In line with the announcement of 12 April, U10's sales declined in the first half. Revenue for the period amounted to €86.1 million (-13.6%)
In Asia, sales remain selective by maintaining profitability, following the strategic measures adopted in early 2016 shifting the focus from volumes to margins.
In Europe, first half revenue was largely impacted by the bankruptcy filings of two key accounts.
These key accounts were among the Europe division's top 10 customers and the most important represented 7% of the sales.
Developments and prospects
Profitability for the first half, and in consequence the full year, will be directly impacted by this shortfall in sales and by destocking distributor brand quotas reserved for these customers.
Despite this, results for the first half will remain positive.
This unfortunate incident, while temporarily impacting the Group's growth, masks its natural development which remains on track. Indeed, the Europe and Asia divisions are continuing to add new key accounts that will ensure future growth.
U10 remains confident in its future growth prospects and has moreover recently acquired a block of 1,378,987 of its own shares, contributing to the share's accretion and strength for all shareholders.
U10 is a creator, supplier and provider of logistics services in the universe of decoration.
Euroclear: 7914 - ISIN FR0000079147
Contact: Next financial press release:
Patricia Michel - Finance Manager 2017 H1 results
Tel: +33 (0)4 37 64 47 85 13 September 2017 after the close of trading
finances@u10.fr
U10 SA published this content on 26 July 2017 and is solely responsible for the information contained herein. Distributed by Public, unedited and unaltered, on 27 July 2017 07:49:07 UTC.
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Since 1994, U10 Corp has been a BtoB supplier of home furnishings, delivering to its customers' points of sale in more than 50 countries.
In Europe, U10 Corp is a permanent supplier to the retail sector, mainly for household linen, pet supplies, bathroom accessories, household and storage accessories. Through its "Douceur d'intérieur", "Love Story" and "Homéa" brands, the collection represents 20,000 items in 15 universes delivered to over 5,000 addresses throughout the year.
Through its Asia division, U10 Corp organizes, monitors and controls production and product quality for its own imports and for its customers.
Overall, more than 300 employees, a 45-strong sales force, a portfolio of services focused on customer needs and performance, demanding logistics and supply chain management, and a product offering tailored to demand are the essential attributes of U10 Corp to meet these needs.