Dogi increased its sales by 23.3 percent in the first quarter

Spanish manufacturer of stretch fabrics Dogi increased sales by 23.3 percent during the first three months of this year, to 10.9 million euros. Additionally, the company has reduced losses during the quarter substantially.

The company, now fully financially backed by Sherpa Capital, recorded losses of 833,000 euros – this is, a 32 percent less than during the same period in 2014 -, according to the its filing to the Spanish market regulator, the National Securities Market Commission (CNMV).

Dogi textile group has particularly benefited from the good performance of its US subsidiary EFA to increase sales by 23.3 percent, EFE explains.

American subsidiary’s sales help lift results in Spain

This subsidiary has sold 14.5 percent more in the first three months of the year, closing with a positive net profit of 262,000 euros, as reported by Dogi.

By contrast, the figures in Spain have left much room for improvement, as sales have suffered a decline of 6.6 percent.

Dogi explains, however, that the backlog in European markets registered a marked improvement during the month of April, which invites to think that billing in Spain "should restore the positive trend in the coming period". < / p>

The pillars of growth for this new stage, led by private equity firm, is the recovery of market confidence, the launch of new products to enter new market segments, and a strategy for large retail chains.

"Our goal is to continue capitalising actions following the takeover. We believe the company has great potential, since they are overcoming financial problems, we expect the results to be back to the path of growth," warned Eduardo Navarro, president at Dogi.

It is noteworthy that Dogi left behind the red in 2014, when it won 14.5 million euros, compared with a loss of 9.1 million euros in 2013, when it restructured its debt.