Calida focuses on own brands

Calida Group is repositioning itself. Executive Chairman of the Group’s Board of Directors Felix Sulzberger commented in a press release: “After the growth strategy defined in 2021 failed to deliver the planned business development, the Calida Group will concentrate on optimizing the business with the existing profitable Group brands over the next three years. Focusing on the operational excellence of our brands, our attention will be on solid organic growth and an above-average EBIT margin.”

Specifically, Calida will focus on improving the profitability of its brands CALIDA, Aubade, and Lafuma Mobilier. The American lingerie brand Cosabella, which was acquired in spring 2022, will also be continued. However, Calida writes that this will require an adjustment of targets and thus a value adjustment of 34 to 43 million Swiss francs.

The loss-making multibrand webshop onmyskin.com will be terminated. The company estimates costs amounting to 3 million Swiss francs linked to this. Additionally, around 20 employees will be dismissed. The plan to establish group platforms will also be adjusted. Calida has already made the required value adjustments for the already discontinued sustainable fashion business of Erlich Textil.

Calida anticipates sales below the previous year’s level and a loss in net profits the for the current fiscal year. However, the EBIT margin is expected to reach 10 percent by 2026. An EBIT margin of 8.6 percent was achieved in the financial year 2022. ce/hs