Tod's SpA reports solid growth in leather goods for Q1
27 Jul '05
4 min read
In the first half of 2005, revenues generated by the DOS network increased by 17.1% (18.8% at constant exchange rates), and represented 51.2% of the Group's turnover as of June 30th, 2005. The growth is substantially due to the organic growth of revenues in the existing store network; the total number of stores increased by three stores as compared to the figure as of June 30th, 2004.
The Same Store Growth figure, calculated as the worldwide average of revenue growth rates reported by the DOS open as of January 1st, 2004, was 11.8% for the first 28 weeks of the year. In line with the management expectations, in 2005 wholesale revenues returned to grow strongly, after the streamlining of the channel made in the previous years: in the first half of 2005, the growth was 27.1% (27.6% at constant exchange rates).
As of June 30th, 2005, the Group's distribution network consisted of 105 DOS and 37 franchised stores. In line with budget, all the openings made in the first half of the year are located in Asia; they include two new stores in mainland China, which were added to two other points of sale already existing at the end of 2004 and to the 5 Hong Kong stores.
The strong expansion on the Asian markets, where sometimes the Group prefers to operate with primary local partners, implies a significant number of openings under franchise agreements, without any change in the Group's distribution strategy.
Diego Della Valle, Chairman and CEO of the Group, commented: “I'm extremely satisfied by these results that confirm a solid, consistent growth of the Group. This performance is based on the success of all brands in all product categories, highly appreciated by customers in all markets. These results, together with a healthy start of winter collections in the stores, make me fully confident to achieve targets for this year.”
marketing@alchempro.com
