(Filed Under wholesale Lingerie News). Swiss-based Calida Group reported a loss of 9.8 million Swiss francs (about $10.8 million at current exchange rates) in the first half, as sales fell 18.8% to 146.2 million Swiss francs (about $160.4 million) compared to 180.0 million Swiss francs (about $199.9 million) during the same period in 2019.
In the first half of last year the company made a profit of 3.9 million Swiss francs (about $4.3 million). In addition to the Calida underwear brand, the group also owns the Aubade lingerie label, and the outdoor gear brands Millet and Lafuma.
In the first half, sales at the Calida underwear division fell 14.4% to 54.0 million Swiss francs (about $59.3 million), down from 63.1 million Swiss francs in the first six months in 2019. Meanwhile, the division’s “online sales adjusted for exchange rates effects rose in the reporting period by 63.2% year on year.”
Aubade sales fell 20.7% to 21.9 million Swiss francs (about $24.0 million), from 27.6 million Swiss francs in the same period last year. Online sales were 24.6% higher than in the same period last year.
Group CEO Reiner Pichler explained, “after a good start to the year, we were badly hit by the effects of COVID-19. Thanks to our strong and rapidly growing position in e-commerce and the effective strategic measures put in place, we were able to limit the impact of the lock down to a significant extent.”
As with most companies this year, Calida was vague about the immediate future. “The outlook for the second half of 2020 depends to a large extent on how the COVID-19 crisis unfolds. If the crisis develops in a way that allows for a further easing of government restrictions, it should be possible to compensate for a proportion of the lost revenue and earnings from the coronavirus lock down in the second half of the year.” The firm added “it is encouraging to see that since the end of the lock down sales of all brands have been above average.”
Speaking about its Calida division, the company claimed it has “consolidated its position as an international pioneer in terms of sustainability in the underwear segment. In spring, Calida presented the very first 100% biologically degradable designer Capsule Collection in the industry at the Salon de la Lingerie in Paris. The collection was developed in cooperation with the luxury fashion label Viktor&Rolf. In addition, at the start of 2020, Calida was awarded the Swiss Ethics Prize for its “Cradle to Cradle Certified,” “100% Nature” series.” — NM
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