The following is a summary of the Samsonite International S.A. (SMSOF) Q1 2024 Earnings Call Transcript:
Financial Performance:
Samsonite reported Q1 sales of $860 million, marking a growth of 4.1%.
Gross margin reached a record high of 60.4%, 240 basis points higher than Q1 of 2023.
Adjusted EBITDA was $161 million, and its margin was 18.8%, an increase by 40 basis points.
Adjusted net income was $87 million or 10.1% of sales, an increase from 9.5% in Q1 2023.
Cash flow was strong in Q1, being $68 million higher than the previous year.
A $150 million distribution to shareholders, proposed by the board, will be paid in July.
Business Progress:
Samsonite recorded growth across all principal brands, with Samsonite reporting 6.5% growth, Tumi growing by 1.6%, and American Tourister by 3.2%.
All regions reported progress, primarily driven by China, Japan, and Korea.
The company prioritizes disciplined retail expansion, having opened 77 net new stores in the past 12 months.
Samsonite plans to increase communication regarding its sustainability and ESG efforts, with a focus on reducing its carbon footprint.
The company expects healthy growth in global travel and tourism into 2025 and 2026, sustaining demand for their products.
An increase in advertising and product innovation investments is planned to maintain competitiveness.
Samsonite is strategizing towards a secondary listing and continues to uphold sustainability, aiming to transform the luggage industry.
More details: SAMSONITE INTL SA IR
Tips: This article is generated by AI. The accuracy of the content can not be fully guaranteed. For more comprehensive details, please refer to the IR website. The article is only for investors' reference without any guidance or recommendation suggestions.