Luxury Tod' S Medium Term Core Profit Plunged 16%

It is reported that sales have been plunged into all markets, especially in the Chinese market. Italy luxury group Tod 's SpA (TOD.MI) in the first half of the year, EBITDA's core earnings plunged 16.2% to 86 million 311 thousand euros, 103 million euros in the same period last year, and EBITDA profit margin 17.3%, down 265 basis points from 20% in the same period last year.

The Italian company's recession cycle is much longer than the whole. Luxury industry At the best time of the market, the company failed to expand the Chinese market and multiple categories with the help of big cities, and became the worst performing group in the period of luxury inflation.

Despite being the most ineffective luxury group in the past 10 years, the group's chairman and chief executive, Diego Della Valle, is still holding quarterly results in the quarterly report, which will have good results. In the mid-term performance report released by the company on Wednesday, he continued to remain confident, saying that the "very confident" group's strategy and plan are on the "right path" and expressed "I believe that a good result will be achieved next year". But he also acknowledged that the company saw the impact of the industry environment and market uncertainty in July.

However, Tod s SpA chief financial officer Emilio Macellari Macellari is more realistic and pessimistic, because the real face of analysts is mainly him, not the Diego Della Valle who always wants to go to the political front of Italy. Emilio Macellari said at the earnings conference that there was no sign of any improvement in the market and group, so that the expected 1 billion 19 million euro income was expected to be 1 billion 20 million euros lower than the market expected.

In the first half of the year, net profit of Tod 's SpA attributable to parent company fell 25.7%, from 50 million 379 thousand euros in the same period last year to 37 million 435 thousand euros, net interest rate 7.5% 7.5%, a 225 basis point drop from 9.8% in the same period last year, and the group's interim earnings per share dropped from 1.14 euros in the same period last year to 1.14 euros, plummeting 31%. EBIT plunged 20.1% to 61 million 970 thousand euros in the period, compared with 77 million 512 thousand euros in the same period last year.

For the sluggish performance and uncompetitive brands, products and prices, Tod 's SpA chief financial officer Emilio Macellari Handbag product It will focus on the euro 1400 euro -1500 price range, which is slightly higher than that of the traditional luxury items, rather than the top market.

Tod 's SpA first announced the two quarter and the first half of July. Sales performance By the end of the first half of June 30, 2016, group sales decreased by 3.4% to 4.976 billion euros, compared with 515 million 300 thousand euros in the same period last year, and 4.3% after the exchange rate. In the first half of the fiscal year, the group's same store recorded a startling 14.3% decline.

In the first half of the year, Tod s SpA operated 261 Direct stores and 103 franchise stores, with a net increase of 10 respectively. The group had 4531 employees, with a slight increase of 0.5%, compared with 4504 in the same period last year.

Tod s SpA (TOD.MI) plunged 6% to 48.22 euros on Thursday, which has slumped 34% so far this year, one of the worst performing luxury groups.