The company closed the first half year with 21% more sales than in 2020
In May and June, sales were above pre-covid turnover levels
The online channel grew by 37% compared to the previous year, and remains on target to reach a turnover of 1 billion euros this year
Following the close of the first half of 2021, Mango has revised the forecasts for this year and expects to exceed the profit obtained in 2019. During the first six months of the year, Mango has already achieved 21% more turnover than in 2020, approaching 2019 levels. In fact, the company closed the months of May and June with sales constantly above those of two years ago.
Growth continues to be driven by the Mango online channel, which remains on an upward trajectory. E-commerce closed this half year 37% up on the same period last year and 85% above 2019. The online channel accounts for 46% of total Mango turnover, four points higher than at the 31 December year end. The company is maintaining its ambitious target to end the financial year with an online turnover of 1 billion euros.
For its part, the network of physical stores was closed on average almost 50 days during the first half of this year, especially affecting key markets for the multinational such as Germany, France, United Kingdom, Portugal and Turkey. There have also been considerable restrictions on opening and customer capacity in Spain, Mango's principal market in turnover terms.
“The results obtained so far this year makes us optimistic about the second half of the year, in which we expect a recovery in sales above the 2019 figures. We expect to return to profit this financial year”, Toni Ruiz, Mango CEO explains.
During this period, the commercial margin also improved by 1.8 points compared to 2019, exceeding 58%. This increase is due to improvements to the collection, the proactive management of stock and fewer sales promotions. The increase in profitability, together with the sound management of expenditure, has led to profit before tax improving by over 20 million euros compared to the same period in 2019, and almost 100 million euros compared to the same months in 2020.
“The strategy implemented by the company in the last few years, together with the major decisions we took within a very difficult context like the one last year, are now bearing fruit. Mango is moving in the right direction and we are ready to face the future with more guarantees”, Toni Ruiz adds.
