Gucci 's Irish turnover drops by 35% after Kildare Village store closure

Profits in Ireland rose to €749,000 despite the fall in turnover

Leinster Leader reporter

Reporter:

Leinster Leader reporter

Email:

editor@leinsterleader.ie

Gucci 's Irish turnover drops by 35% after Kildare Village store closure

Kildare Village

World famous fashion brand, Gucci experienced a drop in turnover in Ireland to €4m in it's last financial year following the closure of it's Kildare Village store.

According to today's Irish Independent, newly filed accounts for the company's Irish operation confirm the 35% drop was "mainly due" to the closure of the store. 

However, it's Irish pretax profit grew to €749,000 in the 12 months up to the end of February 2018.  

The paper also looked at the accounts of another Kildare Village retailer, The White Company. It said the retailer generated sales of €661,000 at its Kildare store between mid November 2017 and the end of March 2018. It made a gross profit of €365,000. There is now a second Irish store on Grafton Street, Dublin.

Meanwhile, the Irish Independent also reports that Ralph Lauren's profits dropped by 58% to €90,000 in Ireland. The paper said Ralph Lauren Ireland Ltd's revenue slumped from €3.3m to €3.22m in the 12 months to the end of March 2018. 

In the documentation that was filed, the directors said; "Despite the opening of the new childrenswear outlet store in Kildare in September 2016 and the refurbishment of the Kildare men and women's store during fiscal year 2017, turnover has drecreased by 2.4% in comparision to the previous financial period."

They said the drop is due to the commission rates earned from Ralph Lauren Europe Sari dropping from 34% to 28% while operating expenses have remained stable in the fiscal year 2018 at €3.133m.

The directors said they are happy with the level of profitability and expect the company to consolidate its position in the outlet business in the fiscal year 2019.

Ted Baker, another company, which has a store in the Kildare Village, enjoyed a very good Christmas. The Independent reports its retail sales grew by 12.2% over the five weeks to January 5 and E-commerce sales were up by 18.7%.