Diego Della Valle, Chairman and CEO of the Group, commented: “The 2013 financial statements confirm the solidity and strength of our Group, which has achieved good results in spite of the very difficult market and industry situation. We are convinced that the strategy that we have adopted will continue to bring about highly satisfactory results. As always, our approach is based on a medium term industrial outlook, with the emphasis placed on all the operations and initiatives that will enable the Group to grow and its trademarks to enjoy further consolidation. This year, we successfully continued the international development of our Tod’s and Roger Vivier brands, which are now distributed throughout the world and whose quality and exclusive image are increasingly recognized and appreciated at international level.”

Consolidated sales of the Italy based group reached 967.5 million euros in financial year 2013, up 0.5% from 963.1 million euros in 2012. According to the group’s statements, these results reflect the positive impact of the international expansion, mainly relating to Tod’s and Roger Vivier brands, and the actions taken as part of the rationalization of the Italian wholesale distribution. However, the group also underlined the negative impact of currency fluctuations, by clarifying that if such negative impact was to be removed from its results, then sales would have been 979.2 million euros (+1.7% from 2012).

In terms of consolidated sales by brand, Tod’s reached 578.1 million euros in 2013, representing 59.8% of total revenue. Hogan follows with a 22.4% quota (217.0 million euros), and then Roger Vivier with 11.8% (113.7 million euros) and Fay with 6.0% (57.6 million euros). Roger Vivier’s brand confirmed its excellent results in 2013, reaching an increase of 52.5% from previous year’ sales. The company attributes the growing success of the brand to its worldwide recognition as one of the most prestigious maisons of luxury accessories and shoes in the most exclusive segment of luxury goods. The other brands of the group performed poorly, when compared to 2012: Tod’s registered a modest 1.5% increment of its sales; Hogan and Fay, with higher exposure to the Italian market and the wholesale channel, had two digits decrease rates, registering -10.8% and -22.6% change in sales, respectively.

The group consolidated its shoes business, the segment representing three quarters of total sales, growing from 710.4 million euros in 2012 to 739.7 million euros a 4.1% growth. Revenue of leather goods and accessories totaled 160.9 million euros, a 2.8% decline from the 165.5 million euros registered in 2012. The group announced that at constant exchange rates this figure would be 165.7 million euros, a slight growth from previous year. Sales of apparel were 65.8 million euros, a decline of 23.6% when compared to 2012, which broadly reflects the performance of the Fay brand.

Breaking down sales by region, it must be highlighted the two digits growth in America (includes North and South America) and China. In the American markets the sound double digit growth of the last quarters was confirmed with group’s sales totaling 90.3 million euros in the region. Revenue in China (includes Hong Kong, Macao and Taiwan) had a solid growth at 21.3%, with total sales of 237.5 million euros, making this the second most important region for the group’s sales. Domestic sales were 323 million euros, a 15.9% decrease compared to 2012, mainly reflecting the volatility of the sales trend in Italian stores, and the rationalization of the wholesale distribution network of the group. A final note to the area rest of the world, totaling 108.9 million euros, up 7.4% from 2012, and highly impacted by the weakening of the Japanese yen against the euro (at constant exchange rates the growth rate would be 16.1%.

As at the end of the year the Group’s distribution network was composed by 219 DOS and 84 franchised stores, compared to 193 DOS and 78 franchised stores as of December 31st, 2012. The DOS network had sales of 617.7 million euros, representing 63.8% of total revenue, and registering a 7.6% growth from 2012. Franchise stores generated 349.8 million euros, a 10.1% decline from the previous year.

The group’s net income reached 133.8 million euros in 2013 representing 13.8% of consolidated sales, an 8% decline from 145.5 million euros in 2012.

The board approved the distribution of a dividend of 2.70 euros per share, the same amount paid in 2012. Tod’s group shares were last traded at 101.40 euros at the Milan Stock Exchange on the 12th May.