- Prachi Singh |
In 2018, consolidated sales at SMCP, the parent company of Sandro, Maje and Claudie Pierlot were 1,017.1 million euros (1,159.5 million dollars), up 13 percent at constant currency, which the company said were in line with the upgraded full year guidance. The company added that this sales growth included a like-for-like sales growth of 3.7 percent, despite challenging market conditions in the fourth quarter. Full-year reported sales were up 11.5 percent, including a negative currency impact of 1.6 percent reflecting the appreciation of the euro. For 2018, SMCP confirms its adjusted EBITDA margin guidance at around 17 percent.
Commenting on the results, Daniel Lalonde, SMCP’s CEO, said: “With double-digit sales growth in 2018, SMCP posted a remarkable performance and continued to deliver on its strategic roadmap. Our performance throughout the year, and more particularly over the last quarter, demonstrates that SMCP is built on strong foundations and further illustrates the resilience of our business model in the midst of unprecedented market headwinds.”
Review of SMCP’s Q4 and full year performance
Over the last twelve months, SMCP opened 134 points of sale, including 102 directly operated stores, with 59 POS in APAC, 49 in EMEA and 19 in the Americas. The company added that digital sales now represent 14.7 percent of total sales.
In the fourth quarter, consolidated sales reached 276.1 million euros (314.8 million dollars), up 8.1 percent at constant currency. Reported sales stood at 7.9 percent, including a neutral currency impact of negative 0.2 percent. In the fourth quarter, SMCP experienced a strong momentum in the Americas and APAC regions. In the Americas, the group registered sales growth of 25.7 percent at constant currency. In APAC, the group posted sales growth of 18.2 percent at constant currency driven by mainland China which generated over 20 percent of sales growth.
Meanwhile, in France, sales were down 1.9 percent affected by the yellow vests which led to store closures and lower in-store traffic from mid-November onwards, partially offset by stronger results on e-commerce. In EMEA, sales were up 7.2 percent at constant currency.
By brand, Sandro registered 6.1 percent of sales growth at constant currency, impacted by higher temperatures in Europe. Over the last twelve months, Sandro opened 37 directly operated stores in key locations such as Liberdade (Lisbon), the Galleria (Houston) and MixC Shenzhen Bay (Shenzhen). Maje posted a sales growth of 10.9 percent at constant currency. Over the last twelve months, Maje opened 42 directly operated stores including a new flagship on Regent Street (London) and key locations such as The Galleria in Houston, Seasons Place in Beijing and MixC in Shenzhen. Finally, Claudie Pierlot posted a 7.9 percent increase at constant currency. Over the last twelve months, the brand opened 22 directly operated stores, with 17 DOS including Canary Wharf in London, China World in Beijing and MixC in Shenzhen.