TEDDY GROUP | Growing with a Dream
Our year 2016
Growing with a Dream: Our year 2016
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TEDDY GROUP | Growing with a Dream
Our year 2016
CONTENTS: At Gruppo Teddy we invest and use, every day, our passion, our creativity and our skills to build a company whose goal is to become one of the leaders in the fast fashion market.
Teddy Dream and the pillars of our strategy
Four brands and millions of customers all over the world. We have an Italian-beating heart and an international expertise, which is the result of our daily work in over 40 world markets. We go on building our Dream by dressing people. Our Dream, the vision and raison d’être of our company, was set out by Vittorio Tadei, who founded Teddy in Rimini in 1961.
Our financial performances in 2016 Retail strategy and franchising development Job creation and focus on training
We are daydreamers. We are businesslike people who analyse the market and pay great attention to our customers in order to give them products fulfilling their wishes as well as our Dream. We keep on moving, we have curiosity in our genes, we know that we need to learn what we thought we already knew.
Teddy Brands
Dressing people to make our dream come true
This is the way we experience work, every day, to develop ourselves and last further 500 years.
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TEDDY GROUP | Growing with a Dream
Our year 2016
In order to fulfil its Dream, Teddy’s corporate strategies are based on 4 strategic pillars:
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2 A customer-driven approach
Shared leadership
We are a customer-oriented company, driven by the needs and wishes of our customers. We created and gave a name to our ideal customer avatar: Marinella.
Our corporate culture is based on the wish to build something great, in which anyone can become a creator.
We study her behaviour and her opinion, which is always essential to us.
Our leadership style is characterized by a shared spirit of entrepreneurship and shared leadership as well as a strong sense of belonging.
We make a promise to her through our brands: she will have a great experience with us, and we try to keep it every day.
In this way we can cultivate “homemade” talents and future leaders.
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4 Focus on efficiency
Long-term growth
Efficiency is to us the ability to achieve results with the least possible expenditure of energy.
We grow every year and aim at doing it with a long-term vision. Our fuel are the profits we reinvest in jobs. We have a sustainable organic growth, which allows us to take independent decisions and quickly react to market developments.
We constantly and strongly focus our attention on efficiency and costs in any corporate department and at any organization level. Our aim is to offer our final customers products at an affordable and competitive price.
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TEDDY GROUP | Growing with a Dream
Our year 2016
At the double towards 2019
€ 622m
The development of the distribution network
Teddy consolidated sales in 2016 was € 622.2m, with an increase of 10.4% compared to € 563.9m in 2015.
In 2016, the number of Rinascimento flagships got to 36 stores. (+24.1% compared to 2015).
With reference to the wholesale distribution of Rinascimento and Miss Miss brands, 2016 was another record year, both in terms of turnover and bottom line. Terranova and Calliope registered very good results and kept on implementing the optimization strategy of their distribution network, which allowed to improve and increase the average takings per point of sale.
+15.8%
compared to 2015
The results we achieved in 2016 seem to confirm that there is room to achieve such a goal.
If the gross margin made in the points of sales by our clients, both franchised and multi-branding stores, is included, our products sales around the world (referred to retail prices) total an estimated amount of about € 1.104bn.
adjusted EBITDA Last update: 2016
+10.4%
To make the Dream come true and keep on building a world company in the fast fashion industry, we set as a goal to achieve net earnings totalling 900 million euros within 2019.
Our turnover kept on increasing on the Italian market (+8.7%) while net earnings on foreign markets are increasing by 11.9%, accounting for 52.9% of the total earnings of the Group.
€ 95.9m
Consolidated sales in 2016
compared to 2015
2017 HIGHLIGHTS
€ 1.104bn
Takings of Gruppo Teddy referred to retail prices
More than 100 Terranova and Calliope flagships were opened in Italy and abroad.
52.6%
Turnover percentage from foreign markets
• investimento nei nostri brand (ricerca, stile, comunicazione, formazione, digitale/IT) • Investment in our brands (research, style, communication, training, digital/IT)
600
Flagships in world (2016)
The level of Teddy profitability was particularly high, with an adjusted Ebitda reaching € 95.9m, with an increase of 15.8%, the highest in the latest five years.
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TEDDY GROUP | Growing with a Dream
Our year 2016
Gruppo Teddy retail and wholesale stores Teddy retail and wholesale stores
Europe
40%
Italy
46%
1%
6%
North America
Asia
2%
Africa
5%
Middle East
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TEDDY GROUP | Growing with a Dream
Our year 2016
Building a business partnership with our franchisees is the way we have chosen to do business, one of our main features, and this proved to be again a great strategic choice: 60% of the new openings in 2016 were franchise stores. Since we started, we perceived that our business had to be a joint venture with our franchisees and we still believe that this is a strategic approach to be developed. Our franchising format ‘on a sale-or-return basis’, which is a distinguishing feature of our
company, is to us not just a great opportunity but the identity and outlook of the entire Teddy, the engine for a constant growth all over the world. Therefore, our relation with franchisees is based on mutual respect and collaboration, ensuring our business partners benefits, services and support. We prefer long-term business relations that allows franchisees to invest in our company and themselves. In time we have established many long-standing collaborations that allowed both parties to grow together and improve the respective business activities year after year, thus gaining mutual competitive advantage.
Gruppo Teddy Franchise stores % out of the total number
Terranova/Calliope /Rinascimento:
70.6%
Teddy franchisee:
Together we grow Growth and development are two key words at Teddy, which aims at becoming an international leading company in its reference market.
The franchisees who can work with our brands are business partners with whom we establish a long-term business relation, who have a good spirit of entrepreneurship, good investment capacity and market knowledge.
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TEDDY GROUP | Growing with a Dream
Only genuine entrepreneurs of themselves
Our year 2016
2.555 people Group employees Last update 31.12.2016
150.000 hours It is the time and resources we invest every year to train our people
Our growth is promoted by the sustained training activity developed at Teddy Group: we have a retail-training hub for store managers, area visual managers and storekeepers like no else in Italy, a real “training ground" where employees can learn the job. The teams working in the Product Departments can attend our Teddy Fashion School to be kept constantly updated. On the top of our training activities, there is our corporate university, TEDDY500, whose goal is to make our company last further 500 years.
Teddy’s secret is shared entrepreneurship, the contribution each one can give as "entrepreneur of himself", which is one's own passion, creativity, ability to find easy solutions to complex problems. Promoting talents and creating job opportunities, which is one of the basic elements of Teddy Dream, is something essential to us. This is the aim of the plan we launched providing for 1,000 direct hiring opportunities in Italy and abroad in the period 2015-2019. Recruitment for us goes hand in hand with training, so we can have the right customer management and business development skills. We are always looking for passionate people who wish to become protagonists of their own professional life and build a company to turn it into a leader in its market. Our motto in job ads is therefore “Genuine entrepreneurs of themselves only". We aim at offering career development opportunities, promoting the growth of people inside our company. It is the case of many of the managers currently working with us who have previously worked in our stores, which is an experience we regard as essential to further career advancements. Or the case of many people who started working in junior positions in our company and later became department managers.
We are investing in the growth of our internal resources very much, with the aim of “cultivating" our own talents and make them the future managers.
1.000
New hires planned in Italy and abroad in the period 2015-2019.
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TEDDY GROUP | Growing with a Dream
Our year 2016
Teddy S.p.A. - Via Coriano 58 - GROSRIMINI Blocco 97 - 47924 RIMINI (RN) ITALIA teddy.it
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