Despite incurring a loss of 2.7 million euros in the third quarter, Adolfo Dominguez experienced a 13.2% increase in sales, signaling a positive trend for the Spanish fashion company.
During the three months ending September 30th, the company’s sales rose to 42.5 million euros compared to 37.5 million euros in the same period last year. This sales growth was primarily driven by the company’s physical stores, which saw a 34.3% increase in revenue. Online sales, however, decreased by 28.2%.
Despite the overall loss, Adolfo Dominguez saw improvements in its gross operating profit (GOP), which increased by 3.6 million euros to reach 19.8 million euros. This improvement is attributed to the company’s efforts to control costs and optimize its retail network.
Adolfo Dominguez’s expansion plans are on track, with three new stores opened in Spain and Portugal during the third quarter. The company plans to continue this expansion by opening 10 to 12 new stores in the next fiscal year, primarily in Latin America.
The company’s focus on sustainability continues to be a key aspect of its strategy, with Adolfo Dominguez receiving recognition for its ongoing commitment to responsible fashion practices.
In a statement, Adolfo Dominguez’s Executive President, Adriana Dominguez, expressed optimism about the company’s future, highlighting its focus on innovation, sustainability, and customer satisfaction. She stated that the positive sales growth in the third quarter demonstrates the company’s resilience and its ability to adapt to the evolving retail landscape.
Overall, while Adolfo Dominguez incurred a loss in the third quarter, the company’s sales growth and strategic initiatives position it for a positive outlook in the coming year..
