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[August 2000]
Record Interim Results for Waterford Wedgwood
For the six months ended 30 June 2000, Waterford Wedgwood posted record sales up 30% to 447 million euros; record operating profit up 38% to 29.5 million euros and record pre-tax profit up 31% to 18.2 million euros.
The ceramics side of the business recorded sales up 18% to 202.7 million euros, representing 45% of group sales. Chairman Dr Anthony O'Reilly said:
"Outstanding progress was made in 2000, with ceramics sales up 18% to 202.7 million euros and within this, Wedgwood brand sales up by 22%.
"Sales in the all-important US market were up 15%, a highly encouraging development due to continuing new product introductions and to the energetic promotional efforts of Sarah, Duchess of York. The recovery taking place in the Asian and Japanese markets significantly enhanced Wedgwood's sales. These increased by 78% and 15% respectively, demonstrating the success of our strategic investment in new products and new retail environments in Japan. All markets were ahead of last year with Continental Europe up 15%, UK and Ireland up 3% and Australia up 16%.
"Wedgwood is well advanced on the repositioning of its brand to reflect the core values of 'Authentic English Style'. This includes a new brand advertising campaign, stunning new retail fixturing and new products which meet the consumer demand for 'special casual' and exciting design. New collections by designers Nick Munro and Paul Costelloe have brought freshness, excitement and a very positive customer response.
"The Rosenthal brand has seen a strong improvement during the first half of 2000, with an increase in sales of 5%, despite the continuing difficult conditions in its home market. Rosenthal's operations in the US increased sales by 29% with the continued focus on design orientated product ranges accelerating this sales momentum. Rosenthal has successfully launched several new product ranges as well as benefiting from the continuing success in sales of its sought-after Bulgari and Versace luxury ranges.
"With the acquisition of Hutschenreuther, a marvellous German brand and previously a significant rival, the Group has vastly increased its market share in Germany to over 33% and is certain to benefit strongly from the restructuring of this crowded market."
ENDS