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By
EFE
Translated by
Benjamin Fitzgerald
Published
Oct 31, 2017
Reading time
2 minutes
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Adolfo Domínguez narrows first-half losses

By
EFE
Translated by
Benjamin Fitzgerald
Published
Oct 31, 2017

Adolfo Domínguez is on the financial rebound. For the first half of fiscal 2017, ending August 31, the ready-to-wear group recorded a 4.9 million euro loss, or a 60% improvement, compared to the same period last year. The fashion brand, now headed up by the daughter of the Spanish designer, recorded a hefty 12.3 million euro loss in 2016.

Adolfo Domínguez autumn/winter 2017 - Adolfo Domínguez


Total revenues increased 7% during the six months of 2017, to reach 54.7 million euros, while comparable sales grew 9.6%, according to Adolfo Domínguez, adding the recent six-month period was its best half-year financial result in five years, and a fifth consecutive quarter of revenue growth for the brand.

In Europe, comparable sales grew 10.1% "with strong growth in Spain." In Mexico, sales lifted 9.8%, Japan witnessed 7.2% gains and the rest of the world rose 3.2%. By brand, Adolfo Domínguez accounted for 78% of sales, while 22% of revenues came from labels U and AD+.

The firm said via a press release that first-half sales grew for the first time since 2012 and that traditionally its results are better during the second half of year, due to Christmas holidays.

The firms earnings before interest, tax, depreciation and amortisation (EBITDA) came in at negative 3.1 million euros, an improvement of 68% on last year (-9.8 million euros). The progression is a result of improved margins, partly due to a decrease in operating expenses of 1.4 million euros.

Committed to a plan to restructure its retail network, the group boasted, at the end of August, 495 shops and counters (63 shops less than in 2015) across 30 different countries.

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