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Business

Otto Group increases comparable revenues by 3.5 percent

By Prachi Singh

28 Mar 2019

In the 2018/19 financial year, according to preliminary forecasts the Otto Group’s revenues on a comparable basis increased by 3.5 percent to reach around 13.5 billion euros (15.1 billion dollars), while the company said, internationally active retail and services group was not able to repeat the outstanding results of the previous financial year but has reconfirmed its objective of achieving a revenue figure of 17 billion euros on a comparable basis by 2022. The unusually long, hot summer in Europe also took its toll on the Otto Group’s textiles and furniture revenue figures.

Commenting on the preliminary figures, Alexander Birken, Chairman of the Otto Group executive board said in a statement: “We performed well in a challenging market environment, even if we did not fully reach our own ambitious targets. At the same time we are reconfirming our commitment to our focused investment and growth strategy.”

Otto Group’s target companies perform well

Online revenues for the year rose on a comparable basis by 4.5 percent to reach 7.7 billion euros (8.6 billion dollars), climbing in Germany by 5.2 percent to 5.3 billion euros.

Otto Group said that like most fashion retailers, the Witt Group, which focuses on the 50+ customer segment, maintained sales at 816 million euros (918.5 million dollars), almost at the previous year's level. The North American furniture retailer Crate and Barrel performed well in a competitive market, raising comparable revenues by 3.5 percent to 1.5 billion euros (1.6 billion dollars).

About You fashion start-up increased revenues by 63 percent to around 461 million euros (518.8 million dollars), is now operating in seven European national markets, and this year intends to expand to further countries. Having brought the Danish Bestseller Group on board, the company is currently valued at over 1 billion US dollars.

The family retail specialist Mytoys Group, with its Mytoys, Limango, Mirapodo and Yomonda brands, raised turnover on a comparable basis by 8 percent to 670 million euros (754 million dollars) in the reporting period. In the Service segment the Hermes Group continued to benefit from the growth in ecommerce and increased revenues with corporate customers outside the Otto Group by 11.3 percent to 2.2 billion euros (2.4 billion dollars).

Picture:Otto Group newsroom