Weak pound leaves Jimmy Choo well-heeled

Weak pound leaves Jimmy Choo well-heeled

Iconic British fashion house Jimmy Choo has said it stands to benefit from the collapse in sterling following the EU referendum result.

The firm said the pound's devaluation will lead to an "upside in business performance at a revenue and profit level."

It added: "Jimmy Choo is a global business, well placed to take advantage of market dynamics seen since the pound's devaluation; 9.5% of global revenue is derived in sterling while 28% of operating costs are denominated in sterling." 

The firm made the announcement alongside results for the first half of the year, which saw operating profit up 42.6% to £25.3m.

Revenue came in at £173.1m, up 9.2% compared with the same period last year, driven by a strong performance in China and strong sales in its men's ranges.

Boss Pierre Denis said: "We have made a good start to the second half and we remain optimistic about our prospects both for this year and for our performance in the future."

However, the brand continues to struggle in the US, where sales were down 3.4%.

"There has been softer luxury demand in the USA generally, compounded by a drop in sales to international tourists," the company said.

 

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