LUDWIG BECK AG released its half-year financial report for fiscal year 2026, revealing a 1.9% decrease in gross sales to EUR 37.1 million compared to EUR 37.8 million in the same period last year. The decline mirrors broader challenges in the German fashion retail sector, which according to TW-Testclub experienced a 4% drop in sales during the first half of 2026. The weak start to the year, marked by cool weather that dampened demand for spring and summer collections, was compounded by subdued consumer sentiment amid economic uncertainties and geopolitical risks.
Sales in the textile segment fell slightly to EUR 28.6 million (previous year: EUR 29.0 million), while non-textile sales decreased to EUR 8.5 million (previous year: EUR 8.8 million). The company's online shop also recorded a decline. LUDWIG BECK faced additional headwinds in its Munich city center location, where access to Marienplatz was hampered by infrastructure and transport policy issues.
Gross profit decreased to EUR 15.1 million from EUR 15.5 million, with the gross profit margin slipping to 48.2% from 48.8% due to higher price reductions. Cost of goods sold remained stable at EUR 16.2 million. Other operating income rose slightly to EUR 2.0 million, while personnel expenses held steady at EUR 8.1 million and other operating expenses fell to EUR 6.5 million from EUR 6.8 million. EBIT improved to EUR -0.8 million from EUR -1.0 million, and the financial result worsened to EUR -1.5 million from EUR -1.4 million. Earnings before tax stood at EUR -2.3 million (previous year: EUR -2.4 million), and earnings after tax were EUR -2.6 million (previous year: EUR -2.7 million).
Looking ahead, LUDWIG BECK expressed confidence for the third quarter, expecting macroeconomic and consumer conditions to stabilize. The company anticipates a boost from the Munich Oktoberfest, which traditionally contributes significantly to sales. The company's curated assortment, blending classics with trends, positions it to meet diverse customer needs. The detailed half-year report is available on the company's website at kaufhaus.ludwigbeck.de in the Investor Relations section under Financial Publications.
