- Prachi Singh |
The Aeffe Board of Directors, in the company’s preliminary result announcement for the full year 2016 said that sales increased 4.7 percent at constant exchange and 4.4 percent at current exchange rates to 280.7 million euros (297 million dollars) compared to 268.8 million euros (285 million dollars) in 2015.
Commenting on the company’s performance, Massimo Ferretti, Executive Chairman of Aeffe Spa, said in a statement, “In 2016, the Group recorded a positive turnover growth, with a good progression especially in Italy, Europe and Greater China, along with several encouraging signs for the coming months. In particular - in the last quarter of 2016 - we registered a good trend in the wholesale channel and the positive impact on the retail channel, also thanks to recovery of tourists’ flows in Europe.”
Prêt-à-porter division records revenue rise of 4.5 percent
Revenues of the prêt-à-porter division amounted to 215.8 million euros (229 million dollars), up by 4.5 percent at constant exchange and 4.2 percent at current exchange rates compared to 2015. Revenues of the footwear and leather goods division increased by 0.2 percent to 95.9 million euros (101 million dollars).
The company said, sales in Italy, amounting to 44.9 percent of consolidated sales, registered a very positive increase marking a 5.3 percent growth to 126.1 million euros (133 million dollars) compared to 2015. At constant exchange rates, sales in Europe, contributing to 21.4 percent of consolidated sales, increased by 6.4 percent, driven by the good performance in Germany, Spain and Eastern Europe.
The Russian market, representing 3.2 percent of consolidated sales, decreased by 0.7 percent, which the company said showed timid signs of recovery compared to last year. Sales in the United States, contributing to 8.2 percent of consolidated sales, posted in the period a growth of 2.9 percent at constant exchange rates.
In the Rest of the World, the group’s sales totalled 62.6 million euros (66 million dollars), amounting to 22.3 percent of consolidated sales, recording an increase of 3.2 percent compared to 2015, driven by positive trend in Greater China, which posted a 7.1 percent growth.
Aeffe FY16 wholesale revenues up 8.3 percent
By distribution channel, in 2016, wholesale sales grew by 8.3 percent both at constant and current exchange rates, contributing to 71.7 percent of consolidated sales. The sales of directly-operated stores (DOS), representing 25.1 percent of consolidated sales, decreased by 4.5 percent at constant exchange rates and 5.3 percent at current exchange rates, compared with 2015. The company said, this change is substantially related to lower tourists’ flows across the main European cities.
Royalty incomes, representing 3.2 percent of consolidated sales, recorded a 4.5 percent increase compared to 2015.