Footwear manufacturer and retail company Le Saunda Holdings announced a decrease of 8 per cent in its total retail sales year-on-year for the third quarter of its 2016/2017 financial year, according to a filing with the Hong Kong Stock Exchange.
Same store sales of the retailer also saw a 7.1 per cent drop year-on-year for the quarter, which when coupled with a 40.5 per cent year-on-year drop in the Group’s e-commerce business sales led the group’s diminished performance during the period compared to last year.
As at the end of the group’s financial quarter, November 30, Le Saunda had a total retail network comprised of 822 outlets spread throughout Mainland China, Hong Kong and Macau. However, on the back of the declines in sales, the Group has closed 75 outlets compared to the same period of last year.
Of the total outlets, 737 are in self-owned and in operation in Mainland China, Hong Kong and Macau while 85 outlets are operated under franchising agreements in Mainland China.
According to the Group’s previously launched interim financial report, its total revenue for the first six months of fiscal 2016/2017, from March to August of this year, showed a decline of 13.8 per cent year-on-year to RMB651.2 million (US$94 million) from RMB756 million during the same period of the previous fiscal year.
In addition, the Group’s profit dropped 24 per cent year-on-year to RMB45.6 million during the first half of the fiscal year.
The Group is also engaged in the design and development of handbags and fashion accessories in Mainland China, Hong Kong and Macau.