×

Cucinelli H1 core profit up 6 pct as retail network grows

By
Reuters
Published
today Aug 25, 2016
Share
Download
Download the article
Print
Click here to print
Text size
aA+ aA-

Italian luxury goods maker Brunello Cucinelli on Thursday posted a 6.3 percent rise in first-half core profit as robust sales growth offset rising costs for retail expansion and a one-off hit due to the exit of a senior manager.


Brunello Cucinelli - Fall-Winter2016 - Menswear - Milan - © PixelFormula



Cucinelli said earnings before interest, tax, depreciation and amortisation (EBITDA) totalled 35.5 million euros ($40 million), or 16.1 percent of sales. That compares with an EBITDA margin of 16.6 percent in the first half of 2015.

The EBITDA margin was 16.7 percent in January-June 2016 when excluding the one-off payment of 1.29 million euros to Fabio Gnocchi, who stepped down as co-head of the group's commercial division in the period.

"At this point practically two-thirds into the year, we can safely predict healthy revenue and profits growth for 2016," Chief Executive and Chairman Brunello Cucinelli said in a statement, also welcoming a positive outlook for the Italian market.

Cucinelli reported in July a 10 percent rise in revenues for the first half, helped by growth in all its markets and the opening of five new directly-owned shops this year. ($1 = 0.8868 euros)

 

© Thomson Reuters 2019 All rights reserved.