Marimekko, the Finnish design house, showcased resilience and growth in its recent financial report for the first half of 2024. While operating profit slightly lagged behind the comparison period, the company’s cumulative operating profit saw an improvement, bolstered by a robust increase in net sales.
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The company’s net sales surged by 8 percent, reaching EUR 43.7 million, with notable boosts stemming from wholesale sales in Finland and Scandinavia.
Over the span of January to June, Marimekko’s net sales soared by 8 percent, totaling EUR 81.3 million. This growth was fuelled by amplified wholesale and retail sales in Finland, coupled with an expansion in international sales. International sales also saw a 6 percent increase, primarily driven by wholesale sales in the Asia-Pacific region, which is Marimekko’s second-largest market.
Tiina Alahuhta-Kasko, president and CEO of Marimekko, expressed satisfaction with the company’s performance in the first half of the year, highlighting Marimekko’s Asia initiatives as a key growth area.
Marimekko highlighted Japan, in particular, as the most important country to its business in the region.
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During the second quarter, Marimekko enhanced its presence in Asia by revamping its store network, particularly in Taiwan, where three new stores were opened in Taipei and one in Tainan together with Marimekko’s new partner in the Taiwan market, Imaginex. Furthermore, the company expanded its operations in Singapore and Japan, unveiling partner-operated webstores and additional physical outlets.
The company’s strategic initiatives in the Asian markets have yielded positive results, according to Marimekko. Among its collaborations in the first half, Marimekko’s second limited-edition collection with Japanese retailer Uniqlo debuted in stores around the world, playing “a significant role” in introducing new customers. Marimekko also partnered locally with Blue Bottle Coffee in Japan and the Heytea chain in China.
“These types of local brand collaborations deepen our relationship with the Marimekko community in different countries and help us build our brand awareness in a more targeted manner in the Asian markets, for example,” said Alahuhta-Kasko.
Looking ahead, Marimekko aims to focus on the Asia-Pacific region as a key area for international growth in the coming years. The company plans to open 10 to 15 new stores and shop-in-shops in Asia during 2024, aiming for sustained expansion and profitability in the region.
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The company anticipates a growth in net sales compared to the previous year, with a projected comparable operating profit margin ranging between 16 to 19 percent.