• Excellent third quarter of 2011 for Essanelle Hair Group

• Sales increase to EUR 95.0 million after nine months

• EBT increases by 80.1% from EUR 1.8 million to EUR 3.3 million

Düsseldorf, 18 November 2011 – Essanelle Hair Group AG was able to slightly increase sales revenue and significantly improve earnings performance indicators in the third quarter. After the first nine months of 2011, the company generated sales amounting to EUR 95.0 million, 1.1% above the previous year’s EUR 94.0 million. The generally good consumer demand and the positive performance of the concepts have contributed to this development.

Regarding the individual salon concepts, HairExpress was able to contribute the highest level of growth in the first nine months with an increase by 7.9% to EUR 28.4 million (previous year: EUR 26.3 million). Super Cut increased sales by 2.1% to EUR 15.9 million after recording EUR 15.6 million in the same period of the previous year. The essanelle Ihr Friseur concept generated EUR 42.2 million after EUR 43.3 million
(-2.7%). The Beauty Hair Shop concept, which specialises in the sale of exclusive hair care products, generated sales of EUR 5.0 million, which ranged slightly above the previous years’ level of EUR 4.9 million. The TOP TEN brand grossed EUR 3.5 million compared to EUR 3.8 million. By the end of 2010, the Essanelle Hair Group had already sold the trademark rights of TOP TEN. By 1st October 2011, the company had sold 19 of the remaining 29 salons and had modified the other 10 salons in line with the other concepts.

Achim Mansen, CEO of Essanelle Hair Group AG said: ”We announced at the beginning of the year that we would focus entirely on our three big concepts, essanelle Ihr Friseur, Super Cut and HairExpress and force growth there. Even if we lose sales in the short term this is strategically the correct step for us.“

Earnings significantly higher than previous year

Essanelle Hair Group AG was able to significantly increase earnings performance indicators in the first nine months of 2011. Compared to the previous year, earnings before interest, taxes, depreciation and amortisation (EBITDA) increased by 21.7% from EUR 5.9 million to EUR 7.2 million. Earnings before taxes (EBT) increased by 80.1% from EUR 1.8 million to EUR 3.3 million in the first three quarters of 2011. The result per share thereby amounts to EUR 0.43 compared to EUR 0.24 in the previous year.

Regarding this, Mansen says: ”In view of the strong results from the first nine months, our focus on the earnings situation has paid off. We range above our expectations in this regard. However, we remain cautious regarding a projection for the full year. First of all, the TOP TEN salons that have been sold are not going to deliver any sales or profit contribution in the coming months. Secondly, the traditionally strong fourth quarter decides the final increase rates for the full year. From today‘s perspective we do not expect a sales increase for 2011 due to the sale of the TOP TEN salons. But we do expect to achieve the projected EBT increase of at least 5% - and even to surpass it in the course of normal business activities.“

Further details regarding the first nine months of are available in the Quarterly Report 3/2011 .

Kontakt:
Haubrok Investor Relations
Michael Müller
+49-21 56-49 65 195
M.Mueller@haubrok.de