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By
Reuters
Published
Nov 14, 2014
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IC Group's fashion sales curbed by mild Nordic weather

By
Reuters
Published
Nov 14, 2014

COPENHAGEN, Denmark - Sales at Danish fashion retailer IC Group, which has recently shed four brands to focus on premium clothing, rose only marginally as warm weather put shoppers off buying its autumn collection.

Revenues grew 1 percent to 828 million Danish crowns ($139 million) while operating profit increased 2.3 percent, in the first quarter of its 2014/15 financial year which ended in October, IC Group said in a statement on Friday.

From the Saint Tropez brand, owned by the IC Group | Photo: IC Group


"In the Nordic region, a relatively warm autumn had a negative impact on the sale of autumn collections in general," it said, echoing comments from retailers in other parts of northern Europe.

IC Group, the second largest fashion retailer in Denmark by market share behind privately owned Bestseller, stuck to a forecast of increasing operating profit in full-year 2014/2015.

Revenues in its three premium brands, Malene Birger, Tiger of Sweden and Peak Performance, increased 7 percent. That compensated for a 17 percent revenue fall in the company's last remaining wholly-owned mid-segment brand, Saint Tropez.

IC Group sold its four mid-market brands in June: InWear, Matinique, Part Two and Soaked in Luxury, to competitor DK Company.

DK Company this week posted a 10 percent increase in operating profit in its continuing operations in its third quarter, while the acquisition of the four brands boosted revenues by 50 percent.

1 US dollar = 5.9744 Danish crown
1 GBP = 9.36162 Danish crown

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