For the three months to the end of March, net sales in Asia increased by 13.4 per cent to US$324.8 million in constant currency. Net sales for the Tumi brand jumped 50.3 per cent, driven in part by the impact of the group assuming direct control of the distribution of the brand in Hong Kong, Macau and China on April 1 last year, and in Indonesia and Thailand on May 1.
Net sales in Japan grew 17.2 per cent during the quarter, while China’s net sales grew 14.3 per cent, again boosted by the group taking control of distribution for the Tumi brand.
There was a 30.8 per cent jump in Hong Kong/Macau net sales, again attributed to direct control being assumed of the Tumi brand.
India’s net sales grew by 4.9 per cent while for South Korea the increase was 1.5 per cent.
Net sales in the direct-to-consumer channel increased by 33.7 per cent, while there was a 128.2 per cent jump in net sales in the direct-to-consumer e-commerce channel.
Gross profit grew by 23.7 per cent year-on-year to $501.6 million, while gross profit margin rose to 56.5 per cent from 55.3 per cent.
Operating profit was up 18.8 per cent to $86.5 million, adjusted net income increased by 15.6 per cent to $50.1 million, while adjusted EBITDA increased by 11.4 per cent to $122.9 The group’s net sales grew by 15.5 per cent on a constant currency basis, while net sales increased by 21.1 per cent to $888.2 million.
CEO Ramesh Tainwala says the company’s strong performance was driven in part by the acquisition of eBags.