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Lafuma reports 49% jump in H1 profit

06 Jun '06

2 min read

At a key phase both in its development and in implementing a new organizational structure, the outdoor specialist Lafuma Group has posted 16.5 percent growth in its operating earnings and +49 percent in net earnings to €2.1 million for the first half of FY 2005/2006.

In a closer examination of these results, the following elements are noteworthy:

-- Oxbow demonstrated its potential for growth and profitability with a sharp rise in earnings generated from an increase in sales of 14 percent and better profit margins backed by group synergies.

-- The continuing difficulties in the camping furniture business impacted overall profitability in the generalist division, in spite of the positive performance in the other product ranges (+7.5 percent in sales) largely in Lafuma clothing and footwear.

-- Recurring solid growth for Millet (+17.5 percent) has resulted in a very high financial performance tending towards new record levels.

-- Business in the Country division with Le Chameau has slowed due to stagnation in activity and an increase in costs.

Moreover, the new group organization in France and abroad is currently being set up according to schedule and will be fully operational in FY 2006/2007, accelerating synergies as well as the 5-year business plan.

The outlook for the overall fiscal year will be for an increase in results based on both organic growth of about 4 percent and the successful integration of Oxbow.

Lafuma Group - The Group's principal activities are to manufacture and distribute outdoor equipment including apparels, shoes, backpacks, camping equipments, climbing ropes and other accessories. During the fiscal year they acquired Oxbow which specialises in the manufacture of water boards, snow boards and related equipment. It has a global presence.

Lafuma Group

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