Profits, margins grow for Bossini International
Overall revenue fell 11 per cent for apparel retailer Bossini International during the first half of its financial year.
However, its interim results to December 31, showed an improvement in gross margin – by four points to 51 per cent, attributed to more effective sales and marketing strategies. Profit for the period attributable to the owners increased by 20 per cent.
The Hong Kong and Macau market, the Mainland China market and the Taiwan market showed signs of having bottomed out, says the company, with same-store gross profit level after a period of negative growth for more than a year.
With a footprint across 28 countries, the group says it is still optimistic in the long run, adding 16 shops during the half-year.
Its revenue for the six months was HK$1.022 billion (US$131.6 million), down 11 per cent from HK$1.146 billion in the same period a year earlier. Gross profit slipped 4 per cent to HK$519
For directly managed stores, same-store sales in Hong Kong and Macau fell 6 per cent, a slight improvement, and Mainland China and Taiwan stores performed similarly, declining by 2 per cent. Same-store sales in Singapore dropped by 8 per cent compared to per cent in the previous first half. The group’s overall same-store sales slipped 6 per cent.
At December 31, the Group had 952 stores, up five from six months earlier. Directly managed stores grew to 287 from 280, while franchised stores dropped by two to 665.
The group continued its strategy of working with licensing partners to strengthen brand recognition and boost sales. Three licensing programs were launched in the first half of the financial year, working with Disney and Universal Studios.