Companies

CCC announces record quarterly sales

Feb 26, 2024 Poland

Against a challenging backdrop, the Polish-based footwear group achieved a record fourth quarter revenue of 2.5 billion Polish zloty (579 million euros) and its EBITDA almost tripled year-over-year

CCC noted that this all-time high revenue recorded from November 2023 to January 2024 was achieved amid “e-commerce sector challenges and diminished sales for the Modivo and e-obuwie.pl business lines, attributed to less-than-optimal inventory management”. The HalfPrice segment was the main contributor to growth in this period, with a revenue increase of 53%, as compared to the same period of the previous year.

In the fourth quarter of its last fiscal year, the group’s gross margin improved by 4 percentage points (pp) to 46.7%, mainly driven by significant growth in the margins of the CCC and HalfPrice segments (up by 8 pp and 6pp year-over-year, respectively).

“This quarter has been solid in terms of sales and results, yet we aim higher. Our objective is to continuously enhance profitability across all our business lines. We hope 2024 will see a steady recovery in consumer purchasing power. With inflation slowing down and household spending on the rise, we anticipate a favourable environment for growth. We’re ready to fully leverage this favourable climate across all our business lines”, commented Dariusz Milek, CCC Group CEO.

CCC also recorded an operating profit of 96 million Polish zloty (22.2 million euros) for the period, reflecting an increase of 147 million Polish zloty (34.1 million euros), and its EBITDA almost tripled, on a comparable basis to a similar period a year ago. In particular, the CCC segment’s EBITDA margin rose sharply for the second consecutive quarter, surpassing the 20% mark, and the HalfPrice segment’s operating profit more than quintupled in the last quarter compared to the same period last year.

“In 2024, we are targeting double-digit sales growth for the Group, gross margin improvements across all lines of business, unwavering cost discipline, elevated EBITDA profitability in each business line, and a reduction in finance costs”, added Milek.

1 PNL = 0.23 EUR

Image Credits: reuters.com

Poland CCC Footwear Quarter Results Results Shoes