Adolfo Dominguez cuts losses by 43.5 percent in H1

The Adolfo Dominguez group increased its comparable sales by 5.4 percent in the first fiscal semester of this year. The company said in a statement that repositioning of the brand with fewer stores, less total sales but more margin and more sales per store, continues to improve the net attributable profit of the company, which grew 43.5 percent year-on-year and stood at negative 2.8 million euros (3 million dollars). The sales figure in these six months, the company added, was 52 million euros (59 million dollars) and Ebitda was negative 1.5 million euros (1.7 million dollars), the best of the company in eight years.

Commenting on the first half trading, Antonio Puente, Director of operations of the company, said in a statement: "The advancing of sales in the first semester not only allows us generating more profitable sales and a repositioning outside of Spain but also in Spain, our comparable sales are evolving very well."

Since the change of management, in the 2016/17 fiscal year, Ebitda improved by 85 percent or 8.3 million euros (9.4 million dollars). Until August 2018, the company opened 12 new stores, nine of them in Sydney and Melbourne, Australia, Chongqing, Huizhou, Zhuhai in China, Acapulco, Mexico City in Mexico and two in Moscow, Russia. In the same period the brand opened three new stores in Spain at Bilbao, Barcelona and A Coruña. Adolfo Domínguez has also just reopened its flagship store in Barcelona, in Paseo de Gracia, after 10 months. The firm has decided to optimize its commercial network, with the closing of less profitable stores and concentrating the investment in new points of sale located in the streets and markets of greater profitability.

This summer, the company signed a strategic agreement with the Mexican multinational Gin Group to accelerate its expansion in several Latin American countries.

Picture:Adolfo Dominguez website