Home / Knowledge / News / Apparel/Garments / Stockmann: Affordable fashion market to improve in autumn
Stockmann: Affordable fashion market to improve in autumn
16
Aug '12
Stockmann Group announces Interim Report from April-June 2012.
 
Highlights: 
 
- Consolidated revenue was up 5.3 per cent to EUR 537.2 million (EUR 510.2 million). 
- Operating profit was up 16.0 per cent to EUR 29.7 million (EUR 25.6 million).
- Consolidated revenue was up 7.6 per cent to EUR 987.5 million (EUR 917.9 million). 
- Operating profit was EUR 13.4 million (EUR -4.4 million).
- Result for the period was EUR -2.3 million (EUR -20.1 million).
- Earnings per share came to EUR -0.03 (EUR -0.28).
- Full-year outlook unchanged: Revenue and operating profit expected to be above the previous year's figures, provided that the market sentiment does not significantly worsen. 
 
CEO Hannu Penttilä:
The Stockmann Group’s revenue continued to grow in the second quarter of 2012. In the Department Store Division the growth was boosted by the successful Crazy Days campaign and the continued good performance in the newest department stores in Russia. Lindex improved its revenue and gained market share in all markets. 
 
We improved operating profit by EUR 4.1 million in the quarter and thus continued the strong performance started earlier this year. Operating profit improved significantly in Russia, despite the loss-making Bestseller operations which will be closed during 2012. Lindex benefitted from successful summer collections and made a clear improvement in its earnings in the quarter.
 
Seppälä’s performance has been weaker than expected. We established a common Fashion Chain Division which aims at accelerating growth and benefiting from synergies in both the Lindex and Seppälä fashion chains. 
 
Market outlook for the second half of the year remains uncertain due to the unresolved European debt crisis. We are, however, well positioned to achieve the targeted revenue and operating profit growth for the full year, provided that the market sentiment does not significantly worsen. 
 
The Stockmann Group’s long-term financial targets are: a minimum of 20 per cent return on capital employed, a minimum of 12 per cent operating profit margin, sales growth above the industry average, and an equity ratio of a minimum of 40 per cent. The Board of Directors decided in June 2010 to set the timetable for achieving the long-term targets at 2015. 
 
Due to the continuing economic uncertainty and the unresolved European debt crisis, the Board has now stated that the long-term financial targets will remain as they are, but achieving the targets in the set timetable will not be realistic in the current market environment. 
 
 


Must ReadView All

Courtesy: Michael Kors

Fashion | On 25th Jul 2017

Michael Kors to acquire Jimmy Choo

Global fashion luxury brand Michael Kors Holdings Limited has reached ...

Apparel/Garments | On 25th Jul 2017

VF Corp posts $2.4 billion revenue for Q2 2017

VF Corporation has recorded revenue of $2.4 billion, up 2 per cent,...

Textiles | On 25th Jul 2017

Egypt signs agreement with UNIDO for cotton production

Egypt has signed a €1.5 million ($1.74 million) cooperation agreement ...

Interviews View All

Karel Williams
Dow Microbial Control

'Silvadur is most rapidly adopted in areas where hygiene-conscious and...

Sanjay Yagnik
Maa Tex Speciality

‘We suggest reducing dosage of sizing chemicals to reduce sludge...

Md Hanifur Rahman
Aman Group

The level of understanding the job role and organisational requirements...

Suresh Patel
Sidwin Fabric

Sidwin Fabric is a manufacturer and exporter of polypropylene textiles and ...

Mark Paterson
Technical Absorbents Ltd

Mark Paterson, R&D manager of Technical Absorbents Ltd talks about Super...

Giorgio Mantovani
Corman S.p.A

Giorgio Mantovani, MD of Corman, with a presence in both Milano and New...

Pranav Mishra
Huemn

Designers Pranav Mishra and Shyma Shetty’s Huemn is known for its...

Aditi Somani
Aditi Somani

Aditi Somani specialises in luxury fusion wear with international cuts and ...

Judy Frater
Somaiya Kala Vidya

Among the many honours showered on Frater, including Fulbright and Ford...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

July 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Planning to Take the Leap towards
Sustainability?

Do you see sustainability as a route to business growth?

Yes No

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes No

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Thanks for your valuable feedback. Claim your free latest sustainability e-book.


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search



X