Tod’s profits fall 8% full year 2013
Italian luxury group Tod’s net profit for 2013 decreased 8% as sales didn’t make up for the rising costs affecting profitability. Tod’s also confirmed its net profit stood at 133.8 million euros ($185.4 million), compared with last year’s €145.46 million.
Revenues were almost on par compared with the previous year, at €967.5 million, boosted by the Roger Vivier luxury brand, which posted the highest sales increase and was up over 50%. Hogan and Fay saw their revenues decline by 11% and 23%, respectively, due to the two brands’ high exposure to the Italian market, the company said.
Greater China was the top market for Tod’s as sales in the area increased 21% to €237.5 million. The company’s domestic market continued to suffer and revenue in the area dropped 16% to €323 million.
Ebit declined 7.5% to €193.1 million, while Ebitda was down 5.5% to €236.3 million, as the company said that operating profitability was particularly affected by the higher incidence on sales of rents and labor costs.