Home / Knowledge / News / Fashion / Benetton EBITDA up by 4.1% to 354 million euro
Benetton EBITDA up by 4.1% to 354 million euro
19
Mar '09
The Benetton Group S.p.A. Board of Directors approved the draft 2008 Group Financial Statements.

The 2008 results achieved the Group's preset objectives, despite the deteriorating international economic situation, which became particularly evident in the fourth quarter of the year. Far-reaching structural actions were carried out with resolve in the period and yielded the expected benefits.

Of particular note were the improvement of the supply chain structure with the aim of strengthening service to the network of partners, acceleration of profitable growth in strategic countries, such as the former Soviet Union, India and Turkey, and completion of the new organizational structure based on brand and market Business Units.

2008 Group net revenues showed growth of 3.9% to 2,128 million euro; the increase, after eliminating exchange rate impacts (currency neutral) and on a like-for-like basis, was 5.7%. Apparel segment sales to third parties were 2,034 million euro, with a currency neutral increase of 5.6%. Growth in the financial year was largely determined by the enhancement of the offer with higher value product categories and increased sales volumes, as well as accelerated growth in strategic countries, such as Russia and the former Soviet Union, India, Turkey and Latin America, with the positive trend confirmed by 150 new openings in the year.

EBITDA grew by 4.1% in the year to 354 million euro, benefiting from the positive impact of the substantial actions undertaken, in particular the reduction of the complexity of collections and refinements introduced into the supply chain, with significant improvement in terms of efficiency and effectiveness, also in respect of the sales network.

Net income for the year was 155 million euro, compared with 145 million in 2007, and 7.3% of sales (7.1% in 2007).

Compared with December 31, 2007, working capital increased by 91 million euro, due to the combined effect of the increase in net trade receivables, associated mainly with the growth in apparel sales, the increase in inventories due to the greater incidence of the direct channel resulting from the greater number of companies consolidated and the increase in trade payables, which was also influenced by the new collection calendars and related production planning.

Capital employed grew by 192 million euro due to the increase in working capital commented on above and the net increase in tangible and intangible assets, relative in particular to gross operating investments in the year of 228 million euro and depreciation and amortization of 100 million.

Total net investments were 209 million euro (230 million in 2007) due largely to investments for the sales network, aimed in particular at the Italian, French and Spanish markets, as well as those in priority development countries such as India, Russia, the former Soviet Union and Turkey, and production investments, relating especially to the logistics hub in Castrette di Villorba (Italy) and the manufacturing facility in Tunisia.


Must ReadView All

Courtesy: Amazon

Apparel/Garments | On 23rd Sep 2018

Consumers in Turkey get access to Amazon

Amazon has launched in Turkey giving customers in the country...

Value in omni-channel retail with Flipkart buying: Walmart

Apparel/Garments | On 23rd Sep 2018

Value in omni-channel retail with Flipkart buying: Walmart

With the acquisition of Flipkart, Walmart sees great value in...

E-com to result in common SE Asian consumer market: BCG

Textiles | On 23rd Sep 2018

E-com to result in common SE Asian consumer market: BCG

The rapid spread of e-commerce and digital technologies is binding...

Interviews View All

Kaizad Hansotia, GetNatty

Kaizad Hansotia
GetNatty

Competition is the best thing that can happen to a startup

Headhonchos, Indian textile value chain

Headhonchos
Indian textile value chain

Adopt innovative techniques, go for automisation rather than being...

Poojaa Kumar Deepak, Zeven

Poojaa Kumar Deepak
Zeven

Zeven's performance sports apparel is designed for the Indian body type,...

Apurva Kothari,

Apurva Kothari

No Nasties was the first fashion brand in India to make 100 per cent...

C Dhandayuthapani,

C Dhandayuthapani

MAG Solvics Private Limited was established in 1991 to design and develop...

Mala Alwani,

Mala Alwani

<div>Delhi-based fast fashion womenswear brand, Besiva, aims to bridge the ...

Urs Stalder, Sanitized AG

Urs Stalder
Sanitized AG

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

Robert Erichsen, Statex Produktions & Vertriebs GmbH

Robert Erichsen
Statex Produktions & Vertriebs GmbH

Statex Produktions &amp; Vertriebs Gmbh, founded in 1978 and headquartered ...

Silke Brand-Kirsch, Schlegel und Partner GmbH

Silke Brand-Kirsch
Schlegel und Partner GmbH

<div>Schlegel und Partner is the market research and consultancy company...

Amiben Shroff, Shrujan

Amiben Shroff
Shrujan

From its modest beginning in the late 1960s, Shrujan has grown into a...

Chandani Sahi, By Chandani

Chandani Sahi
By Chandani

By Chandani is a womenswear prêt couture brand with fusion silhouettes by...

Sandeep and Sarah Shaikh Gonsalves, SS Homme

Sandeep and Sarah Shaikh Gonsalves
SS Homme

SS Homme celebrates the craft of traditional tailoring through the bespoke ...

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

Leave your Comments


September 2018

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

news category


Related Categories:

Advanced Search