1 480
Fashion Jobs
MAJID AL FUTTAIM
Sales Executive - Horeca
Permanent · ABU DHABI
ADIDAS
Senior Manager Talent Partnering
Permanent · DUBAI
A & F
Abercrombie & Fitch CO. - Full-Time Brand Representative, Dubai (Emirati National)
Permanent · DUBAI
COTY
Regional Key Account Manager cb
Permanent · DUBAI
WHITE STUFF
Merchandise Planner - Fashion
Permanent · DUBAI
WHITE STUFF
Manager - Finance
Permanent · DUBAI
TIFFANY & CO
Accounts Payable Lead Mea
Permanent · ABU DHABI
HUDA BEAUTY
Commercial Manager - India
Permanent · DUBAI
WHITE STUFF
Information Security Grc Manager
Permanent · DUBAI
WHITE STUFF
Internal Audit Manager
Permanent · DUBAI
TALENT PAL
Information Security & Operations Senior Project Manager Chalhoub Group
Permanent · DUBAI
TALENT PAL
Retail Sales Executive Malabar Group
Permanent ·
CHALHOUB GROUP
Senior Project Manager 3d
Permanent · DUBAI
CHALHOUB GROUP
Associate Sustainability (Emiratisation)
Permanent · DUBAI
HUDA BEAUTY
Senior PR & Influencer Marketing Manager
Permanent · DUBAI
A & F
Abercrombie & Fitch CO. - Full-Time Brand Representative, Abu Dhabi (Emirati National)
Permanent · ABU DHABI
COTY
Area Sales Manager
Permanent · DUBAI
WHITE STUFF
Director of Erp Change Management
Permanent · DUBAI
TIFFANY & CO
Visual Merchandising Specialist - Uae
Permanent · ABU DHABI
CHRISTIAN DIOR COUTURE
CRM Manager - Mall of The Emirates - Dubai
Permanent · DUBAI
CHRISTIAN DIOR COUTURE
CRM Manager - Arabic Speaker - Abu Dhabi
Permanent · ABU DHABI
CHRISTIAN DIOR COUTURE
Event Manager
Permanent · DUBAI
Published
May 19, 2017
Reading time
2 minutes
Download
Download the article
Print
Text size

Richemont takes stake in Dufry, aims to grow its brands in travel retail

Published
May 19, 2017

Dufry and luxury giant Richemont both saw their shares rising Friday morning after it emerged that Richemont has acquired a 5% stake in the global travel retail leader.


Dufry



Dufry’s shares rose over 6% on the Zurich bourse to beat the index’s overall performance, while those of Richemont edged up slightly.

While the move surprised many analysts they agreed it made sense, and the company confirmed the news, saying that it wants to enable its labels to access strong retail locations and that luxury consumers today are increasingly consumers who travel.

Richemont is known to have been looking at the buoyant travel retail sector as a way to drive sales rises and analysts pointed out that its chairman Johann Rupert had said on his most recent earnings conference call that travel retail could be a prime segment for it to grow in small leathergoods specifically. Industry watchers said it will be key for the conglomerate’s watch sales too.

Richemont owns a basket of ultra luxury brands with major interests in leathergoods and watches, including Chloé, Alaïa, Alfred Dunhill, Lancel, Shanghai Tang, Montblanc, Baume & Mercier, Cartier, Piaget and Vacheron Constantin.

Dufry’s share price rise has been particularly impressive this year following news that Chinese conglomerate HNA is building a stake too, in this case one that is approaching 20%. This, along with the Richemont news, has made the shares 25% more expensive today than they were on January 1.

The importance of travel retail operations to luxury firms has been clearly demonstrated over the years by LVMH’s controlling stake in duty free retail giant DFS. Despite what LVMH has described as a “difficult” tourist environment, it has continued to expand the chain into new markets, opening lavish flagships in Angkor, Cambodia and Venice, Italy recently.

Dufry meanwhile said earlier this month that turnover rose 7.2% CHF 1,706.8m in Q1, driven by organic growth and supported by synergies from the World Duty Free acquisition. Gross profit margin further improved to 59.6%. And EBITDA increased to CHF 154.7m.

Copyright © 2024 FashionNetwork.com All rights reserved.