Moncler achieves 2018 revenue growth of 19 percent

Consolidated revenues at Moncler S.p.A., in 2018 reached 1,420.1 million euros (1,614.6 million dollars), an increase of 22 percent at constant exchange and of 19 percent at current exchange rates. The company said, strong growth continued also in Q4 2018, with revenues rising by 20 percent both at constant and at current exchange rates despite the challenging comparison base.

Commenting on the results, Remo Ruffini, Chairman and Chief Executive Officer of Moncler, said: Moncler Genius, five years since our listing on the Italian Stock Exchange and fifteen since I acquired Moncler. These are all milestones along a journey that has led us, once again in 2018, to record double-digit growth not only in all regions and distribution channels, but also for all economic indicators. We know that economic and geopolitical uncertainties may make the path steeper in the coming months, but I believe that it is precisely when there are difficulties that we can become stronger.”

Moncler’s performance across core geographies

In Italy, Moncler said, revenues rose 12 percent at constant exchange rates, in acceleration in the fourth quarter, with positive contribution by both the retail and the wholesale channels. In EMEA, revenues grew 17 percent at constant exchange rates, with double-digit growth in both channels and in the main markets. While Germany and UK continued positive performance driven by outstanding growth in the retail channel, revenue growth in France, although solid, slowed down in the fourth quarter due to the events that led, on some days in December, to closure in Paris.

In Asia and Rest of the World revenues increased 28 percent at constant exchange rates. Sales in China slowed in the fourth quarter due to a late starting of the winter season, but the group delivered good performances in Korea and in the Rest of Asia despite the difficult comparison base. In the Americas revenues grew 23 percent at constant exchange rates, with good results in Canada and in the United States, in both the retail and the wholesale distribution channels.

In 2018, the company added, revenues from the retail distribution channel reached 1,086.5 million euros (1,235.6 million dollars), representing an increase of 26 percent at constant exchange rates, thanks to an excellent organic growth and to a further development of the network of mono-brand retail stores. In 2018, the group achieved comparable store sales growth of 18 percent.

The wholesale channel recorded revenues of 333.6 million euros (379.3 million dollars), an increase of 13 percent at constant exchange rates, driven by the expansion of the wholesale mono-brand stores network and, in the fourth quarter, by the spring/summer 2019 collections. At 31 December 2018, -brand distribution network consisted of 193 retail directly operated stores (DOS), an increase of 12 units and 55 wholesale stores (shop-in-shops), an increase of nine units compared to December 31, 2017. In the fourth quarter, Moncler opened four DOS and four shop-in-shops.

Moncler achieves strong profit growth in 2018

In 2018 consolidated gross margin reached 1,099.8 million euros (1,250.7 million dollars), equivalent to 77.4 percent of revenues compared to 76.9 percent in 2017 driven by retail channel’s growth. Adjusted EBITDA rose to 500.2 million euros (568.7 million dollars), compared to 411.6 million euros in 2017, resulting in an EBITDA margin of 35.2 percent compared to 34.5 percent, which is mainly linked to the gross margin improvement and to the strict control on selling costs, in particular on the retail division.

EBIT was 414.1 million euros (470.8 million dollars), an increase of 21.5 percent compared to 340.9 million euros in 2017, representing an EBIT margin of 29.2 percent compared to 28.6 percent in 2017. Net income, group share was 332.4 million euros (377.8 million dollars), equivalent to 23.4 percent of revenues, an increase of 33.1 percent compared to 249.7 million euros in 2017.

The Moncler’s board of directors will propose to shareholders the payment of a dividend 0.40 euros per ordinary share for FY 2018, equal to total dividends of 100 million euros (113.6 million dollars), and representing a 30 percent pay-out ratio on consolidated net income. The company added that dividend will be paid on May 22, 2019.

Picture: Moncler media resources