ECCO Continued Its Strong Performance in 2019 - But Covid-19 Challenges the 2020 Result
Apr 14, 2020, 15:05 ET
BREDEBRO, Denmark, April 14, 2020 /PRNewswire/ -- 2019 was a successful year for ECCO with net sales of EUR 1.360 million (2018: EUR 1.309 million) and profit before tax of EUR 196 million (2018: EUR 201 million).
ECCO in 2019 showed progress on many fronts in spite of many challenges. "Our global strategy with regional and local adaptations proved successful, and not least ECCO's growing hybrid and athleisure categories were successful," says ECCO's CEO Steen Borgholm.
Investments in Direct-to-Consumer sales continued in 2019, where net sales from retail and e-commerce combined grew by 10.9%. Online sales grew by 22.2%. Brick and mortar shops grew sales by 8.2%.
"We continue to position ECCO for long-term success based on a clear strategic approach to brand building and distribution in order to stay one of the world's leading premium shoe brands," says Steen Borgholm.
Towards the end of 2019, ECCO entered into an agreement with ECCO's Russian distributor through the last nearly 30 years, ECCO Ros, to take over their business in Russia and neighbouring countries. ECCO's plan with this major investment is to build on the existing strong foundation and grow sales even further, especially the fast growing online business.
2020 marks the beginning of a new decade, where sustainability and digitalisation will be shaping the shoe industry. ECCO continues to invest heavily in technology to connect with and serve customers better. "We are ready for this development, and it is already in ECCO's DNA to conduct business in a way that minimises the impact on the environment," says Steen Borgholm.
ECCO's innovation efforts will continue to challenge the status quo within the leather and shoe business.
The beginning of 2020 saw the outbreak of COVID-19 with consequences which at this point of time are impossible to predict. "It clearly will have a severe impact on ECCO's 2020 result. Right now, however, the top priority for ECCO remains the health and safety of our employees. We deeply appreciate the commitment of the people and organisations that are addressing this health emergency, and our thoughts are with all those affected," says ECCO's CEO, Steen Borgholm.
For further information related to ECCO's Annual Report 2019, please contact
ECCO is one of the world's leading shoe brands, combining style and comfort. ECCO's success is built on top-quality leathers and innovative technology. ECCO is a highly responsible company that owns and manages every aspect of the value chain from leather and shoe manufacturing to wholesale and retail activities. ECCO's products are sold in 101 countries from over 2,250 ECCO shops and more than 14,000 sales points. ECCO is family-owned, founded in Denmark in 1963, and employs 21,400 people worldwide. group.ecco.com
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