(31/08/2007) VAN DE VELDE : Halfyearly results 2007

Results for the first half of 2007 Results prepared in compliance with International Financial Reporting Standards +--------------------------------+-----------+-----------+------+ | Results in millions of euros |30.06.2007 |30.06.2006 |+/- % | +--------------------------------+-----------+-----------+------+ | | IFRS | IFRS | | +--------------------------------+-----------+-----------+------+ | | | | | +--------------------------------+-----------+-----------+------+ |Net turnover | 67.0 | 63.5 | 5.5 | +--------------------------------+-----------+-----------+------+ |Operating income | 67.9 | 64.2 | 5.8 | +--------------------------------+-----------+-----------+------+ |Operational cash flow (EBITDA) | 23.9 | 22.3 | 7.2 | +--------------------------------+-----------+-----------+------+ |Operating profit (EBIT) | 22.5 | 21.5 | 4.7 | +--------------------------------+-----------+-----------+------+ |Net financial result | 1.7 | 3.1 | | +--------------------------------+-----------+-----------+------+ |Result before tax | 24.2 | 24.6 | -1.6 | +--------------------------------+-----------+-----------+------+ |Tax | 7.2 | 6.5 | 10.8 | +--------------------------------+-----------+-----------+------+ |Result after tax | 17.0 | 18.1 | -6.1 | +--------------------------------+-----------+-----------+------+ |Share in the result of Intimacy | 0.1 | | | +--------------------------------+-----------+-----------+------+ |Group share in the profit | 17.1 | 18.1 | -5.5 | +--------------------------------+-----------+-----------+------+ +--------------------------+-----------+-----------+ | (in euros per share) | 06.2007 | 06.2006 | +--------------------------+-----------+-----------+ |Number of shares |13,556,710 |13,556,710 | +--------------------------+-----------+-----------+ |Result before tax | 1.78 | 1.81 | +--------------------------+-----------+-----------+ |Result after tax | 1.26 | 1.33 | +--------------------------+-----------+-----------+ |Group share in the profit | 1.26 | 1.33 | +--------------------------+-----------+-----------+ |Closing price on 30/06 | 38.29 | 32.72 | +--------------------------+-----------+-----------+ +-----------------------------------------------+------+------+------+ | Concise Balance Sheet in millions of euros |06.07 |12.06 |06.06 | +-----------------------------------------------+------+------+------+ |Fixed assets | 54.1 | 48.2 | 44.4 | +-----------------------------------------------+------+------+------+ |Liquid assets | 90.2 | 92.8 | 84.9 | +-----------------------------------------------+------+------+------+ |Total assets |144.3 |141.0 |129.3 | +-----------------------------------------------+------+------+------+ | | | | | +-----------------------------------------------+------+------+------+ |Shareholders' equity |113.7 |126.8 |111.7 | +-----------------------------------------------+------+------+------+ |Provisions, deferred taxes and tax liabilities | 3.5 | 3.5 | 3.5 | +-----------------------------------------------+------+------+------+ |Debts | 27.1 | 10.7 | 14.1 | +-----------------------------------------------+------+------+------+ |Total liabilities |144.3 |141.0 |129.3 | +-----------------------------------------------+------+------+------+ Main Developments in H1 2007 Net turnover The rise in turnover (+5.5%) was principally outside the euro zone (+21.3%) and in the growth markets. Growth continues to be positive for all labels. Operating profit (EBIT) EBITDA (+7.2%) rose sharper than turnover due to the retention of the gross margin, the positive impact of the fall of the US dollar on production costs and less strong growth in sales costs. EBIT (+4.7%) grew in line with turnover. Last year was marked by the withdrawal of a provision (E0.4 million) for a dispute with a former Italian distributor. Taxable profit was E0.4 million lower than last year, when it included a non-recurring exchange rate profit of E1.9 million on a HK dollar loan. When this exchange rate profit in 2006 is disregarded, taxable profit rose by 6.6%. Tax rose by 10.8%, which means that the tax burden was again 29%. This tax burden fell to 26% in 2006 due to the liquidation of Osedis. The result after tax increased by 4.9% when the non-recurring exchange rate profit on the group loan with Guliano and the non-recurring recovery of tax losses pursuant to the liquidation of Osedis are disregarded. Balance sheet movements The increase in fixed assets compared with the opening balance sheet was a consequence of the participation (E11.8 million) in the US distribution chain Intimacy Management LLC. A share of E0.1 million in the result of Intimacy Management LLC has been included in the group result of Van De Velde since 28 March 2007, in accordance with the equity method. A fall in the Hong Kong dollar and a fall in the price of the Top Form International share led to a fall in the participation in Top Form International. This was E22.1 million, a reduction of E5.1 million compared to the opening balance sheet. The share price of Top Form International has fallen below the reference price of HK$1.15 per share since 30 June 2007. If the share price continues to trade below the reference price in the second half of 2007, the difference between the share price on 31 December 2007 and the reference price will be deducted from the consolidated result. Prospects Expected growth in turnover for the year as a whole is 5%. The growth in turnover achieved in the spring will thus continue in the second half of the year. We expect EBITDA growth of approximately 5%. Write-downs on stocks continue to be difficult to project. Financial calendar - Turnover figures 2007 Wednesday 9 January 2008 - Results 2007 Friday 16 February 2008 - General Meeting of Shareholders Wednesday 23 April 2008 REPORT OF THE STATUTORY AUDITOR ON THE ACCOUNTING DATA IN THE HALF-YEAR PRESS RELEASE OF VAN DE VELDE N.V. We have compared the accounting data in the half-year press release of Van De Velde N.V. with the accounts closed on 30 June 2007. We confirm that there are no significant discrepancies between these accounting data and the accounts. Ghent, 29 August 2007 Ernst & Young Bedrijfsrevisoren BCV Statutory Auditor represented by Jan De Luyck Van de Velde NV is one of the market leaders in the luxury and fashionable women's lingerie sector. Van de Velde is convinced of a long-term strategy of expanding and developing labels around the Lingerie Styling concept (fit, style and fashion). Van de Velde's primary focus here is on Europe and North America. For more information contact: Van de Velde NV - Lageweg 4 - 9260 Schellebelle - 09 365 21 00 www.vandevelde.eu Ignace Van Doorselaere CEO Luc Markey CFO Copyright Hugin [CN#124485]