Italian luxury brand Moncler said that sales rose by double-digits in the third quarter, despite a 40% decline in Hong Kong sales due to ongoing protests in the region.
SEE ALSO : MONCLER’s travel boutique relocates at Hong Kong International Airport
Milan-based Moncler said quarterly revenues at rose by 12% at constant exchange rates, increasing to 995.3 million euros.
By channel, retail revenues gained 13% in constant exchange rates, to 690.4 million euros, with Moncler operating 199 mono-brand stores, compared to 196 in the corresponding quarter last year. Wholesale revenues gained 9%, totalling 304.9 million euros, for the three months.
Moncler domestic sales rose 6%, on retail gains, while its Americas revenues gained 10%, on both retail and wholesale. Moncler’s EMEA region increased by 11% and Europe increased by 75.
Asia and the Rest of the World lifted the most at Moncler, up 15%, “due to the significant contribution from Japan, Chinese mainland and Korea.”
Meanwhile, Moncler said it recorded a “subdued performance” in Hong Kong.
In an earnings call following the announcement, Moncler’s chief corporate and supply officer, Luciano Santel, said that the Hong Kong protests had forced the fashion brand to postpone some investments in communication in the city, adding it was in discussions with local landlords for lowered rents.
SEE ALSO : Louis Vuitton and Moncler are on top of the luxury market
“Hong Kong is worth 6% of our business and we are very happy with the remaining 94%,” Santel said. He said that Moncler did expect Hong Kong’s decline to have an impact on its full-year margins.