Geox S.p.A., listed on the Milan Stock Exchange (MSE: GEO.MI), has announced the first quarter 2013 financial results. First quarter 2013 consolidated net sales decreased by 20.4% (-20.3% at constant exchange rates) to Euro 262.5 million. Footwear sales, which accounted for about 87% of consolidated sales, amounting to Euro 229.7 million, declined 19.7% compared to first quarter of 2012. Apparel sales, which represented 13% of consolidated sales, equal to Euro 32.9 million, declined 25.2%.
Sales in Italy, the Group’s main market, which accounted for 34% of consolidated sales (40% in the first quarter of 2012) amounted to Euro 89.9 million showing a decrease of 31.7% compared with the same period of the previous year.
Sales in Europe, which accounted for 44% of Group revenues (42% in the first quarter of 2012) declined by 16.5% to Euro 115.9 million, compared with Euro 138.7 million of the first quarter of 2012.
North American sales amounted to Euro 13.5 million, substantially in line with the same period of previous year (+ 0.2% at constant exchange rates). Sales in the Other Countries declined by 6.2% (-5.3% at constant exchange rates) compared with the same period of previous year.
Multibrand stores representing 56% of Group revenues (58% in the first quarter of 2012) amount to Euro 146.5 million. The change compared with the previous year is equal to -23.0% and is mainly due to the difficult market conditions in Mediterranean countries with the consequent prudent business approach and selective cancellations of orders.
As of March 2013, the overall number of Geox Shops was 1,210 of which 355 DOS. During first quarter 2013, 34 new Geox Shops were opened and 36 have been closed. New openings of first quarter 2013 include shops in Budapest, Valencia, Hong Kong, Beijing and Shanghai. As of April 30, 2013 the overall number of Geox Shops was 1,218.
Mario Moretti Polegato, Chairman and founder of Geox, commented: “The first quarter of 2013, due to the difficult macroeconomic situation of Mediterranean countries and in particular in Italy and Spain, ended with a result affected, in terms of sales, by these difficulties. So, as already mentioned, 2013 will be a transition year. However, despite the uncertainty of the timing of the consumption recovery in Europe, we are confident that our strategy focused on investments in new products and on the gradual shift of our commercial activities towards emerging markets such as Asia Pacific and Russia, where our expansion is in rapid and positive evolution, represents the base for future development of the Group and the relaunch of its growth”.