TM Lewin embarks on major international expansion
Shirtmaker TM Lewin has embarked on a major period of international expansion in which it will open at least one new store or concession every week for the next three years.
The retailer, which currently operates 58 overseas stores, said that just over half of the new outlets will be in South Africa and India where there will be 46 and 35 openings respectively. The balance will be spread across the Far East, Middle East, Africa and Eastern Europe. TM Lewin is also looking at potential expansion into China, Japan and the United States.
TM Lewin chief executive Geoff Quinn said: “We have received a fantastic reception in many of our new store openings around the world. Clearly our brand is well known within the International business community and this has given us a lot of confidence with our plans.”
News of the international expansion comes as TM Lewin files its accounts for the year ended 2 March 2013. Against the prior year, which benefited from being a 53-week period, revenues were only marginally ahead at £106.7 million compared to £106.5 million previously as the retailer’s performance was impacted by higher cotton and energy costs. EBITDA was £10.1 million compared to £12 million in the prior year following a period of significant investment in the business.
Looking at the current financial year, TM Lewin said turnover in the first six months was 4% up on the same period in the previous year while EBITDA rose by 77%. The retailer said it expects the result for the full year to be “significantly ahead” of last year.
Quinn added: “We are really pleased with our performance to date. Following on from a period of higher input costs which impacted margins, we have had a great bounce back primarily driven by very strong online sales and a whole new range of product that has caught the imagination of our customers. We are very excited about our international expansion and the opportunities it will bring.”
In the UK, TM Lewin operates an online business and 91 stores which currently generate 81% of total sales.
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