Baltika clothing retailer posts EUR 1 million loss for Q2

Published date18 July 2022
Publication titleLETA

TALLINN, July 18 (LETA--BNS) - Listed Estonian garment seller Baltika Grupp earned 2.3 million euros in revenue in the second quarter of this year, 28 percent less than during the same period last year, and the company's loss increased from 37,000 euros to one million euros.

The unpredictable war situation between Russia and Ukraine negatively affected the group's sales revenue. Although the situation in the Baltics had improved by the end of the first quarter and the number of visitors was gradually recovering, the impact of the war on consumer behavior was also felt during the beginning of the second quarter, Baltika told the stock exchange.

The group has continued with the plan to close unprofitable stores. Within six months, Baltika has closed six unprofitable stores. The closing of unprofitable stores is planned to be finalized by the end of 2022. The reduced sales revenue will be compensated by the three new Ivo Nikkolo concept stores opened this year.

E-commerce sales revenue for the second quarter was 171,000 euros, decreasing by 56 percent compared to the same period last year. The result of the e-store in the second quarter of 2021 is not fully comparable, because in the comparable period the group had two e-stores, Monton and Ivo Nikkolo, therefore the result of the e-store in the second quarter of last year included the sale of discounted products of the discontinued brands Baltman and Monton through the Monton e-store shop. The Monton e-shop was finally closed in September 2021.

The...

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