(AOF) – Oeneo achieved a turnover of 80.1 million euros, down 7.1% in the fourth quarter of 2023-2024. Its “capping” activity recorded a stable turnover of 64.4 million euros. It benefited from “the end of distribution stock adjustments and a recovery in sales at the high end”. The “breeding” activity (barrels) saw its revenues fall by 28% to 15.7 million euros.
This development “takes into account the correction of nearly 2 million euros in turnover (linked to the internalization of distribution in a country) and the planned drop in “timber trading” activity (impact of -0.7 million over the quarter).
Oeneo “thus closes a financial year where the group had to face the slowdown in customer investments and stock adjustments at most distributors in a context marked by the decline in wine consumption worldwide.”
Despite these elements and the persistence of inflationary effects, the company specializing in wine cooperage and corking plans to deliver a current operating margin close to 14%, slightly higher than that of the first half. It previously anticipated an annual current operating margin rate identical to that of the first half, i.e. at 13.1%.
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In France, financial aid aimed at encouraging consumers to repair rather than throw away objects now also applies to clothing and shoes.
The principle remains the same for clothing and shoes as for the selection of electronic products: the consumer must go to an approved repairer to benefit from assistance which cannot exceed 60% of the cost of the repair. The approved organization, “Refashion”, aims to increase the number of repairs by 35% by 2028. The Repair Fund, fueled by “eco-contributions” from brands, finances the operation. However, the question is whether this bonus will have to face the same difficulties as that for household appliances, which has not met with the expected success, in particular due to complex labeling procedures.
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Concerns remain
According to the Federation of Specialized Trade, Procos, in October 2022, activity fell by 1.5% year-on-year. However, the activity of beauty and health (+ 5.2%) and specialized food (+ 3.5%) are dynamic compared to October 2021. Attendance at points of sale was very impacted by the problems fuel and unfavorable weather. Compared to October 2019, a pre-covid year, the drop in attendance is very sharp (-20.9% in October). Shopping centers and the outskirts are more impacted than city centers with a gap of four to five points.
There are several reasons for concern for the future. The players are experiencing a very significant jaws effect given the increase in their operating costs while the evolution of demand is very uncertain. Very few brands can pass on the increase in their costs in sales prices. The federation therefore asks, among other things, to limit the indexation of the Commercial Rent Index to + 3.5% for the rents of all companies in 2023. It also invokes an absolute emergency: cap the price of energy for 2023 and retroact on contracts already signed to prevent the rate of failures from accelerating.