tendamthe group that owns brands such as Cortefiel, Springfield or Women’s Secretreached sales of 1,211.1 million euros at the end of the 2022 financial year, which represents an increase of 8.8% compared to the previous year, and a new record for the firm, as reported by the company in a release. At a comparable level, that is, to the same stores, the annual increase was 10.4% compared to 2021, and stood 9.2% above pre-pandemic levels. He digital business increased by 10.6% with respect to the year 2021, and already represents 19% of total sales in Spain.
“2022 has been marked by the significant boost that we have given to the transformation agenda designed in 2020 and that has led us to turn Tendam into a unique and differential omnichannel ecosystem, profitable and with high growth capacity. Our strategic levers under the Tendam 5.0 umbrella were key to continuing to gain market share and developing a true omnichannel model that gives access to the customer anytime, anywhere”, manifests Jaume Miquel, president and CEO of Tendam.
The company highlights that «At a comparable area, all the brands evolved positively compared to the previous two years, confirming their correct positioning and that of their collections». As indicated, one of the strategic drivers for growth is the incubation and launch of new own brands. So six new brands joined the Tendam portfolio in the last 24 months. Following the launches of Hoss Intropia, SlowLove and High Spirits in 2021, in 2022 Tendam launched the Dash and Stars brand dedicated to women’s sportswear and the first new brand OOTO for the men’s segment. «In 2023, the operations of HI&BYE began, its first brand in the intimate segment aimed at Generation Z“, highlights the firm. Similarly, growth initiatives, new own brands launched and the multi-brand platform that already has 140 brands, showed a progression “robust” and represented 4.8% of the group’s total sales.
International expantion
On the other hand, Tendam continues with international expansion and it has opened new stores in Mexico (where it has an online store and more than 120 physical points of sale between its own management and franchises), Ecuador, Peru, Venezuela or the United Arab Emirates, among others. In the Iberian Peninsula, where the Tendam ecosystem is more developed, the capillary network of stores showed “excellent omnichannel performance as a result of its double function as a logistics hub -for collection, returns and last-mile deliveries- and as a digital sales hub”.
20% of digital sales are made in the physical store. Of the total online sales, 53% of the collections and 77% of the returns are made in Tendam’s physical stores. The number of members of the Tendam brand loyalty clubs reached 32.7 million (+8.4%) at the end of the 2022 financial year, incorporating 2.5 million new members. He 25.2% of sales for the year were generated by multi-club and multi-channel customers.
‘Solid’ financial track record
«The management of the model, an active development of promotional activity and rigorous inventory control have contributed to maintaining margins at very robust levels.“, according to the group. He gross margin totaled 741.9 million euros, 51.1 million euros more than in 2021, standing at 61.3% at the end of the 2022 financial year, above the industry average thanks to its positioning in the premium segment.
He Recurring EBITDA for the year exceeded 285 million euros3% higher than in 2021. In addition, the group states, thanks to the strong cash generation in the year Tendam reduced net debt by 33.4 million euros up to 340.4 million euros, resulting in a very significant improvement in the debt ratio that stands at 2.1 times EBITDA at the end of 2022, compared to 2.42 times in 2021.
“The future of retail goes through omnichannel and Tendam has a winning position. The excellence in the execution of the ‘Tendam 5.0’ strategic plan by all the teams allows us to continue developing the future of the Group towards new levels of growth and profitability. In this sense, the first indicators for 2023 showed an acceleration of our growth model”, concludes Michael.