(AOF) – SMCP group shares fell 22.54% to 4.09 euros the day after its profit warning. The parent company of the Sandro, Maje, Claudie Pierlot and Fursac brands is now targeting mid-single-digit growth in its turnover in 2023 compared to “single-digit growth in the mid-to-high range”. , previously and an adjusted EBIT margin of between 7% and 9%. SMCP previously expected “an improvement in its adjusted EBIT margin vs. 2022”, or 9.2% of turnover.
“Since the group’s last publication at the end of July, market conditions have generally deteriorated, with a slowdown in growth in Europe in a lasting inflationary environment, as in France where the entire market has recorded sluggish consumption since the start of the month of August”, observes the parent company of the Sandro, Maje, Claudie Pierlot and Fursac brands.
For the second half, SMCP anticipates moderate growth in its sales compared to 2022, with a stable or slightly declining third quarter, and a fourth quarter more in line with the trend of the first half, benefiting in particular from a base effect. favorable in China.
The group will communicate its third quarter turnover on October 26.
AOF – LEARN MORE
Learn more about the luxury sector
Market boom for several more years
According to Bain & Company, the global luxury market (fashion, cars, hotels, wines and spirits, cruises, etc.) will have recorded a 21% jump in sales in 2022, to 1,384 billion euros. The luxury personal products segment (jewelry, clothing, watches, leather goods, etc.) is expected to grow by 22% and again grow by 3% to 8% in 2023 despite the expected economic slowdown. Growth is expected to continue in the following years, with an increase expected to reach 60% by 2030! According to Bain, American spending in Europe more than doubled between 2019 and 2022. This development is largely explained by a strong dollar. The Chinese market, on the other hand, is at half mast due to the “zero Covid” policy and strict confinements.