LS travel retail sales in 2013 totalled €2.8bn (US$3.8bn) up 5.4% on a reported basis and up 3.5% like-for-like, fuelled by growth in the Duty Free (+14%) and Food Services (+13%) segments.
On a like-for-like basis, substantial growth in business activity was posted for Asia (+29.5%), Romania (+7.5%), the Czech Republic (+5.6%) and Poland (+4.9%).
These positive factors were partially offset by the decline (though less so at year-end) of printed products (Travel Essentials segment sales are slightly down at -1% vs 2012), and a slowdown in the growth of air traffic, though with an improvement at year-end.
As previously reported by TRBusiness.com, net sales at Lagardère Group fell by 2.1% (on a reported basis) and 1.3%, on a like-for-like basis, for the FY 2013, reaching €7,216m (US$9,866), with travel retail offsetting a more disappointing performance by posting an increase in sales of 5%.
[Above: Aelia Duty Free store at Roma Airport.]
The Group says the difference between reported and like-for-like figures is essentially due to a negative currency effect (€112m on the pound sterling, the US dollar and the Australian dollar), partially offset by the positive effect (+€55m), of acquisitions in Travel Retail (Rome airports, DFS Wellington in Australia/New Zealand.
In the fourth quarter, LSTR opened 13 fashion sales outlets at the new domestic airport in Shenzhen (China) and on 4 December 2013, the acquisition of fashion businesses at Schiphol Airport (Amsterdam) was announced, comprising 12 sales outlets spanning an area of 2,400sq m, which realised net sales of €54m in 2012.
On 15 January 2014, it was announced that a tender had been won at Warsaw Airport consisting of 25 sales outlets in Duty Free & Luxury, Travel Essentials and Food Service and spanning an area of 3,000sq m.
Operating in more than 25 countries throughout Europe, North America, Asia and the Pacific, LS travel retail, a division of Lagardère Services, operates 2,700 stores across the world, including a presence at over 130 airports and 700 stations. It runs the largest international network of duty free and luxury, travel essentials and foodservice stores.