Jimmy Choo’s profits soar to £18m in face of ‘challenging conditions’
JIMMY CHOO has seen profits more than double as the luxury shoe brand pulled in customers with its men’s range and revamped stores.
The British firm secured a 174% rise in half-year pre-tax profits to £18.1m, with like-for-like sales growing by 3.5% over the period. Total revenues climbed 16.5% to £201.6m on a reported currency basis as the retailer enjoyed a boost from the Brexit-hit pound.
The store overhaul programme saw the company close five shops and open six new ones in the first half of the year, bringing its store estate to 151.
The update comes as Jimmy Choo merges with Michael Koors after the US fashion house secured a £896m deal to buy its British rival in July.
Chief executive Pierre Denis said he was delighted by the performance as the firm grapples with “challenging market conditions”.
He said: “Strong underlying cash conversion has also allowed us to deleverage, providing us with a stable platform to deliver further strong growth.
“Our long-term growth strategy is to nurture the brand’s unique DNA, to strive for excellence in business execution and to enhance client experience, in order to deliver superior growth and profitability, as well as leveraging the significant investments we have made in the business to date.
“We have continued to make good progress through the first half and are well positioned to deliver over the remainder of the year.”
Stripping out the impact of currency translations, retail and licensing sales rose 6.7% to £127.1m for the six months ending in June.