RATTI PROFIT UP 21% IN HALF; SALES GAIN 2%
MILAN — Ratti Group’s net income rose 21 percent to $983,000 (1.7 billion lire) in the first half, on a 2 percent rise in sales to $97 million (168.2 billion lire).
The company said in a statement that sales of silk fabric around the world were slow, especially fabric for women’s clothing and printed silk for ties. However, the company said, Ratti was able to boost net income by cutting costs in its industrial and administrative departments and by reducing staff by 8 percent.
The firm also increased net income with the acquisition last year of the lucrative Campi SpA, which manufactures silk fabric for ties.
Ratti Group’s parent company, Ratti SpA, which manufactures silk fabrics for men’s clothing, ties and scarves, reported a 1 percent drop in sales to $52 million (89.8 billion lire) and an 84 percent drop in net income to $305,000 (526 million lire). A spokesman said the decline in income was due to extraordinary taxes within Ratti Group.