×
73 980
Fashion Jobs
ROSS
Store Protection Specialist
Permanent · Honolulu
ULTA BEAUTY, INC.
General Manager
Permanent · Champaign
JCPENNEY
Sales Floor Supervisor - Village @ Fairview
Permanent · Fairview
KOHLS
Full-Time Sales Supervisor - Hardlines
Permanent · Phoenix
KOHLS
Full-Time Sales Supervisor - Hardlines
Permanent · Topeka
ABERCROMBIE KIDS STORES
Abercrombie Kids - Manager in Training, Natick
Permanent · Natick
MACY'S
Asset Protection Detective, Perimeter Mall - Full Time
Permanent · Atlanta
MACY'S
Asset Protection Detective, Oak Brook Center - Full Time
Permanent · Oak Brook
MACY'S
Asset Protection Security Guard, Herald Square - Full Time
Permanent · New York
MACY'S
Asset Protection Detective, Mall at Greece Ridge Center - Full Time
Permanent · Rochester
MACY'S
Asset Protection Detective, Bowie Towne Center - Full Time
Permanent · Bowie
MACY'S
Asset Protection Detective, Cool Springs - Part Time
Permanent · Franklin
MACY'S
Asset Protection Detective, Greenbrier - Full Time
Permanent · Chesapeake
MACY'S
Asset Protection Detective, Northridge Fashion Center - Full Time
Permanent · Los Angeles
MACY'S
Asset Protection Detective, Superstition Springs Center - Part Time
Permanent · Mesa
MACY'S
Asset Protection Detective, Westminster - Full Time
Permanent · Westminster
MACY'S
Asset Protection Security Guard, Green Acres - Part Time
Permanent · Valley Stream
MACY'S
Asset Protection Detective, Sherman Oaks Fashion Square - Part Time
Permanent · Los Angeles
MACY'S
Asset Protection Detective, Woodbridge Center - Part Time
Permanent · Woodbridge Township
MACY'S
Asset Protection Detective, Center City - Part Time
Permanent · Philadelphia
MACY'S
Asset Protection Detective, State Street - Full Time
Permanent · Chicago
MACY'S
Asset Protection Detective, Herald Square - Full Time
Permanent · New York
Translated by
Nicola Mira
Published
Aug 28, 2017
Reading time
2 minutes
Share
Download
Download the article
Print
Click here to print
Text size
aA+ aA-

Chanel posts negative results for second consecutive year

Translated by
Nicola Mira
Published
Aug 28, 2017

Unlike its main competitors, LVMH and Kering, which last year both posted record growth, in 2016 Chanel suffered a fall in sales and profits, according to the figures filed with the Amsterdam Chamber of Commerce by International BV, the Dutch holding company which controls the luxury fashion label and its subsidiaries. The information was picked up by Swiss newspaper Bilan and French newspaper Le Monde.


The Chanel haute couture show for winter 2017 - © PixelFormula


After years of steady growth, Chanel indeed continues to slow down. As in 2015, last year the French fashion label, led since 1983 by Creative Director Karl Lagerfeld, saw its net income plummet by 34.8%, down to $874 million (€736 million), while its revenue lost 9%, reaching $5.67 billion (€4.77 billion).
 
According to the group, the downturn is chiefly explained by the sale of its Chanel Limited UK subsidiary, which accounts for approximately 11% of sales, to another Chanel-owned corporation. "On a like-for-like basis and at constant exchange rates, the results were on par with 2015," wrote the group in its yearly report, noting also how, among other reasons, in the first part of the year Chanel was affected by the terrorist attacks in Europe, which "had a negative impact on tourist flows and consequently sales."

Operating income was also down in 2016, falling by 20% to $1.28 billion (€1.07 billion). As for Chanel's net profit margin, it dropped to 15.4%, compared to 21.5% in 2015.
 
But while the label is less and less profitable, it does not fail to regularly add to the wealth of its two majority shareholders, the brothers Alain and Gérard Wertheimer. In 2016, they both doubled their dividends, which rose from $1.643 billion (€1.39 billion) in 2015 to $2.8 billion a year later. As a result, cash flow decreased, from $1.3 billion to $980 million.
 
Chanel is nevertheless optimistic about the current year, during which it hopes to make up for lost ground, riding the luxury industry's strong growth trend. In particular, Chanel pins its hopes on its new fragrance and new handbag model, both named Gabrielle, its renowned founder's name.

Copyright © 2023 FashionNetwork.com All rights reserved.