Home / Knowledge / News / Apparel/Garments / Stockmann Q1 net sales slip 7.6% to €395.6mn
Stockmann Q1 net sales slip 7.6% to €395.6mn
29
Apr '14
Stockmann plc, reports Interim results for January-March 2014. The Group's net sales amounted to 395.6 million euros (431.3 million euros), a decrease of 7.6 per cent, excluding discontinued operations, or the franchise down 4.6 percent at comparable exchange rates. Operating profit was EUR -43.9 million (EUR -34.6 million euros). Net income was EUR -40.1 million (EUR -36.5 million). Earnings per share were EUR -0.56 (EUR -0.51). 
 
Updated earnings forecast for 2014
The weak exchange rates and lower than expected Russian and Finnish markets consumer demand due to the Stockmann expects that the Group's euro-denominated revenue will fall in 2014 to 2013 year. Operating profit is not expected to exceed the 2013 level. 
 
Stockmann had previously estimated that the Group's net sales in local currencies would increase slightly in 2014. Increase in net sales was estimated to occur in the second half of the year. Operating profit is expected to be somewhat better than in 2013. President and CEO Hannu Penttilä, "The Russian ruble against the euro was at a historically low level during the first quarter of 2014. Russia's economy has stalled, and consumer purchasing power declined. Also in Finland, the retail market has remained weak. These factors clearly had a negative impact on the Stockmann Group's operations in the first quarter of the year. 
 
Department Store Division's revenue in rubles increased slightly, but a weak currency had a negative impact on Russian operations. Net sales and operating profit increased in the Baltic countries. In Finland, performance improved slightly towards the end of the reporting period. 
 
Reporting period, carried out in April after the Crazy Days campaign, developed in a similar manner. The campaign had a turnover close to the previous year's level in local currencies, but the euro-denominated revenue fell by 6 per cent. Net sales increased in the Baltic countries and Russia in rubles, but sales were down by Russia and Finland to strong sales of e-commerce developments notwithstanding.  
 
Muotiketjujemme different trend continued in the first quarter. Lindex's net sales increased in local currencies and the operating result improved slightly. Seppälä's earnings declined further, despite the store closures and other measures to reverse the outcome for the better.
 
Click here to view full results.
 

Stockmann Group

Must ReadView All

Fashion | On 28th Jul 2016

Gildan acquires Peds for $55 million

Montreal-based family apparel marketer Gildan Activewear Inc....

Textiles | On 28th Jul 2016

Pak to establish “quick response” system for cotton

Concerned over dropping yields of cotton, Pakistan’s Minister for...

Courtesy: GFK

Textiles | On 28th Jul 2016

Brexit halts upward trend in German consumer climate

The consumer climate in Germany weakened slightly in July. Also as a...

Interviews View All

Vidhyaa Shankar. S
A Ganapathi Chettiar

'The usage of knits is getting into the boundaries of woven fabrics'

Binoy Ravjani
Hero's Fashion

‘One of the recent trends in hand block printing is the indigo process,...

Anvita Mehra
Confidential Couture

‘It is going to take some time for Indian buyers to get accustomed to...

Ashok Desai
Bombay Textile Research Association

Bombay Textile Research Association (BTRA) is a leading name in textile...

Mohammad Hassan
Biax Fiberfilm

About one in every 20 patients picks up an infection while hospitalised....

Marcel Alberts
Eurofibers

Coating at a fibre level is a practice not usually seen in the...

Bani Batra

Bani Batra’s couture wedding collection is inspired by traditional Indian...

Yash P. Kotak
Bombay Hemp Company

One of the directors of Bombay Hemp Company, Yash P. Kotak, speaks to...

Silvia Venturini Fendi
Fendi s.r.l

"Yes, my confidence and positive attitude are my strengths and should be...

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
June 2016

F2F Magazine

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

SUBSCRIBE


Browse Our Archives

GO


Advanced Search