Despite fears stated by Remo Ruffini, chief executive officer of the brand, Moncler took successful action to offset Hong Kong business slowdown. In fact, in 2019 third quarter incomes increased by 10% at fixed rates of exchange, slightly above expectations, and by 12% at current rates of exchange. Consequently, at the end of the first nine months of the year, overall revenues nearly reached one billion euros (995.3 million euros), therefore going up by 14% at current rates of exchange and by 12% at fixed rates of exchange. Financial analysts, engaged in a survey carried out by Reuters, had predicted, on average, a 990-million-euro turnover.
Instability and volatility
“We are all aware we are going to face higher instability and volatility days. That is why we must keep strengthening the group’s ability to play smart and quickly”, announced Ruffini while presenting the company’s financial statements. For the records, sales have been slowing down right in Italy: in fact, in the first nine months of the year revenues augmented by 6%, but in the third quarter they just went up by 4%.
As reported by Reuters, in Hong Kong Moncler sales have decreased by 40% throughout the third quarter of the year. Moncler announced they have decided to postpone or suspend a few investments in marketing and communication in Hong Kong. Furthermore, they asked landlords to lower the rent for commercial properties where the brand holds its boutiques.
In the picture, by Imagoeconomica, Remo Ruffini