Marimekko expands despite losses
New stores will be opened in New York, Boston, and Miami
The Finnish textile and clothing design company Marimekko has announced that it is to open six new outlets abroad in the course of the current year.
In Europe, new outlets will be opened in Stockholm, Oslo, and London. Earlier this month, the company already released the news of its opening up a new retail store of its own at Copenhagen Airport.
In the United States, new Marimekko stores will be established in New York, Boston, and in the Miami area. In July, Marimekko opened an online store portal in the United States.
The company is planning expansions even in Asia. The Finnish fashion house already has 22 outlets in Japan and South Korea.
In the first half of the year, Marimekko already made exceptionally large investments in its international operations and product development, which weakened the profitability of the company.
In the period from April through June, Marimekko’s operating result fell, being EUR 798,000 in the red, while in the previous year, the Q2 operating result was EUR 588,000 on the credit side.
The operating result for the entire first half of the year was EUR 438,000 in the red.
The company’s investments in international operations resulted in a growth of more than 23% in Marimekko’s global sales over the first half of the year, while the company’s sales in Finland declined by just under 1%. Net sales increased by 7.2%.
The announcement of the interim figures did not exactly encourage investors on Wednesday: the Marimekko stock fell just over 4% in Helsinki.
Previously in HS International Edition:
Marimekko setting out stall to conquer USA despite economic crisis (14.10.2010)
CEO Ihamuotila: Marimekko is not for sale (9.10.2009)
Marimekko wants to stand out on US market (1.3.2011)