Le Saunda sales plummet as store network culled
Le Saunda sales in its company-owned stores plummeted 25.6 per cent in the November quarter.
The embattled shoe retailer reported a same-store sales decline of 14.7 per cent in a stock exchange filing, without adding any commentary.
Le Saunda has closed a net 145 stores in Mainland China, Hong Kong and Macau over the last year, leaving it with 565, the majority company owned with 63 franchised shops on the mainland.
The only positive figure in the filing was the performance of the company’s e-commerce division, where sales rose a meagre 1.6 per cent year on year.
In October, the company reported a first-half sales decline of 14.4 per cent to RMB460.4 million, (US$66.1 million), and a loss of RMB 9.6 million (US$1.4 million), compared with a profit of RMB22.9 million in the same period last year.
At that time, the company blamed a slowing of retail sales in Mainland China for its poor result, with same-store sales down 10.2 per cent, as well as a decline from the closure of unprofitable stores.
However, its third-quarter figures showing the decline in sales is accelerating.