Spanish Group Mayoral closes 2024 with a -7.5 percent sales decrease

Madrid – Spanish multinational textile group Mayoral, parent company of the children's, men's, and women's fashion brands Mayoral, Abel&Lula, Boston, and Hug&Clau, has released its key financial indicators for fiscal year 2024. The Malaga-based company reported a 7.5 percent decrease in sales.

According to information provided by the company's management, Mayoral Group closed 2024 with sales of 370 million euros. This represents a 7.5 percent decline compared to the 400 million euros in revenue generated the previous year. Management attributed this decrease to the contraction of international wholesale sales, a consequence of inflation's continued impact on consumer spending and growing uncertainties in an increasingly complex global landscape.

Regarding profits, the company did not disclose its net income for 2024, stating only that earnings before interest and taxes (EBIT) remained at 2023 levels despite the sales decline. This sustained profitability is attributed to measures implemented to control inventory, reduce surplus stock, and contain expenses.

With the implementation of these measures, the company has actively adapted "to a changing and increasingly competitive environment," stated Manuel Domínguez de la Maza, President of Mayoral Group, in a statement shared by the company. In the face of these challenges, the group will rely on its "international DNA" to bolster its next growth phase, focusing on seeking new "opportunities" for each of its brands, added Domínguez de la Maza.

28 Million Euro Investment

Among the key indicators reported by the company for 2024, Mayoral Group drove the international growth of its own retail network, entering Chile for the first time and strengthening its presence in markets such as Italy, France, Portugal, Greece, Romania, and Mexico with new store openings. Through franchising, the group entered new markets including Venezuela, the Dominican Republic, Malta, and Austria.

During the same period, the Group invested 28 million euros in industrial and technological development. These funds were primarily allocated to completing the development of its new "Mayoral 3" logistics center. With 15,500 square meters, management anticipates this facility will ensure operational growth capacity in the short, medium, and long term.

Building on these developments, the textile multinational will aim to scale its operations based on the 2024 results. Beyond its revenue figures, the Malaga-based company closed the year with subsidiaries in 23 countries and a presence in approximately 9,000 points of sale worldwide, through both wholesale and retail channels. These operations are supported by a total of 2,200 employees across one hundred countries.

Entry into the UAE, with Targets of 400 Points of Sale and 400 Million Euros in Revenue for 2025

Looking ahead to 2025, the Malaga-based company began the year by opening a subsidiary in Morocco, aiming to consolidate and expand its presence in the country as part of its internationalization strategy. This decision will be complemented by strategies to strengthen its presence in Lebanon through franchising, while management is already eyeing Iceland, Jordan, and the United Arab Emirates as new markets for expansion in 2025.

Supported by these initiatives, the company's main forecast for this year is to recover annual revenue to 400 million euros. This objective will be pursued by expanding its retail network to 400 physical points of sale across all brands, increasing its presence in strategic markets, and growing in partnership with major international department stores. Simultaneously, the company is working towards the goal of having 60 percent of its products manufactured with more sustainable materials and processes by the end of 2025.