A continuous wish to evolve solid brands and a renovated headquarters affect the annual accounts

For the management of Yab Yum Clothing Co., the number showing in the result of the annual report is more than just a stand-alone when it comes to measuring the year's success. The driving force concerning creating solid brands and the urge to cultivate a healthy work environment among the employees are wishes to be seen as a trinity with economic growth. This vision is this year shown in updated physical surroundings for the brands and their employees. 

The fashion company behind the two brands Gabba and Blue de Gênes exits the financial year 2022 with the result of 5,4 million Danish kroner. The gross profit drops from 31,3 to 26,7 million. While the turnover shows an increase of 16 % compared to 2021. The equity amounts to 33,7 million.

The corporation has, in 2022, intensified the work of the company values already existing in the environment of both brands. The year has included a transfer of ownership where the founder Ole Madsen is replaced by his two sons, Nikolaj and Jakob Madsen. 

The management reports: "We see our results as being satisfying. We have invested in development and growth, including investments in our competent employees and in marketing activities which, of course, affects the result. In 2022 we ended the renovation of the headquarters in Kolding, which already acts as a great and inspiring framework for our employees and partners. We still evolve our input to environmental matters by decreasing the use of environmentally harmful energy and materials. In addition, we have gained GOTS and GRS certifications which demand significant requirements for our production and operations". 

Besides a satisfying result for the annual report of 2022, it is the belief by the management that the outcome of 2023 will be influenced by factors such as geo-political uncertainty, inflation, changes in interests and the like. Also, because of a dramatic shift in retailers' budgets and buying patterns, there is a more extensive span in the assumptions for the following result. Nikolaj Madsen continues: "The expectations for 2023 will lead to a reduction of costs in marketing, but we will still see higher costs in personnel, rent etc., due to our mentioned ambitions. We will still face the demands by focusing more on the products and their quality. We continue being digitally updated and are soon ready to launch new solutions for inventory related to stores. We feel very optimistic and are profoundly proud of what we have achieved as brands and as a company."