Le Coq Sportif: stable business in 2014
Le Coq Sportif acknowledges that it faced a difficult economic environment in 2014. The French brand saw its sales fall back slightly from 192.769 million euros in 2013 to 191.468 million in 2014. Notably, the brand saw its licensed distributors reduce their orders. In fact, its royalties were down 5% in 2014 compared to 2013.
However, its consolidated revenue remained above the 100 million-euro mark, even rising slightly from 100.480 million in 2013 to 100.646 million last year. Airesis, the Swiss investment firm that has owned the majority of shares in the French company since 2005 (78% currently), emphasized the fact that the brand’s apparel sales increases by 8% over the course of its last fiscal year, while its footwear business remained stable. It stated that the brand’s margin improved from 43% to 45%, thanks to a 50% increase of sales on its e-commerce site and a 22% increase for its directly managed locations.
Its Ebitda remained negative, but it went from -1.046 million euros to -393,000 euros in 2014. Its net losses were also reduced, up from -5.813 million to -3.049 million.
In 2015, the le Coq Sportif’s business should get a boost. The brand is returning to soccer and has signed agreements with the clubs AS Saint-Etienne in France and Fiorentina in Italy.
Airesis’s team, overseen by Marc-Henri Beausire, has become directly involved in the French brand’s operational management. However, having sold the board sports brands included in its Boards & More division in 2013, it doesn’t rule out looking at opportunities for new acquisitions. "Airesis is currently focusing on Le Coq Sportif, which is showing strong potential," management explained in the publication of its annual report. "Airesis is open to acquiring companies, as part of its strategy. However, the Board hasn’t set a deadline for investing and wants to give the priority to qualitative choices."
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