Saturday, February 27, 2016

Handbag maker Longchamp dollars luxurious items slowdown



French handbag maker Longchamp loved progressed income growth last yr, bucking a slowdown inside the luxury goods industry.
family-controlled Longchamp, recognised for its exceptional-selling Pliage luggage, stated on Tuesday revenue rose final year by way of 10 percent at constant currencies to 566 million euros (438 million pounds), up from 8 percent growth in 2014.
Longchamp's overall performance comes as sales boom has slowed inside the luxurious items quarter, hit through weaker demand in China and coffee oil fees lowering Russia and center eastern buying electricity.
Rival Kate Spade (KATE.N) noticed its same-store sales upward thrust strongly remaining yr, at the same time as teach's (COH.N) fortunes have been improving.
Longchamp said its income increase benefited from new shops in Asia and strong demand in Europe, with the chinese now its second-biggest clients behind the French.
Longchamp, which opened 3 stores in mainland China bringing the full quantity to twenty-five, said sales there had risen 30 percentage at constant currencies, a boom level harking back to what many luxurious manufacturers enjoyed in China five years in the past.
Longchamp said income fell in Paris around 20 percentage in November and December after the attacks at the French capital and it anticipated it would take as a minimum some months for tourists to go back after a few cancelled journeys.
"In Paris, we're nevertheless not back to the tiers we noticed earlier than the assaults," Longchamp leader govt Jean Cassegrain instructed Reuters in an interview.
Cassegrain stated he was no longer too worried approximately the organisation's sales globally, as even though Paris turned into its primary metropolis in terms of sales, shoppers could visit its stores in locations like Amsterdam or Tokyo instead.
This 12 months, he stated the brand anticipated the equal stage of sales growth as in 2015.

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