Finnish fashion and design company Marimekko Corporation has reported a positive third quarter in fiscal 2023 (Q3 FY23), with an increase in net sales by 9 per cent, rising to €47.9 million compared to €44.1 million in the same period last year. The company attributed this growth primarily to a surge in wholesale sales both domestically and internationally.

The company’s performance in Finland was solid with a 6 per cent increase in net sales, achieving €28.2 million up from €26.7 million, bolstered by an 18 per cent rise in domestic wholesale sales due to nonrecurring promotional deliveries, Marimekko said in a media release.

Internationally, the company experienced a 13 per cent growth in sales, with the Asia-Pacific region, Marimekko's second-largest market, seeing an 11 per cent increase to €9.2 million. In particular, wholesale sales in the Asia-Pacific region were robust, marking an 8 per cent growth, and despite a modest 1 per cent increase, Japan remains the most significant country in this region for Marimekko.

The third quarter also saw an impressive operating profit of €12.9 million, up from €11.1 million in the previous year, with a comparable operating profit of €13.1 million. The growth in operating profit was credited to the increase in net sales and an improved relative sales margin, the release added.

“Our good development continued in the third quarter. Our net sales grew both in Finland and internationally, and our operating profit improved. Nine Marimekko stores were opened in Asia. We are continuing the determined scaling up of our profitable growth,” said Tiina Alahuhta-Kasko, president and CEO.

Looking at the first nine months of FY23, Marimekko's net sales rose by 5 per cent to €123.5 million, up from €118.1 million. This increase was particularly notable in international wholesale sales, which grew by 10 per cent, while Finnish net sales remained steady. The operating profit for this period slightly dipped to €23.3 million compared to €23.4 million in the same period last year, with a comparable operating profit at €23.7 million.

Fibre2Fashion News Desk (DP)

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