Giordano International ( (GRDZF) ) has released its Q2 earnings. Here is a breakdown of the information Giordano International presented to its investors.
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Giordano International Limited, a leading apparel retailer headquartered in Hong Kong, operates in the fashion industry with a focus on casual wear and a strong presence in Asia and the Middle East. The company is known for its ‘Digital-First’ strategy and its ‘Beyond Boundaries’ 5-year strategic plan, emphasizing growth in Greater China and digital transformation.
In its latest earnings report for the first half of 2025, Giordano International reported a 1.6% increase in revenue, driven by a 26.1% year-on-year growth in its online business and improvements in wholesale and franchise operations. Despite a challenging economic climate, the company maintained a stable net profit attributable to shareholders at HK$121 million, with a slight increase from the previous year.
Key financial highlights include a gross margin of 55.6%, a decrease attributed to a shift towards e-commerce and wholesale channels, and strategic inventory clearance. Operating expenses were reduced to 48.9% of revenue, reflecting disciplined expense management. The company also reported a significant improvement in inventory turnover and a robust financial position with cash and bank balances net of loans at HK$722 million.
Looking forward, Giordano International remains committed to its strategic initiatives, focusing on digital growth and market expansion, particularly in Greater China. The management anticipates continued improvement in gross margins and profitability as they optimize their pricing strategy and enhance operational efficiency.