Moncler: sales grew 19% in 2018, and there’s more to come
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Moncler: sales grew 19% in 2018, and there’s more to come

Italian luxury outerwear maker Moncler knows exactly what drove its impressive 2018 performance: the ‘Genius’ collections that have seen it revolutionise its product pipeline and get new fashions into consumers’ hands faster than ever before. This focus on faster-paced collections and social-media displays had a manifest impact on the company’s top and bottom lines throughout the year… and the best thing is, Moncler claims there’s more on the way this year.

Investors liked what they saw in Moncler’s latest figures, and pushed the share price up by 28%, year to date

graph moncler

Source: Yahoo Finance

Moncler said that sales rose by 19% last year, pushing revenues to 1.42 billion euros – a marginal beat against analysts’ expectations of 1.4 billion euros. If you strip currency effects out of that, it translates into sales growth of 22%. The company also beat expectations on the bottom line, delivering adjusted earnings before interest, taxes, depreciation and amortisation of 500.2 million euros. The street had expected to see a figure of 478 million euros.

Taken together, Moncler’s strategies of using Instagram-friendly product launches and speeding up the time table so that it follows a monthly cycle has paid dividends. And even though many observers see the economic outlook as being uncertain, Moncler’s CEO, Remo Ruffini, sees that as a way for Moncler to set itself further apart. In a comment, he said: “We know that economic and geopolitical uncertainties could make the path steeper in the coming months, but I believe it is precisely in difficult times that one becomes stronger.”

Disclosure

Dominion holds Moncler in its Global Trends Luxury Fund.


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