PARIS — Demonstrating accelerating profitability, Christian Dior said Friday its 2004 operating income is forecast to rocket 25 percent to 50 million euros, or $32.2 million at current exchange.
The French fashion house, which unveils its summer couture collection here today, also cited robust holiday sales, with fourth-quarter revenues rising 11.6 percent to 163 million euros, or $210.3 million. The increase would have been 16 percent excluding currency fluctuations.
Dior cited strength across all geographic regions and credited the “creativity and success of collections” by its trio of designers: John Galliano for women’s, Hedi Slimane for men’s and Victoire de Castellane for fine jewelry. “December was good in all categories,” said Dior chief executive Sidney Toledano. “And the trend is good for the beginning of the year.” He noted that January has started off strongly with sales of Galliano’s spring ready-to-wear and handbags, particularly logo styles festooned with vintage-style embroidery.
For the full year, Dior sales totaled 595 million euros, or $767.6 million, a 14 percent increase on a reported basis, or 18 percent in constant currency terms. Sales in the U.S. and Asia were strongest, ahead 40 percent in local currencies, Toledano said. Europe, which has been sluggish, posted a double-digit gain, he added.
French companies report sales and earnings separately. Dior said its audited financial results would be presented to its board for approval in March.
Dior ended the year with 184 wholly owned boutiques, up from 159 at the end of 2003. And the firm plans to keep up the pace, with about 20 openings planned for 2005, including major locations in Osaka, Japan, and Las Vegas in the first half.
Toledano said a weak U.S. dollar looms as the main challenge on the horizon; however, he said Dior is banking on double-digit sales growth for 2005, and more advances in profitability. He noted the brand has yet to experience price resistance due to currency fluctuations.
The fashion house is gunning to reach 1 billion euros in sales by 2007. The Dior perfume and beauty business, which is part of the LVMH Moët Hennessy Louis Vuitton constellation of companies, already generates more than that.Meanwhile, Christian Dior SA, parent company of LVMH and the Dior fashion house, said consolidated 2004 sales reached 13.21 billion euros, or $17.04 billion, representing an increase of 11 percent in organic terms and largely in line with the results posted by LVMH last week.
Taking the final spot on the mens’ portion of New York Fashion Week calendar next month will be none other than @tomford. Though he’s shown his men’s wear in New York in the past, this will mark the first time the designer has shown his men’s collection alone during New York Fashion Week: Men’s. His runway show will debut on February 6 at the Park Avenue Armory. #wwdfashion
London-based couture house @ralphandrusso has certainly been in the spotlight, having its dresses worn by @beyonce, Angelina Jolie, Meghan Markle in her engagement photos and more. For couture, Tamara Ralph focused on ornamentation — think: feathers with chain mail, jet embroidery and clusters of pearls and crystals. See the rest of the collection on WWD.com #wwdfashion #couture (📷: @giovanni_giannoni_photo)
Minnie Mouse celebrated her 90th birthday by getting her own star on the Hollywood Walk of Fame. For her celebratory luncheon, @coach’s creative director @stuartvevers dressed her in a custom made prairie dress, complete with Vever’s take on the polka dot – black sequined versions – under a cropped motorcycle jacket. The designer also put his own mark on Minnie’s classic red shoes, infusing the color with sparkles and adding some Coach crystals. “We chose colors that were very Minnie and also represented quintessential Coach elements,” said Vevers. #wwdfashion #nationalpolkadotday (📷: George Chinsee)
@nickjonas is unveiling his first-ever apparel collection through a partnership with John Varvatos. The limited-edition capsule, which makes its debut in spring, also marks the first time the designer has collaborated with anyone on a line. “The process in working with Nick is amazing. It’s inspiring to be around someone who is not only connected with the trade that they do, but also with what’s happening in the environment around him, and how that connects to what we do with style,” said Varvatos. (RG: @johnvarvatos) #wwdfashion
@margotrobbie steps out onto the red carpet wearing @miumiu. The actress is nominated for “Outstanding Performance by a Female Actor in a Leading Role” in “I, Tonya” at the #SagAwards. (📷: Stewart Cook) #wwdfashion
For @massimogiorgetti of @msgm, the Nineties are his favorite decade. “They had a huge impact on my personal growth. What I like of the Nineties is that they are not so precise in terms of style as other decades…there was actually a bit of everything,” he said. As seen on MSGM’s Spring 2018 show: tie-dye and a bit of grunge, two styles that are synonymous with the decade #wwdfashion #wwddecades (📷: @kukukuba)