Aeffe reports Q1 FY20 revenue of €76 million

19 May '20

2 min read

Pic: Aeffe/ Alberta Ferretti

Aeffe SpA, a fashion and luxury goods company, reported 25.4 per cent decrease in its revenue to €76.2 million in first quarter (Q1) FY20 ended on March 31, 2020 compared to €102.2 million in same period prior year. Net profit for the group were €4 thousands (Q1 FY19: €11.8 million). Revenues of the Ready-to-wear division fell 30 per cent to €54.4 million.

Revenues of the footwear and leather goods division decreased 7.9 per cent to €30.7 million.

“The first quarter of 2020 was affected by the Covid-19 pandemic effects which led the various governments of the countries where the group operates to adopt rigorous lockdown measures to contain the spread of the virus, resulting in severe restrictions on people circulation and business operations,” Massimo Ferretti, executive chairman of Aeffe Spa, said in a press release.

Revenues in Italy decreased 21 per cent to €36.4 million (€46.1 million). Sales in Italy were affected due to both the wholesale and retail channels, which all suffered from the rigid measures to contrast the spread of the pandemic in terms of suspension of non-essential activities starting from the second week of March.

Revenues in Europe (except Italy) fell 10.6 per cent to €20.7 million (€23.1 million). Russia, UK and Germany outperformed the average of the area. Both distribution channels were impacted by the emergency due to the pandemic.

Revenues in Asia and Rest of the World were down 44.5 per cent to €15.4 million (€27.8 million). Company reported that the far east area has been hardly impacted by the restrictions imposed to limit the virus, while middle east has experienced a less significant drop. The Greater China area reported a 42 per cent decrease over the period; in the last few days the region has recorded positive signs in terms of sales and the traffic in the stores is showing a recovery trend.

Sales in America were down 29.6 per cent to €3.5 million (€5.1 million).

By distribution channel, wholesale revenue decreased 26.6 per cent to €55.5 million (€75.7 million). Retail channel sales fell 23.1 per cent to €17.9 million (€23.2 million).

Fibre2Fashion News Desk (JL)

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