Smcp adjusts 2019 outlook amdist to Hong Kong crisis

Smcp adjusts its full-year outlook. The company has lowered its Ebitda margin objective for 2019 mainly due to the sharp market deterioration in Hong Kong triggered by a significant drop in traffic and temporary store closures over the past few weeks. 

As a result, Smcp now expects to deliver an adjusted Ebitda margin of between 15.5% and 16.0% in 2019, although it reconfirms its full-year sales growth target.

The Hong Kong crisis has affected Sandro, Maje and, to a lesser extent, Claudie Pierlot, which is much less exposed to fast growing international markets, will also affect the group’s margin.

In all other geographies and brands, the group has been delivering according to plan, “including a positive like-forlike sales growth in third and fourth quarter to date, and a continuously strong performance in Mainland China”, says the company in a press release.

Smcp controls Sandro, Maje and Claudie Pierlot, among others, and is owned by Chinese group Shandong Ruyi.