September 9, 2021
Tod’s is bouncing back thanks to the Chinese market and e-tail channels. In the first half of 2021, the Italian luxury shoe group increased sales by 55.1% to € 398.4 million, supported by the strong performance of its labels Tod’s and Roger Vivier. However, before the pandemic, the Group’s revenue was 10.9% below its revenue in the first half of 2019.
NS Tod’s Group and also owner Hogan When FayeRecovered some profitability between January and June this year, reducing its net loss as of June 30, 2021 from € 80.6 million in the previous year to € 20.7 million. In the first half of 2021, the Group also generated an EBITDA of € 64.9 million, compared to an operating loss of € 18.7 million recorded in the first half of 2020.
EBIT was in the red, but only € 2.7 million, in contrast to the loss of € 94.1 million in the year-ago quarter. According to Tod’s, the results were primarily affected by “an exceptional equity depreciation of € 30 million”. Significant increases in raw material costs and logistics costs also contributed.
“In the second quarter of 2021, we saw the group’s performance accelerating, especially in areas where stores are fully operational. China’s growth is particularly remarkable, but due to the lack of tourism. Results of still weak performance in disadvantaged areas. Roger Bibie As well as consumer feedback on Tod’s’ latest collection of both shoes and leather goods, it’s very satisfying. We are also very pleased that the first sold-out of the autumn collection currently on sale in stores was strong, “CEO Diego Della Valle said in a press release.
Della Valle emphasized “the excellent results of the e-tail channel, thanks to the large investment in digital technology,” without providing the group’s e-tail sales figures. Investment closely linked to Tod’s Group’s new strategy of targeting young customers will drive its product range and advertising revitalization.
In the first half of 2021, sales of Tod’s, the group’s top label, surged 50.9% to € 188 million (although it decreased 17.1% compared to the first half of 2019). Roger Vivier sales increased 83.6% to € 112.7 million, an increase of 14.2% compared to the pre-Covid period in the first half of 2019.
Geographically, Greater China, the group’s main market with a revenue share of 39.2%, recorded the strongest growth (110.2% in the first half of 2020, 43.5% in the first half of 2019) and the Americas (up 58.2%). ), Italy followed. (+ 35.5%, currently accounting for only 22.3% of total revenue), the rest of the world (+ 33.8%), and other Europe (+ 22.1%).
Group retail sales increased 57.7% to € 292 million and wholesale channel sales increased 48.2% to € 106.4 million. As of June 30, Tod’s Group had 304 retail stores and 96 franchise stores, compared to 292 and 112 last year, respectively.
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Tod’s cut losses by a quarter in the first half
Source link Tod’s cut losses by a quarter in the first half