The Munich retailer Ludwig Beck does not expect to achieve the result previously forecast for the 2023 financial year.
In mid-October, after a setback in the third quarter, Ludwig Beck hoped to be able to achieve his goals for the current financial year, but now the previously forecast result needs to be adjusted, it was said on Thursday from Munich.
For Ludwig Beck Ag, which includes the headquarters on Marienplatz, the beauty branch in the Fünf Höfe in Munich and the company’s beauty online shop, the board of directors expects a loss before interest and taxes (EBIT) of around 0.6 million euros. To date, the company has assumed a balanced operating result. At group level, i.e. including Ludwig Beck Beteiligungs GmbH, in which the company’s real estate holdings are pooled, an operating result of around 3.1 million euros is expected. Previously, the target was an EBIT between 4.0 and 5.0 million euros.
The reason for the adjustment of the earnings forecast were two special effects. On the one hand, the company had to accept a book loss of 1.2 million euros due to a real estate transaction that was reversed, and on the other hand, the onset of winter and the subsequent rail strikes by Deutsche Bahn severely affected the Christmas business, which was crucial for the fourth quarter.