British high fashion designer Jimmy Choo, best known for its luxury shoes, saw its revenues jump 14.5 percent last year to to £364m ($447m).
Pierre Denis, chief executive of Jimmy Choo, said: “2016 was a landmark year for Jimmy Choo. Not only did we successfully celebrate 20 years of heritage but record revenues and profitability are testament to the growing appeal and strength of our brand.”
Go deeper with GlobalData
Although shoes still account for the majority of the company’s sales, its menswear range which launched in 2011, is now its fastest-growing category.
While menswear brought in 9 percent of revenue, the company also pointed to the popularity of its trainers.
The starting price of a pair of trainers from Jimmy Choo’s Miami sneaker range is £350.
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Thank you!
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form
By GlobalData“The retailer’s move into men’s accessories and footwear comes as men show more interest in style and fashion, while its range of luxury trainers has helped leverage the lucrative athleisure trend,” Fiona Paton, a retail analyst at GlobalData told Verdict.
“The retailer reported both developments have been successful, especially men’s footwear and accessories which is now its fastest growing category representing nine percent of all sales.”
However, Jimmy Choo’s pre-tax profit fell to £17.7m in 2016 from £22.1m the year before, partly owing to currency fluctuations.
Jimmy Choo invested in opening 10 new stores, which contributed to the pre-tax profit drop.
The slump in sterling after the EU referendum vote also had an impact on “the financial results and client purchasing behaviour” in the UK, according to the company.
Aside from the UK, Jimmy Choo is struggling in the US, particularly in department stores. The fall in footfall to department stores’ luxury concessions caused total wholesale revenue to decline 3.9 percent.
“Choo has very strong growth prospects across all its channels,” Tom Gadsby, an analyst at Liberum, the London-based equities brokerage and investment banking firm told BBC News.
