Tod’s profits fall as international growth does not make up for losses in home market
Italian luxury shoemaker Tod’s SpA said core earnings fell 4.6 percent in the first quarter as strong growth in international sales failed to offset the effects of a prolonged recession in its domestic market. Tod’s said earnings before interest, tax, depreciation and amortisation (EBITDA) stood at 63.6 million euros ($82.5 million).
The owner of the Hogan, Fay and Roger Vivier brands, which sells around 40 percent of its products in Italy, said sales rose strongly in China and the Americas, giving it confidence that overall sales and profits will grow in 2013. “Significant attention has been given to the Americas and Chinese markets, where our brands are demonstrating to have strong potentials,” said chairman and chief executive Diego della Valle.