FJ Benjamin: to take its Raoul brand global, to fashion capitals such as New York and Paris. Expects line to start contributing profits in 12-18 mths. Says it is close to signing a deal with a major US dept store to carry its Raoul collection.
Raoul is currently carried by dept stores Harrod's and Matches in London. Also, FJB has opened a Raoul showroom in NY and the brand also shows in Paris fashion week twice a yr...
Besides ramping up sales in the US and Europe, FJB also has its sights on China's booming affluent middle-income group; plans to open its first Raoul stores in China in autumn of 2011 or 2012, and would likely start out by opening its own stores as its distribution channels are not as sophisticated.
Raoul currently contributes slightly under 10% of total sales, with stores mainly in SE Asia, but has been unable to break even due in part to the invmt costs involved for its expansion…
StanChart has an Outperform rating with $0.55 target. Expects Raoul to grow into a $300-400m business in the next 5-10 yrs. Confident on the growth potential of Raoul given the strong revenue growth from $1m in 2006 to $20m in 2010, and its recent break-through into the Europe and the US.
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment