Kappahl narrows Q2 loss as sales edge up
- Q2 net loss SEK3m, down from SEK7m
- Net sales rise 1.7% to SEK1.133bn
- Gross margin up slightly to 57.8%
Sales rose 1.7% during the quarter
Clothing retail business Kappahl said a good Christmas and a well-implemented discount strategy led to a narrower loss in the second quarter, with sales up slightly on last year.
However, half-year figures showed a slight decline in sales to just over SEK2.3bn, while net profit edged up slightly to SEK58m.
Kappahl said its decision to go for the fast roll-out of its new store concept had doubled the rate of investment in the period.
"With good Christmas sales and a well-implemented discount strategy, inventories are at satisfactory levels and the operative cash flow is continuing its positive trend," said company president and CEO Johan Åberg.
"The higher dollar rate has had limited effect on the business during the quarter, but will affect us to a greater extent in the coming quarters."
Help test our new apparel sourcing tool.
- "Power of the many" drives change at Otto Group
- Hard hit Turkish industry is not knocked out
- China leads US apparel sources with falling prices
- Wage abuses can’t be eliminated by software and PR
- US apparel sector braces for potential cost hikes
- US Q4 in brief – Foot Locker, Nordstrom, Carter's
- JC Penney to close 140 stores amid lower sales
- Inditex and H&M boycott Dhaka Apparel Summit
- Bangladesh government steps in on labour crackdown
- Adidas unveils "revolutionary" marathon shoe
- When Things Go Wrong - A Practical Guide to Managing Common Problems in Apparel Sourcing
- Outdoor performance apparel 2016: A broader perspective
- Technical textile markets: product developments and innovations, December 2016
- Southeast Asia strategic sourcing review – a focus on Cambodia, Vietnam and Myanmar
- Global market review of lingerie – forecasts to 2022