IC Group’s expected growth erased in third quarter

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IC Group, the Danish company providing brands Tiger of Sweden, By Malene Birger and Peak Performance, reports a sales decrease in the third financial quarter.

Now the whole growth for the financial year seems to be erased.

”We are not satisfied. We do all the right things, and we improve our earnings and gross margin. But just after the turn to 2016 the retail sales go backwards for us or get stuck. At least it does not develop as it should. We have had great difficulties in the quarter, and it is across our own stores, our franchisees and agents, CEO Mads Ryder tells Ritzau Finans.

He also says the bad development has  hit across the three main brands.

”It’s just “the perfect storm” that retail traffic has not been as it should. This indicates that it is a general retail downturn we’ve seen, and it leads us changing our expectations. It is incredibly unfortunate and more annoying to my management team and I than to any other,” says the director.

The fourth quarter looks slightly better, but it’s not going to save they year for IC Group.

IC Group forecasted a revenue growth of 4 per cent, but now expects it to hit the same level as last year.