Tod 'S2018 Fiscal Year Sales Decline, China'S Market Growth

In January 23rd, the Italy luxury group Tod 's SpA (hereinafter referred to as Tod' s) issued the key financial data for the 2018 fiscal year.

Sales in the 2018 fiscal year decreased by 2.4% to 940 million euros, due to poor sales in Italy and Europe.

As of December 31, 2018, the sales of Tod 's group fell by 2.4% to 940 million euros, down 0.5% from the same month, a little lower than that of the financial data company Refinitiv. The American market and Asian market performed well, but the decrease in tourist consumption, the political reasons and the economic instability in Italy had a great impact on the European market.

In February this year, Tod 's group launched a new project called Tod' s Factory.

The project is intended to focus on classic products. Meanwhile, a series of products will be released in one year. Besides the regular series of two seasons in a year, there will be capsule series and limited series, and even a new product will be launched every two months.

(see the previous report: Tod 's group "go to war": do not be creative director, to have a higher new frequency!

Launch a series of innovation campaigns in one year

Tod s Group CEO and chairman of the board of directors Diego Della Valle said that the current performance is in line with the group's expectations, Tod 's Factory project has achieved initial success, and the market has also responded well.

In order to ensure the development of the project and enhance the competitiveness of products, the group arranged the best resources for Tod 's Factory, and invested a lot.

He is full of confidence in the future development of the company. The Della Valle family has also increased its stake in the group. I believe that after the project has been implemented for some time, the group will be able to achieve satisfactory results.

In December 2018, Tod 's founding family Della Valle will increase its holdings.

The specific financial data of the Tod 's group's report are as follows:

By brand:

Core brand Tod 's sales fell 3.3% to 499 million euros, down 1.2% from the same month, unchanged in the Americas and Asia. Sales in Europe were affected by political reasons, reduced tourists and Italy's economic instability.

Hogan sales increased by 1.1% to 206 million euros, up 1.8% from the same period year-on-year, according to the fixed exchange rate. The weak market in Italy has had some impact on the brand sales.

Roger Vivier sales fell 3.2% to 174 million euros compared with the same period last year, unchanged at 0.2% from the same exchange rate, and the sales situation has changed. The new products designed by the designer Gherardo Felloni have been widely praised, and the Asian market is in good condition. However, due to the decrease of tourists, the sales situation of European market is affected.

Fay sales fell 3.5% to 61 million 300 thousand euros, down 3.4% from a year ago, mainly due to weak local sales in Italy.

Sales of other brands are 9 million euros.

By category:

Shoe sales fell 1.9% to 744 million euros, down from last year.

Sales of leather goods and accessories fell 5.3% to 129 million euros, down 3% from a year earlier.

Garment sales fell 2% to 67 million 300 thousand euros, down 1.7% from a year earlier.

Sales of other categories are 9 million euros.

By market:

Italy's domestic market sales fell 5.4% to 282 million euros compared to the same period last year, mainly due to continued weakness in the market.

Sales in other parts of Europe dropped 0.5% to 244 million euros, up 0.5% from the same rate.

Sales in the Americas decreased by 6.5% to 73 million euros compared with the same period last year, down 1.4% from the same month, unchanged from the poor sales of wholesale channels.

Sales in the Greater China market decreased by 0.9% to 210 million euros, up 3.1% from the same month, and the mainland has performed well, contributing more than 60% of sales.

Sales in other parts of the world increased by 0.9% to 131 million euros compared with the same period last year.

By channel:

Direct store sales decreased by 2.2% to 608 million euros, up 0.2% over the same period.

Sales of third party channels (franchised stores and independent retailers) decreased by 2.8% to 333 million euros, down 1.8% from a year earlier.

As of December 31, 2018, the group had 284 direct outlets and 120 authorized stores, with 9 new outlets and 8 new authorized stores.