Giordano Q3 revenue falls 8.3 per cent, Greater China down over 13 per cent
Giordano reported third-quarter revenue of HK$820 million, down 8.3 per cent year-on-year. Greater China revenue fell over 13 per cent to HK$352 million, while the Middle East grew 1.2 per cent. The company attributed the drop to non-Giordano brand sales in Indonesia and online decisions in mainland
Giordano reported third-quarter revenue of HK$820 million for the three months ended 30 September, down 8.3 per cent from a year earlier, according to a statement issued on 23 October. Greater China revenue fell over 13 per cent to HK$352 million, while Southeast Asia and Australia revenue declined 6.5 per cent to HK$302 million. The Middle East was the only region to post growth, with revenue up 1.2 per cent to HK$166 million.
Same-store sales for the quarter dropped over 7 per cent to HK$605 million, although Hong Kong same-store sales rose 3.1 per cent. The company said the quarterly revenue decline was affected by sales from non-Giordano brand products in Indonesia and decisions regarding its online business in mainland China. However, it noted that gross margin improved steadily through supply-chain optimisation and disciplined pricing management.
For the first nine months of the year, Giordano's total revenue fell 3.3 per cent to HK$2.734 billion. Greater China revenue dropped about 5 per cent, the Middle East declined over 4 per cent, and Southeast Asia and Australia fell 1 per cent. As of the end of September, the group operated 1,471 stores, a net reduction of 156 from a year earlier.