Home / Knowledge / News / Apparel/Garments / Marimekko Group's nine months' sales rise 9%
Marimekko Group's nine months' sales rise 9%
07
Nov '13
Marimekko Corporation announces result from time period from 1 January - 30 September 2013.

In the January-September period of 2013, the Marimekko Group’s net sales grew by 9 percent relative to the same period last year. International sales rose by 20 percent, mainly due to the stores opened in North America and the Asia-Pacific region during the period under review and in 2012. In the July-September period of 2013, the Group’s net sales rose by 3 percent.

Operating profit for the January-September period of 2013 includes EUR 1.5 million in nonrecurring expenses due to arrangements arising from the statutory employer-employee negotiations concluded during the second quarter. Operating profit excluding nonrecurring items in the January-September period was EUR 2.1 million (2.0).

In the July-September period, operating profit was EUR 3.1 million (3.5). Operating profit for the review period was boosted by growth in wholesale sales in the Asia-Pacific region, an improvement in the profitability of company-owned stores in Finland in spite of a fall in comparable sales, and by growth in the company’s textile printing factory’s operating rate as well as enhanced operational efficiency.

In the last quarter of 2013, Marimekko will continue to make moderate investments in growth, concentrating on improving profitability, particularly by enhancing the operations of the stores opened in 2012.

Market outlook and growth targets

General uncertainty in the global economy is forecast to continue, and this may affect consumers’ purchasing behaviour in all of Marimekko’s market areas. The economic prospects for Europe are still gloomy, and growth is slow in the region. However, the economic outlook has taken a slight upturn. In the United States and Asia, economic forecasts are better than in Europe.

In the United States, the growth prospects have, however, slightly weakened in the past months, but in Asia, the economic groth is anticipated to continue stronger than in other regions. In Finland, market conditions are weak, and economic forecasts by trade and industry for the next few months are clearly below normal. Economic conditions are also expected to remain weak, and retail sales are forecast to decline. (Confederation of Finnish Industries EK: Business Tendency Survey, November 2013).

In Finland, consumer confidence continued to deteriorate in the third quarter of the year and the autumn was exceptionally warm. Consequently, the downturn in the comparable sales of Marimekko’s own stores in Finland accelerated. The negative trend of company-owned stores in Finland also continued in October, casting a shadow over prospects in Finland for the end of the year and especially for Christmas trading which is important to Marimekko.

The stores opened in 2012 and other major investments in expanding the distribution network will bring a considerable increase in sales in 2013. The main thrust in expansion this year is on openings of retailer-owned Marimekko stores and shop-in-shops.

The company will also invest in developing the operations of the stores it opened in 2012. Marimekko announced in January that the aim was to open 15 to 24 new stores this year. The number of stores to be opened has been confirmed as 34, of which 6 will be company-owned.

The planned total investments for 2013 of the Marimekko Group are estimated as being in excess of EUR 3 million. Most of the investments are devoted to building new retail facilities and purchases of fittings.

Marimekko

Must ReadView All

Prime Minister Theresa May speaking on the UK government's negotiating objectives for exiting the EU. Courtesy: UK government

Textiles | On 18th Jan 2017

UK to pursue trade agreements with other countries

The United Kingdom will pursue free trade agreements with the EU and...

Courtesy: Alibaba Group

Apparel/Garments | On 18th Jan 2017

Alibaba forges global alliance to fight counterfeiting

Jack Ma led Alibaba Group has forged an alliance with various global...

Information Technology | On 18th Jan 2017

eBIZ 4.0 to digitise European fashion supply chain

eBIZ 4.0 is a new step of eBIZ, the public-private initiative that...

Interviews View All

Siddharth Biyani
Mangalam Industries Pvt Ltd

‘The manufacturing sector is improving day-by-day, becoming better in...

Rajiv Sirohi
Shara

‘Portugal is taking away a major share of the mill made sector.’

Sonia Agarwal
Whitenife

‘The terms eco-friendly and organic are common but everyone perceives them ...

Suresh Patel
Sidwin Fabric

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

Steve Cole
Xerium Technologies

Steve Cole of Xerium Technologies discusses the industry. Xerium is the...

Urs Stalder
Sanitized AG

Urs Stalder, CEO, Sanitized AG, talks about the increasing use of hygiene...

Robert Brunner
Devereux

Golfwear and menswear brand Devereux is set for greener pastures. Robert...

Sonam & Paras Modi
SVA

Sonam and Paras Modi's Sva Couture is synonymous with head-turning...

Mike Hoffman
Gildan Activewear SRL

Gildan Activewear, a manufacturer and marketer of branded clothing and...

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
January 2017

January 2017

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

SUBSCRIBE


Browse Our Archives

GO


eNEWS
Insights
Subscribe today and get the latest News update in your mail box.
Advanced Search