Latest news with #Sinsay
Fibre2Fashion
20-06-2025
- Business
- Fibre2Fashion
Polish company LPP's online sales climbs by 25.1% in Q1 FY25
In the first quarter of 2025, the Gdansk-based company recorded strong double-digit sales growth in both the traditional channel by 19.9 per cent and online by 25.1 per cent respectively. The beginning of the current financial year at LPP was marked by the laying of strong foundations for the implementation of the long-term development strategy announced by the company in April. In Q1, Poland's LPP saw strong double-digit sales growthâ€'19.9 per cent in-store and 25.1 per cent onlineâ€'driven by its omni-channel strategy. The company opened 136 new stores, expanding its network to nearly 3,000 locations. LPP is expanding into Central Asia and Eastern Europe while focusing on profitability, flexible strategy execution, and optimising store formats. The plan to strengthen the physical network while leveraging the potential of e-commerce, which was launched last year, resulted in double-digit sales growth in both channels in the period from February to April. Operational efficiency and optimal use of infrastructure built with long-term business goals in mind allowed the company to return to double-digit profit growth and generate nearly PLN 1 billion (~$26.83 billion) in EBITDA in the reporting period. 'We have had an intense but successful start to the year in terms of sales. We are pleased with the positive reception of our spring collections, especially given the subdued consumer sentiment across the market. Meanwhile, the double-digit revenue growth achieved by LPP, both in the traditional and online channels, serves to prove that we not only have an excellent understanding of customer expectations, but also respond flexibly to changing market conditions. Our priority remains a broader view of the market and the intensive, yet stable and secure development of the group in the coming years,' said Marcin Bójko, vice-president of LPP for finance . The first quarter sales results and the return to double-digit growth in quarterly profits confirm that the ambitious business plans for the coming years will be implemented on a solid financial basis. The group maintains its target of doubling its omni-channel revenue and expanding its physical network by 2027, while maintaining profitability at the declared level. Consistently pursuing this goal, in the first quarter of this year, the company opened 136 new stores, including 112 Sinsay stores. As a result, the group's physical network now comprises nearly 3,000 locations, and the total sales area increased by 22 per cent year-over-year, exceeding 2.5 million square metres. The effectiveness of LPP's network development and the maintenance of strong budgetary discipline are reflected in SG&A costs, which grew more slowly than revenue in the first quarter. LPP is also continuing its expansion into new markets. Following successful debuts in Albania and Kosovo in the first quarter of this year, the company plans to open 20 more Sinsay stores in both countries. Following Central and Southern Europe, the company's next expansion direction will be Central Asia, including a return to the development of its sales network in Kazakhstan, where 60 new Sinsay stores will open by the end of the year. The brand will also debut in Uzbekistan, Azerbaijan, and Georgia, and in the first quarter of 2026 it will enter a new European market, Moldova, the company said in a press release. 'We are closing the first quarter of this year with the conviction that the development strategy based on the unique and scalable Sinsay concept remains unchanged in the long term. However, the key to achieving our goals is not the number of stores opened in the coming quarters, but what has been our advantage in recent years, namely the flexible adaptation of our assumptions to the realities we encounter at every stage of our business plans. Acting in this vein, we already know that our overriding goal will be to maintain profitability and eliminate factors that could dilute it. Hence, our current goal is to optimise the product mix in selected smaller stores and focus on the formats and locations that offer the highest quality in the long term,' explained Bójko. Fibre2Fashion News Desk (RR)
Time of India
13-06-2025
- Business
- Time of India
Poland's LPP cuts 2025/26 sales outlook, blames unseasonably cold spring
Poland's biggest fashion retailer LPP reported on Thursday a better-than-expected first-quarter net profit but lowered its sales forecast for the 2025/26 financial year, blaming sluggish market conditions due to unseasonably cold weather. LPP, owner of fashion chain Reserved and other brands located mostly in central Europe, said net profit for the first quarter totalled 334 million zlotys ($90.49 million), above analysts' forecast of 246 million zlotys. However, LPP reduced its revenue forecast for the 2025/26 financial year to about 23-24 billion zlotys from the previously projected 25-26 billion zlotys, saying exceptionally cold weather in May had reduced demand for spring-summer collections. "This year's start of the second quarter for us was recorded as a quarter influenced by the weather, a historically cold May," Chief Financial Officer Marcin Bojko said during a conference call. "At that time, our stores were offering the summer collection. Customer purchasing motivations for this type of clothing were low due to the cold weather and low temperatures(...) however in June we are already seeing a significant improvement", he added. A sluggish spring has also impacted other European fashion retailers. H&M's sales grew by just 1% in March compared to 4% in the same period a year earlier. Inditex, owner of Zara, reported weaker-than-expected results on Wednesday as tariff fallout and unfavourable weather conditions weighed on sales across the sector, complicating the fast-fashion retailer's efforts to maintain strong growth. EXPANSION PLANS As of April 30, LPP had 2,959 stores, 1,611 of which are Sinsay stores, its budget brand which aims to compete with fast fashion retailers like Inditex's Bershka. In 2025, LPP plans to expand its retail space by about 25-30%, focusing mainly on the development of the Sinsay brand and aiming for around 1,100 stores. Under its three-year strategy announced in April, LPP aims to double its annual revenue to 40 billion zlotys by 2027, with Sinsay set to account for 75% of the group's total sales. The company also plans to expand its store network to around 7,500 outlets by the end of 2027.
Reuters
12-06-2025
- Business
- Reuters
Polish fashion retailer LPP's Q1 profit rises 20%, beats forecast
June 12 (Reuters) - Poland's biggest fashion retailer LPP ( opens new tab on Thursday reported a 20% year-on-year rise in its first-quarter net profit, boosted by higher sales and favourable exchange rate movements. Net profit came in at 334 million zlotys ($90.49 million), versus analyst forecasts of 246 million zlotys. Operating profit for the quarter increased by almost 13% year-on-year to 464 million zlotys, while gross margin rose to 54.0%, up 1.9 percentage points from the previous year. As of April 30, LPP had 2,959 stores, 1,611 of which are Sinsay stores, its budget brand which aims to compete with fast fashion retailers like Inditex's ( opens new tab Bershka. In 2025, the company plans to expand its retail space by about 25-30%, focusing mainly on the development of Sinsay brand, aiming for around 1,100 stores. The Gdansk-based retailer, whose stores are mainly located in Central Europe, now forecasts revenues of approximately 23-24 billion zlotys for the 2025 financial year, anticipating growth in traditional retail through increased store space and positive like-for-like sales, as well as continued expansion in its online channel. Under its three-year strategy announced in April, LPP aims to double its annual revenue to 40 billion zlotys by 2027, with Sinsay set to account for 75% of the group's total sales. The company also plans to expand its store network to around 7,500 outlets by the end of 2027.
Fashion United
12-06-2025
- Business
- Fashion United
Reserved parent company LPP starts new financial year with strong growth
Polish apparel group LPP SA achieved strong revenue and profit growth in the first quarter of its 2025/26 financial year. This was revealed in an interim report published on Thursday by the parent company of the Sinsay, Reserved, Cropp, House and Mohito brands (LPP). However, due to developments in recent weeks, management lowered its revenue forecast for the full year. In the first quarter, which ended on April 30, consolidated revenue amounted to 4.95 billion złoty (986.6 billion pounds). This exceeded the level of the same period last year by 15 percent. The group owed its strong growth not least to above-average increases in its two main brands: Sinsay's revenue rose by 30.8 percent to 2.75 billion złoty; Reserved achieved an increase of 22 percent to 1.39 billion złoty. Management lowers revenue forecast for current year Operating profit reached 464 million złoty, which represented an increase of 12.9 percent compared to the same quarter last year. Net profit attributable to shareholders grew by 21 percent to 334 million złoty. However, management lowered its revenue forecast for the current financial year, which had previously been between 23 and 24 billion złoty, to between 23 and 24 billion złoty. The decision was justified by business developments in the first few weeks of the second quarter. "Exceptionally low temperatures" in Poland and the rest of Europe had dampened demand for the SS22 collections, the company explained. This article was translated to English using an AI tool. FashionUnited uses AI language tools to speed up translating (news) articles and proofread the translations to improve the end result. This saves our human journalists time they can spend doing research and writing original articles. Articles translated with the help of AI are checked and edited by a human desk editor prior to going online. If you have questions or comments about this process email us at info@
Fashion Network
12-06-2025
- Business
- Fashion Network
Reserved and Sinsay owner's Q1 profit rises 20%, beats forecast
Poland's biggest fashion retailer LPP on Thursday reported a 20% year-on-year rise in its first-quarter net profit, boosted by higher sales and favourable exchange rate movements. Net profit at the owner of Reserved and Sinsay came in at 334 million zlotys ($90.49 million), versus analyst forecasts of 246 million zlotys. Operating profit for the quarter increased by almost 13% year-on-year to 464 million zlotys, while gross margin rose to 54.0%, up 1.9 percentage points from the previous year. As of April 30, LPP had 2,959 stores, 1,611 of which are Sinsay stores, its budget brand which aims to compete with fast fashion retailers like Inditex 's Bershka. In 2025, the company plans to expand its retail space by about 25-30%, focusing mainly on the development of Sinsay brand, aiming for around 1,100 stores. The Gdansk-based retailer, whose stores are mainly located in Central Europe, now forecasts revenues of approximately 23-24 billion zlotys for the 2025 financial year, anticipating growth in traditional retail through increased store space and positive like-for-like sales, as well as continued expansion in its online channel. Under its three-year strategy announced in April, LPP aims to double its annual revenue to 40 billion zlotys by 2027, with Sinsay set to account for 75% of the group's total sales. The company also plans to expand its store network to around 7,500 outlets by the end of 2027. © Thomson Reuters 2025 All rights reserved.
