PPR reports 11% sales increase
French luxury group PPR has reported that net income increased 2% to EUR986 million as sales rose 11% to EUR12.2 billion in 2011, slightly less than expected.
The strength of its luxury brands was offset somewhat by a weaker performance in retail operations. Revenue from luxury leathergoods brand Bottega Veneta rose 34%, while at media superstore Fnac, it was down 3%.
PPR is currently increasing its focus on emerging markets, which contributed around a fifth of its revenue in 2011. It did not give specific breakdowns on emerging markets sales, but said Asia, excluding Japan, accounted for the bulk of them.
PPR’s brands “are well placed to respond to and anticipate new consumer trends in both mature markets and emerging countries,” CEO Francois-Henri Pinault said, adding that he expected revenue and profit growth in 2012 even in the face of a difficult economy.
