SMCP Sales Down in Q3 Following Company Warnings

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A slower than expected recovery in China and lack of tourism in Canada dragged the French accessible luxury group’s sales down, after it lowered guidance in September.

It came as no surprise that Sandro, Maje and Claudie Pierlot’s sales were down in the third quarter, following the company’s warning to investors“As expected, in a deteriorating economic environment, with a slowdown in consumer spending in Europe and America, a slow recovery in the Chinese economy and despite a more positive trend in the rest of Asia, we recorded a slight decline in sales over the quarter,” said“In this context, since several months we have been implementing an action plan...

In the Middle East region, the group opened 20 points of sale in the quarter, including expanding into Egypt, where it said sentiment was positive. By brand, the twenties-targeted women’s line Maje saw the biggest decline, with sales down 3.2 percent in the third quarter. SMPC’s Sandro brand, which has both men’s and women’s lines, saw sales clipped 2.2 percent. The combined category grouping its women’s Claudie Pierlot and men’s brand Fursac together was a bright spot brand-wise, ticking up 2.4 percent.

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