the measures that have become essential to combat the coronavirus in the
current year. Protecting the health of its employees, clients and partners
is Lalique Group's absolute priority, and the Group has implemented measures
in accordance with official requirements.

Before the lockdown measures imposed by the authorities in Switzerland and
France in mid-March 2020, Lalique Group's business was less affected than
initially expected when the crisis began in China. However, the company
expects its business operations to be adversely affected over the remainder
of the year, in particular due to the closure of points of sale in
connection with lockdowns around the world and interruptions in supply
chains. Due to the unpredictable nature of the situation, it is not possible
to provide more specific information on the course of business in 2020 at
this point in time. As previously announced, a strong focus is being placed
on tight cost management in the current year. At the same time, the Group
will continue to concentrate on the delivery of its strategic initiatives
and - taking account of current market developments - will place a focus on
specific regions. Its priorities also include the further expansion of
online distribution capabilities globally.

Lalique Group will publish its final audited results for the financial year
2019 on 8 April 2020.

Information regarding the Annual General Meeting on 8 May 2020
In view of the updated measures to combat COVID-19 that were announced by
the Swiss Federal Council on 16 March 2020, the 2020 Annual General Meeting
will be limited to what is legally required and it is expected to take place
without shareholders attending in person. Shareholders are requested to
authorize the independent proxy to exercise voting rights on their behalf.


Media contact
Lalique Group SA
Esther Fuchs
Senior Communication & PR Manager
Grubenstrasse 18
CH-8045 Zurich

Phone: +41 43 499 45 58
E-mail: esther.fuchs@lalique-group.com

Lalique Group
Lalique Group is a niche player in the creation, development, marketing and
global distribution of luxury goods. Its business areas comprise perfumes,
cosmetics, crystal, jewellery, high-end furniture and living accessories,
along with art, gastronomy and hospitality as well as single malt whisky.
Founded in 2000, the company employs approx. 720 staff and has its
headquarters in Zurich. The Lalique brand, from which the Group derives its
name, was created in Paris in 1888 by the master glassmaker and jewellery
designer René Lalique. The registered shares of Lalique Group SA (LLQ) are
listed on the SIX Swiss Exchange.

You can find further information at www.lalique-group.com.


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