Luxury Tod&#39, S Group'S Net Profit Declined In 2015, Especially In Hongkong.

It is understood that Tod's group net profit decline in the 2015 fiscal year, may lead to less total number of stores.

According to the 2015 earnings report released by Italy luxury group Tod's on Monday, group net profit fell from 97 million 100 thousand euros last year to 92 million 700 thousand euros, due to higher operating and financial costs.

With regard to the expansion of the retail network this year, the group will consider reducing the number of shops and closing some stores, especially the particularly negative Hongkong region.

Driven by global growth in retail and wholesale channels and accelerated growth in the fourth quarter, the group's total revenue rose by 7.4% to 1 billion 40 million euros.

Sales rose by 1.8% under the fixed exchange rate.

Emilio Macellari, chief financial officer, revealed that

A more cautious approach is being taken to expand its retail network and plans to open 15-20 new stores this year.

But because the group is considering closing some stores, it may lead to less total stores.

In contrast, the group opened 25 new stores in 2015.

In the whole year, Hongkong is the only area where negative performance is recorded, and the high cost of rentals is still a big problem.

Although the group has continued to discuss with the owners, it is possible to renew some rental agreements which have no rent rise.

Emilio Macellari, chief financial officer, thinks that

Maybe it will become one of the areas where the group implements the strategy of reducing stores.

As for the high rent in Hongkong, chief financial officer Emilio Macellari recommends that more extensive industrial action is needed.

Because the owner is convinced that his lot has a large demand, though only from

There is no more demand, but there are still a lot of new or affordable luxury brands aiming at these locations.

From the current market trend, China, the United States and Japan have slowed down, while Europe has remained stable.

Emilio Macellari, chief financial officer, believes that the current market environment is challenging, especially the weekly outlook is not clear.

But Diego Della Valle, chairman and chief financial officer of Tod's, is confident that the group will achieve better results as the group's product categories are improved, its cost is deeply concerned, the digital sector is enhanced, and the consumer's general recognition of the current series of shops offering summer series.