FRANCE: Strong luxury sales lift Q1 at PPR
The conglomerate, which also owns sport and lifestyle brands like Puma, today (26 April) said sales from continuing operations climbed to EUR3.3bn (US$4.4bn). On a like-for-like basis, sales rose 7.9%.
This strong start to the year was powered by growth in emerging countries, which now represent around 37% of revenues, the company said.
Luxury division sales surged 18% on a like-for-like basis, with double-digit growth in all geographic areas. The sport and lifestyle division showed more modest growth, with sales gaining 14.6% on a reported basis.
"These performances bear witness to the Group's momentum, its successful multi-brand strategy, the remarkable geographic spread of its businesses and the strength of its business model," said CEO François-Henri Pinault.
"This reinforces our confidence in PPR's ability to deliver another year of brisk revenue growth, combined with gains in operating and financial performance, in 2012."
Like-for-like sales at Gucci were up 12%, Bottega Veneta surged 33%, and Yves Saint Laurent soared 40%. Other luxury brands saw comparable sales growth of 20%, with Western Europe up 12%, North America up 33%, Asia-Pacific up 30% (of which China rose 28%) and Japan up 10%.
Momentum was especially strong for fashion and leather goods, PPR said, with growth of more than 30% for the quarter, driven by "sparkling performances" at both Alexander McQueen and Stella McCartney.
Like-for-like sales increased 3% at the company's sport and lifestyle division, with the main sportswear brand Puma hurt by sluggish consumer spending in Europe. The company yesterday said net profit at Puma fell 4.9% to EUR74m, while sales increased 6.1% to EUR820.9m.
While the focus on emerging markets for the big international clothing companies has traditionally been to view them as outsourcing opportunities, there are a lot of people with a lot of money in thes...
Jochen Zeitz has resigned from the administrative board of sportswear brand Puma. ...
Puma chairman Jochen Zeitz has called on governments to reduce import duties on synthetic materials in an effort to to encourage companies to switch to making greener shoes and clothing. ...
Performance apparel and footwear maker Under Armour has appointed Leanne Fremar as senior vice president and executive creative director of its women's business as part of plans to expand the category...
Fashion retailer All Saints has tapped William Kim, the former senior vice president of retail and digital commerce at luxury goods firm Burberry, as its new CEO....
French apparel group PPR has named Marie-Claire Daveu as chief sustainability officer and head of international institutional affairs. ...
PPR/Redcats-owned home shopping specialist La Redoute has lost its appeal against a conviction for selling a swimsuit copied from Marseille-based designer label Pain et Sucre....
French footwear designer Christian Louboutin's distinctive red soles have been given trademark protection, a US appeals court ruled yesterday (6 September). ...
- Li & Fung: China consumption to bring major change
- Innovation and e-commerce key to Nike's growth
- INTERVIEW: Crystal CEO rises to the challenges
- Opinion divided on China cotton import cuts
- Pacific Crystal Textiles gears up for production
- Addressing anaemia key to Cambodia productivity
- Chinese firm to invest in Ethiopian textile plant
- Textile value chain making Africa more competitive
- US and EU apparel groups set out stance on TTIP
- Cambodia garment worker wage talks stagnate