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.
There'll be no rest for those headed to Europe for men's, as Paris just closed the gap with Milan. According to a provisional calendar released by the Chambre Syndicale, Paris Men's Week will now open a day earlier on January 16. See new highlights on the official lineup on WWD.com. #wwdnews #wwdfashion (📷: @kukukuba)
BREAKING: Jonathan Saunders is leaving @DVF. The designer has resigned from his position as chief creative officer of Diane von Furstenberg, the company said in a statement on Friday. At the time of his hire, von Furstenberg said Saunders’ arrival symbolized and facilitated her stepping back from the day-to-day duties that occupy the work of a full-time creative director. The British designer joined DVF in May 2016 and was in charge of all product categories. #wwdnews
For @versace_official’s spring ad campaign, the brand emphasized the archival prints from the spring tribute collection dedicated to the late Gianni Versace. Closing out the show were five of Gianni’s favorite models: Cindy, Naomi, Carla, Helena, and Claudia. Bowing on December 18, the new campaign is yet another tribute to supermodel-dom as the images by Steven Meisel are fronted by @iamnaomicampbell, @cturlington, @gisele and more. #wwdfashion
Four-time Oscar-nominated actress Annette Bening has been waiting 20 years to play Gloria Graham in "Film Stars Don't Die in Liverpool," which will be released on December 29. The movie about Graham – a Hollywood star known for her controversial relationship with a younger Englishman named Peter Turner – is based off a memoir Turned wrote. "She felt vulnerable to him, because she loved him, she really did love him. And anyone that we really truly are in love with, we re vulnerable to in a very deep way," said Bening. Read our full interview with the modern icon of an actress on WWD.com. #wwdeye (📷: @ninebagatelles; Styled by @cristinaehrlich)
The crisp white button down: a staple that can be dressed up or down and accessorized throughout the decades. Here, on a Art Basel-goer in 2017 on the left and on the iconic Audrey Hepburn in “Roman Holiday” in 1953 on the right. #tbt #wwdfashion (📷: Andrew Morales)
Known for her work with @victoriassecret, 25-year-old model @georgiafowler is raising her profile in Hollywood. Fowler stars in @vincecamuto’s holiday campaign, which launched in partnership with “Pitch Perfect 3.” “Almost every shoot with Vince Camuto, I’ve had to face a fear…It was definitely a challenge. I’m so grateful for it, though. I’ve always wanted to be a pop star, so that was the perfect chance,” Fowler said. Head to WWD.com to read about Fowler’s experience modeling, including at the #VSFashionShow, and her relationship with Nick Jonas. #wwdeye (📷: @jilliansollazzo)
EXCLUSIVE: Huda Kattan just became the first beauty influencer to land a major beauty deal. Kattan's business, @hudabeauty, has received a minority investment from private equity firm TSG Consumer Partners. The brand, which industry sources say is on track to do $200 million in retail sales for 2017, will receive support on product, retail and geographic expansion through the deal. Get all the details on the deal and read @_a_collins' interview with Kattan on WWD.com. Link in bio. (📷: @jgreenery) #wwdbeauty #wwdnews
Peruvian model @juanaburga_official – who is known for walking the runways of @rodarte, @viviennewestwood and @torybuch – is making the move to the big screen with drama “Los Últimos.” The film premiered in Argentina in November and arrives in the U.S. and Europe in 2018. On making the switch from modeling to acting, Burga told WWD: “It’s a completely different thing – a lot of people think it’s similar or try to connect things, especially like getting used to the camera or being looked at all the time or playing these different characrers, but film is a completely different story.” #wwdeye (📷: @jgreenery)
London’s newly opened @designmuseum will look back on the life and work of Azzedine Alaïa in a show that the designer helped to curate before he died of heart failure last month. The retrospective, which Alaïa had worked on with Mark Wilson, chief curator of the @groningermuseum, will look at the impact of his work worldwide. The show, “Azzedine Alaïa: The Couturier,” will run from May 10 to October 7. Read more about the exhibit on WWD.com #wwdnews #wwdfashion (📷: @zefashioninsider)