LPP had a net profit of PLN 537.54 million from continuing operations in Q2. 2022/23

LPP recorded PLN 537.54 million of consolidated net profit from continuing operations in Q2 of the fiscal year 2022/2023 (May-July 2022) compared to PLN 229.65 million profit a year earlier, the company announced in its report. The total net profit from continued and discontinued operations attributable to the shareholders of the parent company amounted to PLN 246.19 million against PLN 459.1 million in profit a year earlier.

The operating profit amounted to PLN 395.35 million compared to PLN 338.57 million profit a year earlier.

Consolidated sales revenues reached PLN 4 340.57 million in Q2. 2022/23 compared to PLN 2,990.23 million a year earlier.

In the first half of the year In 2022/23, the company had a net profit of PLN 564.84 million from continuing operations compared to PLN 111.29 million profit a year earlier, with sales revenues of PLN 7 374.8 million compared to PLN 4 805.53 million a year before. The total net profit on continued and discontinued operations attributable to the shareholders of the parent company amounted to PLN 514.16 million, compared to PLN 480.64 million.

The higher revenues of the group were achieved thanks to the positive LFL (sales comparable to + 30.3% y / y), intensive openings of new Sinsay stationary stores and online sales. Sinsay achieved the highest revenues among brands, which results from the expansion of its space and the the increase in popularity of clothing from the value-for-money segment to which the brand belongs, specified in the report.

The operating costs incurred by the group in the first half of 2022 were higher by approx. 25% y / y. Their growth was influenced by higher rental costs due to the growing share of rents dependent on turnover and the unfavorable euro exchange rate, the currency in which most rents are denominated, the company announced.

Higher operating costs y / y meant that the operating margin obtained in the first half of 2022/23 was lower than the year before, i.e. at the level of 6.9%, by 4.5 percentage points less than the year before.

Capital expenditure (Capex) in the first half of 2022/23 amounted to PLN 492.6 million, i.e. approx. 8% less compared to the first half of the previous year, mainly due to lower expenditure on the construction of showrooms abroad (slowdown in the development of the sales network in Russia and Ukraine).

On a standalone basis, net profit in Q1-Q2 of the year 2022/23 amounted to PLN 289.81 million compared to PLN 113.94 million profit a year earlier.

LPP manages the fashion brands Reserved, Cropp, House, Mohito and Sinsay.

Source: LPP and ISBnews
Photo: Sinsay - LPP