Fossil Group, a global design, marketing and innovation company specialising in lifestyle accessories, has reported 19 per cent sales decline to $435.5 million in its third quarter (Q3) FY20 ended on October 3, 2020 compared to sales of $539.5 million in the same period prior year. Company’s net income for Q3 was $16 million (Q3 FY19: loss $25.9 million).
Fossil Group, a global design, marketing and innovation company specialising in lifestyle accessories, has reported 19 per cent sales decline to $435.5 million in its third quarter (Q3) FY20 ended on October 3, 2020 compared to sales of $539.5 million in the same period prior year. Company's net income for Q3 was $16 million (Q3 FY19: loss $25.9 million).#
“The organisation continues to execute well in the face of a challenging environment,” Kosta Kartsotis, chairman and CEO at Fossil Group, said in a press release. “We outperformed our topline expectations in the third quarter, reflecting ongoing momentum in our digital channels and strong growth in mainland China, as well as trend improvement in the wholesale channel
globally.”
Gross profit for the quarter came down to $229.8 million ($278.5 million). Selling, general and administrative expenses decreased to $206.6 million ($264.1 million). Company’s operating expenses for Q3 FY20 was $212.3 million ($287.7 million).
Sales of all the product categories were down: watches $356.6 million ($445.5 million), leathers $37.7 million ($54.5 million), and jewellery $28.9 million ($28.2 million).
Sales in Americas dropped to $175.1 million ($220.0 million). In Europe sales slipped to $135.3 million ($173.9.1 million). While, in Asia sales decreased to $119.7 million ($143.3 million).
“We are making good progress on our strategic priorities, with accelerated initiatives around our digital expansion programmes and structural cost reduction efforts. Given the uncertain environment, we are remaining agile and continuing to closely manage liquidity, expenses and inventory as we position the business for future growth,” Kartsotis said.
Fibre2Fashion News Desk (JL)
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