MILAN — A solid performance in all its main markets lifted Yoox Group’s net profit last year by 23.9 percent to 12.6 million euros, or $16.6 million, compared with 10.2 million euros, or $13 million, in 2012.
The Italian e-tailer posted revenues of 455.6 million euros, or $601.4 million, up 21.2 percent compared with 375.9 million euros, or $481.1 million, at the end of the previous year. The fourth quarter showed an acceleration on the first nine months, registering a 24.1 gain to 136.3 million euros, or $185.3 million.
Dollar figures were converted from the euro at average exchange rates for the periods to which they refer.
During a conference call with analysts, Federico Marchetti, founder and chief executive officer of the group, said Yoox “proved to be a high-growth company,” touting the effectiveness of its business model and describing 2013 as the “best year.”
Based on a performance that “looks almost perfect,” the entrepreneur was confident that “all the investments made will continue to fuel future long-term growth,” and that Yoox “will post another year of profitable growth.”
Marchetti said the plan is to continue to reinvest in innovation, with particular focus on mobile, which accounted for 40 percent of the group’s traffic at the end of the year, compared with 8.5 percent in 2012.
In the 12 months ended Dec. 31, the multibrand business line, which includes Yoox.com, Thecorner.com and Shoescribe.com, saw sales grow 25.3 percent to 328.2 million euros, or $433.2 million, boosted by a solid performance of all three online stores. In the fourth quarter, sales grew 29.6 percent, driven by an acceleration of Yoox.com, which “marked the biggest increase in sales ever registered in absolute terms, thanks to a significantly higher customer retention rate, a further improvement in the conversion rate and an outstanding Christmas campaign,” said the company. At the end of December, the multibrand business accounted for 72 percent of total sales.
The Italian e-tailer also manages e-stores for designer brands from Giorgio Armani to Ermenegildo Zegna, and this channel posted sales of 127.4 million euros, or $168.1 million, up 11.9 percent from the previous year. In the fourth quarter, sales were up 11.9 percent. During 2013, the group launched e-stores for Missoni and Dodo.
Marchetti noted the “successful and timely launch” of all six online stores of the brands originally included in the joint venture with Kering, from Alexander McQueen to Bottega Veneta and Balenciaga, as well as the addition of Brioni in November 2013.
Asked during the call whether Gucci may join the joint venture with Kering, Marchetti said, “We hope, but it’s premature [to discuss].”
Last year, the monobrand business line accounted for 28 percent of group sales with 37 online stores.
North America was the group’s number-one market, with net revenues of 102.8 million euros, or $135.7 million, accounting for 22.6 percent of sales, and gaining 26.1 percent in 2013. “The U.S. is a great opportunity for long-term growth,” said Marchetti.
Despite Italy’s economic struggles, the country showed a marked acceleration in the fourth quarter, with sales growing 31.3 percent, the highest rate recorded by the domestic market since 2009. The Rest of Europe gained 21.4 percent in the year, accelerating further in the fourth quarter (up 26.8 percent), boosted by an “exceptional” performance in the U.K.
Japan was up 10.7 percent during the year and 7.4 percent in the last quarter, despite the sharp depreciation of the yen. At constant exchange rates, Japan would have grown 40 percent in the year and 39.6 percent in the last quarter.
Other Countries grew 49.4 percent in the year.
Asked by an analyst about the performance of Asia-Pacific, Marchetti said China will continue to fuel the group’s growth, also leveraging “a new additional logistics structure. We confirm our long-term strategy in China,” he said, adding that he was “very optimistic” about China in 2014.
@tradesy is turning the concept of a showroom upside down with its new space in Santa Monica. Here, the company plans to hold events, art exhibits and a showcase rare fashion pieces like this Louis Vuitton boxing set. Get all the details on Tradesy’s first showroom on WWD.com. #wwdnews
Spotted last night at the @erdem x @hm launch event: Kate Bosworth, Rashida Jones, Kirsten Dunst and Selma Blair. The party, which took place in LA, also marked the opening of their pop-up shop. “I was interested in creating a collection that wasn’t in any way disposable. It was about pieces you’d create and keep forever, things that have a permanence to it,” designer Erdem Moralioglu said. #wwdeye (📷: Katie Jones)
Renee Zellweger in yellow in 2001 and again in 2017. Chosen as one of the 12 @pantone Leading Spring Colors (and dubbed “Meadowlark”), it only makes sense that the bright hue stands the test of time and is making a resurgence this season, seen already on stars like @blakelively and @gigihadid. (📷: Donato Sardello & @rexfeatures) #wwdfashion #tbt
Dior’s 70th anniversary celebration continues with a new exhibition at the Royal Ontario Museum in Toronto. “Christian Dior,” which is scheduled to run through March 18, takes a look at the founders tenure from 1947 to 1057 and feature 40 designs. Pictured here is an evening gown from the Ailée, fall 1948-49 haute couture collection. #wwdfashion (📷: Brian Boyle)
As one of the most recognizable models in the world, Christy Turlington Burns has an insider’s view of the fashion industry and the allegations of sexual harassment swirling around it. “I can say that harassment and mistreatment have always been widely known and tolerated in the industry. The industry is surrounded by predators who thrive on the constant rejection and loneliness so many of us have experiences at some point in our careers,” Turlington told WWD, along with her suggestions for how the modeling world should protect younger women and men. Read more on WWD.com. Link in bio. (📷: Tony Palmieri) #wwdnews
@asics America has tapped a new brand ambassador: famed DJ/record producer @steveaoki. This initiative is intended to set the tone for the new brand identity and philosophy and will include partnerships with influencers and in-store and off-line activations that will continue into next year. This is Asics’ most significant marketing effort in two decades, and is expected to attract younger consumers to the brand. #wwdfashion
24-year-old Jean Prounis is redefining the rules of jewelry. Formerly a studio assistant to Jemima Kirke and a design apprentice at Ghuran, she focuses on handcrafted subtleties and ancient goldsmithing techniques. “There was a really sterile feel in the environment and I wanted to have jewelry with character that shapes how you wear it everyday,” Prounis said. Each piece is hand made in New York, either by Prounis or three other jewelers in the district. #wwdfashion
“These collections continue to build on that vision, empowering differently abled adults to express themselves through fashion,” said @tommyhilfiger of his line of adaptive apparel, which launches today. The line consists of 37 men’s and 34 women’s styles based upon the pieces from the spring Tommy Hilfiger sportswear collection. #wwdnews