Richemont lifts dividend 5% as online platforms boost sales
By Nick Hedley - May 17th, 08:52
Richemont chair John Rupert says group sales rose 27%, 'reflecting growth across all business areas and distribution channels.'
Richemont has hiked its dividend for the year to end-March by 5% after the luxury goods company’s online platforms boosted annual sales.
The group recently made a foray into the online-distributors market with the acquisitions of luxury and fashion retailer Yoox Net-a-Porter (YNAP) and pre-owned watch platform Watchfinder.
The year to March was “one of transition and consolidation”, said Richemont chair, Johann Rupert. Richemont’s brands include Cartier and Van Cleef & Arpels.
Group sales rose 27% to €14bn, “reflecting growth across all business areas and distribution channels, Rupert said.
YNAP’s sales rose “at a double digit rate”.
Excluding YNAP and Watchfinder, group sales grew 8%.
Operating profit rose 5% to €1.9bn, falling slightly short of analyst expectations.
“Most of our markets were in positive territory, led by double-digit increases in the US and in all the main markets of Asia Pacific,” Rupert said.
Profit for the year rose to €2.8bn, including a post-tax noncash gain of €1.4bn on a revaluation of YNAP shares.
The board proposed a dividend of Sf2 ($1.98) per share, from Sf1.90 the previous year.
Rupert said Richemont’s discussions with Chinese e-commerce giant Alibaba are progressing. In October 2018, the group announced plans to establish a joint venture with Alibaba to extend the in-season offerings of YNAP to Chinese consumers.Business Live
Checkers brings world-class retail to Constantia with new flagship store
27/11/2019 - 13:01
Checkers has opened the doors to its state-of-the-art 2 330 m² flagship supermarket at the Constantia Emporium as the retailer continues to take innovation to new heights.
Woolworths carves out market share in SA
27/11/2019 - 10:11
In Australia, David Jones's sales declined 2.1%, with the company saying a store refurbishment contributed to the decline.
Push and pull strategies work together to keep consumers coming back for more
26/11/2019 - 10:20
The retail sector is under increasing pressure as consumers have shrinking disposable income in a strained economy. Maintaining share of wallet is critical. Relying solely on a push route to market strategy from manufacturers into retailers is not enough to get consumers buying products. A pull strategy needs to coexist with the push to drive brand consumption. Integrating these strategies requires intelligent and insightful decision-making. This, in turn, requires data generated through smart technology which provides line of sight across the value chain from manufacturer to distribution, retailer to the consumer.
Exclusive leases must fall: Commission cracks whip on Shoprite, Pick n pay, Spar, Woolies
26/11/2019 - 09:57
The Competition Commission Inquiry into Grocery Retail, published on Monday, called for an end to the exclusive leases negotiated by national retail chains in all shopping malls across the country in a bid to open up access to markets for smaller players.
Today’s customers are loyal to speed and convenience, not brands
25/11/2019 - 11:15
Consumer expectations are rapidly shifting as technologies such as mobile, geolocation, social media and increasingly, Internet of Things devices and wearables, connect people to a world of easily accessible information and convenient services. With the ability to browse, compare and order with a few swipes and taps, consumers are becoming trained to value convenience and service above nearly anything else.