ITALY: Higher costs, lower sales weigh on Benetton FY
Italian fashion firm Benetton Group SpA has blamed higher raw material costs and a slowdown in consumer spending in the Mediterranean area for a 28.4% drop in full-year profit.
The result confirms a profit warning issued last month, and sees net income for the year fall to EUR73m (US$95.4m) from EUR102m last time. Revenues fell 1% to EUR2.03bn from EUR2.05bn the year before.
The company said it had taken steps to limit the fall in sales and accelerate growth in nearly all countries outside Europe.
Looking to the year ahead, Benetton said it expects "very limited" growth in its main markets in southern Europe, but forecasts "good sales performance" in emerging and high growth countries.
It also sees a slowdown in raw material price inflation, especially for cotton, "with potential positive effects" from the second half of the year. But overall, net income may fall slightly in 2012, it believes.
Meanwhile, the Benetton family is proceeding with plans to take the Italian clothing company private. Its Edizione Srl investment firm already owns a 67.08% stake in Benetton, and last month said it will offer EUR4.6 (US$6) per share or a total of EUR276.6m, for the remaining shares.
While cities such as Milan, Paris, New York and London have historically been seen as the global 'fashion hubs' - acting as meeting spots for high-end designers, fashion shows, luxury retail outlets a...
This report analyzes the worldwide markets for Sports and Fitness Clothing in US$ Million by the following Product Segments: Sports Apparel, and Fitness Clothing. The report provides separate comprehe...
This report analyzes the worldwide markets for Children's Wear in US$ Million by the following Product Segments: Boys Wear, Girls Wear, and Infants & Toddlers Wear. The report provides separate compre...
Global fashion brand United Colors of Benetton is set to implement a new core body size standard and fit strategy based on an in-depth body shape analysis of its target customers....
Italian fashion business Benetton has launched a project to inform consumers about the safety of its children's products....
- Garment manufacturers eye Myanmar outsourcing
- PSF 2014: Shifting focus from cost to consumer
- PSF 2014: No one size fits all in apparel sourcing
- Tesco takes second stab at US market with F&F
- Bangladesh industry development moving backwards
- Adidas China supplier in discussions over strike
- Bangladesh PM asks clothing buyers to pay more
- Jones CEO to depart as Sycamore splits business
- Workers strike at Adidas supplier shoe factory
- Banana Republic taps former J Crew designer
- Ethiopia – the emerging textile and clothing industry
- Antimicrobial fibres, fabrics and apparel: innovative weapons against infection
- Trade and trade policy: clothing imports, consumer expenditure and trends in five emerging markets: Brazil, Colombia, India, Kazakhstan and Peru, 4th quarter 2013
- Jeans in Italy
- Sustainable Textiles for Apparel: Fact, Fiction and Future Prospects