Finnish lifestyle and design company, Marimekko, reported net sales growth of 12 percent in 2019, on the back of strong licensing revenue gains in Asia-Pacific and strong domestic retail and wholesale sales.
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The Helsinki-headquartered Marimekko, known for its bold colours and eccentric prints, reported sales of 125.4 million euros for the year ended 31st December, up from 111.9 million euros in 2018.
By region, sales in Finland increased by 12 percent, with retail sales in particular showing an especially “good trend.”
International sales growth was 12 percent, achieved particularly through wholesale sales in EMEA and both wholesale and licensing revenues in the Asia-Pacific region – the European brand’s second-largest market, thanks to its increasing popularity in Japan.
Full-year comparable operating profit rose by 40 percent to 17.1 million euros, said Marimekko.
“Marimekko’s strong development continued in 2019. Our net sales increased in all market areas and comparable operating profit improved significantly. Another year of continued strong development shows that we are moving in the right direction and making good progress towards our long-term financial goals of annual net sales growth exceeding 10 percent and an operating profit margin of 15 percent,” said Tiina Alahuhta-Kasko, Marimekko president and CEO, in a statement.
Within APAC, Japan remains the most important country to Marimekko. The other countries’combined share of net sales is still relatively small compared to Japan, which is home to a comprehensive network of Marimekko stores.
Developing the operations of existing stores, optimising the product range and increasing online sales, as well as a collection tie-up with Japanese retailer, Uniqlo, continues to drive the company’s sales growth in Japan.
“We are in a good position to enter the new decade and continue our efforts on the path of our long-term international growth strategy,” added Alahuhta-Kasko.
The impacts of the coronavirus, at the moment concerning in particular the Asia-Pacific region, are still uncertain, added the brand.