FRANCE: Etam posts weak Q3 sales
French lingerie and clothing chain Etam saw sales fall during the third-quarter on the back of weak end of season sales and the depreciation of the yuan against the euro.
The company said yesterday (20 October) that for the quarter ended 30 September, sales were down 3.8% to EUR269.4m (US$371m), and down 10.7% on a like-for-like basis. The company said that it was hit by a negative currency impact of EUR3.6m, which mainly related to the depreciation of the yuan against the euro.
In Europe, sales were down 7.2% for the quarter, with the company saying that its performance was "severely impacted" by the first week of the end-of-season sales in France being brought forward to 22 June from 30 June last year. It blamed the move for the 13.2% decline in like-for-like sales over the period.
In China, sales rose 3.9% to EUR89.3m. At constant exchange rates, like-for-like sales were down 2.8% when compared with the same period of the previous year.
The company said that although negative, its sales evolution on winter 2011 collections in France "outperformed the French women's clothing market in specialist chains, which sustained a sharp fall throughout the third quarter".
"The Etam Group has geared itself up to deal with uncertain consumption in Europe in a challenging economic climate and to benefit from China's growth. It is taking the commercial and management steps needed to uphold all its commitments," the company said.
Help test our new apparel sourcing tool.
Falling like-for-like sales and shrinking margins led to a halving of full-year net profits at fashion retailer Etam Group during 2011....
French retailer Etam says its full-year sales grew during 2011, driven mainly by the appreciation of the Chinese yuan against the euro....
- Rana Plaza four years on – Timeline of change
- Using worker surveys to drive supply chain change
- Trump and Brexit get a dose of pragmatism
- No US rush to Myanmar despite end to sanctions
- Where does VF supply chain sit in growth strategy?
- Amazon wins on-demand apparel manufacturing patent
- Driving ban intensifies Myanmar logistics hurdles
- Inditex, Adidas and Patagonia top ethical report
- Calls for supply chain transparency standard
- US textile industry applauds Trump executive order
- Global market review of denim and jeanswear – forecasts to 2022
- When Things Go Wrong - A Practical Guide to Managing Common Problems in Apparel Sourcing
- Myanmar - ISA Country Report
- Southeast Asia strategic sourcing review – a focus on Cambodia, Vietnam and Myanmar
- Clothing Market in the Top 5 American Countries to 2021 - Market Size, Development, and Forecasts