Brief: VRG Sees Revenue At 1.9 Bln Zlotys In 2025 Under New Strategy

VRG SA

15/06/2023 17:26

June 15 (Reuters) - VRG SA  VRGP.WA :
    * ADOPTS STRATEGY FOR YEARS 2023-2025
    * STRATEGY ASSUMES GROWTH OF GROUP VIA IMPROVEMENT OF
BUSINESS
SCALE, GROWTH OF OPERATING MARGIN IN APPAREL AND JEWELLERY
SEGMENTS, AS WELL AS GROWTH OF GROUP'S NET PROFIT
    * UNDER STRATEGY CO SEES GROUP'S REVENUE CLOSE TO 1.9
BILLION
ZLOTYS AT END-2025
    * UNDER STRATEGY CO AIMS FOR GROUP'S GROSS MARGIN AT 56-57%
AT
END-2025
    * UNDER STRATEGY MANAGEMENT ASSUMES THAT GROWTH OF SGA COSTS
TO BE
LOWER THAN GROWTH OF SALES AND GROSS PROFIT FROM SALES WHICH
SHOULD RESULT IN MINIMUM OF 12% OF OPERATING MARGIN AT END-2025
    * UNDER STRATEGY GROUP'S OFFLINE STORE NETWORK SHOULD AMOUNT
TO
62,700 SQUARE METRES
    * UNDER STRATEGY GROUP SHOULD ALSO HAVE 6 OWN E-STORES
    * UNDER STRATEGY EXPECTS GROUP'S BRANDS TO BE PRESENT IN
MORE
MARKETPLACES, WHICH SHOULD RESULT IN MIN. OF 14% SHARE OF ONLINE
SALES IN GROUP'S 2025 REVENUE
    * UNDER STRATEGY GROWTH OF RETAIL SPACE TO BE BASED ON NEW
CONCEPTS AND MODERNISATION OF EXISTING STORES
    * UNDER STRATEGY SAID GROWTH TO REQUIRE ABOUT 43 MILLION
ZLOTYS OF
AVERAGE ANNUAL CAPEX IN YEARS 2023-2025
    * UNDER STRATEGY MANAGEMENT TO AIM TO SHORTEN CYCLE OF CASH
CIRCULATION TO ABOUT 250-260 DAYS IN 2025
    * AS RESULT OF SAID SHORTENING GROUP SHOULD NOT EXHIBIT NET
DEBT
WHILE CONTINUING TO SHARE PROFIT WITH SHAREHOLDERS ACCORDING TO
POLICY DIVIDEND

Source text for Eikon:  ID:nEM1RF1f1a 
Further company coverage:  VRGP.WA 

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