Net-A-Porter in red, despite 23 percent rise in FY14 revenues

Monday, 08 September 2014
REPORT_ Net-A-Porter was able to report a 23 percent rise in annual sales on the back of significant growth across its three online platforms. Owned by Swiss luxury giant Richemont, the company recorded a revenue increase to 533 million pounds (858.5 million dollars) in the year to March 29, 2014. Company claims that the launch of new mobile apps and the expansion of its beauty range helped attract eyeballs.

However, losses remained at a similar level despite the surge in revenues after the company recorded a dip in its gross profit margin from 45.6 percent to 44.1 percent. Net-a-Porter said that the key event during the year was the global launch of its Porter subscription magazine in February 2014.

Company’s CEO Mark Sebba recently announced his retirement. The company had launched The Outnet and Mr Porter during his long tenure. Net-a-Porter started in June 2000, claims to have over 2.5 million visitors each month. Majorly owned by Swiss designer goods company Richemont, which acquired the majority stake in Net-A-Porter for an estimated value of 50 million pounds (80.5 million dollars) in 2010, Chairwoman and Founder Natalie Massenet also continues to hold a stake in the company.

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