Etam Q3 net sales decline 4.4 percent

In the third quarter of 2016, the Etam Group net sales amounted to 290.5 million euros (315.9 million dollars), a decrease of 4.4 percent, included a negative currency effect of 4.9 million euros (5.3 million dollars), which the company said was mainly due to the depreciation of the yuan against euro. Net sales decreased by 6 percent on like-for-like and at constant exchange rates.

Over the first nine months, the Group net sales amounted to 924.3 million euros (1,005 million dollars), including a negative currency effect of 14.3 million euros (15.5 million dollars). Net sales decreased by 2.6 percent compared with the first nine months of 2015, and by 3.2 percent like-for-like and at constant exchange rates.

Net sales in Europe up marginally

In Europe, net sales were 215.4 million euros (234.2 million dollars), up 0.4 percent in the third quarter. Like-for-like and at constant exchange rates, net sales decreased by 3.3 percent. Over the first nine months, net sales came to 659.2 million euros (717 million dollars), rising by 2.6 percent. Like-for-like and at constant exchange rates, net sales decreased by 1.1percent.

The company said, since the beginning of the year, the decline in net sales like-for-like and at constant exchange rates is mainly due to the ready-to-wear business from Etam and 1.2.3, in sharply declining markets. However, the growth in turnover and margin in Europe was led by the development of the lingerie businesses in Europe, e-commerce and export.

In China, third quarter net sales were 75.1 million euros (81.6 million dollars), down 15.8 percent including a negative currency effect of 4.8 million euros (5.2 million dollars). Like-for-like and at constant exchange rates, net sales were down by 15.5 percent. Over the first nine months, net sales amounted to 265.1 million euros (288 million dollars), up 13.5 percent, impacted by a negative currency effect of 13.9 million euros (15.1 million dollars). Like-for-like and at constant exchange rates, net sales decreased by 9.3 percent. These results, Etam said, can be primarily explained by the sharp decline in traffic and sales in, main distribution network of the Group.

At September 30, 2016, the Group had 3,967 points of sales, of which 976 in Europe, 2,701 in China and 290 in international franchise. Since January 1, 2016 the Group opened 45 additional stores in its lingerie activities Etam and Undiz and in ready-to-wear with 1.2.3, in France and internationally. In China, 176 units were closed during this period.

Picture:Etam