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    Giordano's First Half Performance Report Electricity Supplier Sales HK $132 Million

    2019/8/10 14:30:00 67

    GiordanoElectricity SupplierSales Volume

    On August 9th, Giordano, a clothing retailer, released its mid term performance report in August 8th. In the first half of this year, group e-commerce sales accounted for HK $132 million, accounting for 5.2% of total sales, down 19% from the same period last year.

    The report shows that in the first half of 2019, Giordano's sales volume was HK $2 billion 542 million, a year-on-year decrease of 11.1%, and comparable sales and gross margin of comparable outlets decreased by 8.6% and 8.9% respectively. Among them, gross margin remained basically unchanged at 59.3%. Shareholders of Giordano group should account for a profit of HK $161 million after income tax, a decrease of 36.6% over the same period last year.

    According to the report, the main reason for the decrease of e-commerce revenue is the intense online competition and the rising operating costs. The group management will maintain the improvement of product mix and expand the market in other parts of the Asia Pacific region to consolidate Giordano's e-commerce business.

    Data show that Giordano's physical store sales fell 8.9%, core Giordano products accounted for 85.2% of the total brand sales. Among them, the sales of Giordano's brand Giordano Ladies in the Greater China region decreased by 2.7%, while sales in other parts of the Asia Pacific region showed a trend of growth.

    According to public information, Giordano group was founded in 1981, and is a multinational apparel retail chain group. At present, there are 1500 shops in 31 regions of the world, with nearly 8000 employees.

    According to the media, although the electricity business of Giordano in the mainland has declined in the first half of the year, the group is still expanding its investment. With the help of the third party platform in terms of manpower and material resources, the second aspect is to increase investment in logistics. Giordano has increased investment in machinery and equipment in warehouses and logistics in Hongkong and the mainland to enhance efficiency.

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