PARIS (Reuters) – French fashion company SMCP said on Wednesday third-quarter sales were close to pre-pandemic levels, up 8.4% on strong demand in Europe and the United States.
The recovery in Asia has been weighed down by the upsurge in COVID-19 cases, but SMCP, whose brands include Sandro and Maje, has expressed confidence in reaching annual revenue of â¬ 1 billion (1 , $ 2 billion).
SMCP’s third-quarter sales reached 271.7 million euros, better than expected, compared to 248.4 million euros a year earlier. The investment bank Jefferies had cited consensus expectations of 266 million euros.
Under the direction of Isabelle Guichot, recently appointed General Manager, SMCP is refining its vast network of stores. It eliminated small stores while focusing its expansion on fast-growing regions while strengthening its digital services. The prospect of a change in ownership boosted the retailer’s shares, which have risen more than 30% since a unit of its majority shareholder Shandgong Ruyi defaulted on a bond exchangeable for SMCP shares in September. ($ 1 = 0.8593 euro)
(Report by Sudip Kar-Gupta and Mimosa Spencer, edited by Himani Sarkar and David Goodman)
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