Broader holiday offer boosted Top Secret’s sales performance

In December 2018, Top Secret’s revenue climbed 5% year on year, to PLN 27m. The improved sales performance resulted from, among other things, broader offer of gift and party items, supported by strong sales of the men’s collection. The Redan Group, which consolidates the results of Top Secret apparel chain and TXM discount retailer, reported sales of approximately PLN 70m in December alone, and PLN 595m in the entire last year.

“We are satisfied with the sales performance of the fashion segment in December. We offered more gift and party items, which generated strong sales, although they were sold at lower prices than we had assumed. The men’s collection also attracted much interest from customers. In turn, in our online business, we completed orders throughout the entire week prior to Christmas, while in the same week a year ago there were definitely fewer orders,” said Bogusz Kruszyński, the President of the Management Board of Redan S.A. “Due to warm temperatures in autumn, the clearance period started much earlier than in the previous year, as soon as in early December, and the clearance rates were greater than a year before. This had to be reflected also in our network,” he added.

In December 2018, total sales of merchandise in the fashion segment amounted to about PLN 27m, up by approximately 5% compared to the same month of the previous year. In that period, the retail space of chain stores selling Top Secret, Troll and DryWash brand products increased by 1%, to 37.6 thousand m2 at the end of December. In entire 2018, revenue in the fashion segment amounted to approximately PLN 242m, up approximately 4% than in 2017. Revenue from the sale of merchandise through Top Secret online stores in Poland and Ukraine in December 2018 totalled PLN 3.6m, having grown by 25% over December 2017. In entire 2018, revenue generated by those online stores was PLN 35.5m and was higher by 13% than in 2017.

In the TXM discount segment, sales in December 2018 were estimated at about PLN 42m, a decrease by 9% year on year. In entire 2018, TXM’s sales totalled approximately PLN 353m and were some 8% lower than in the previous year. As at the end of December, the TXM store network included 388 own stores with a total area of 103.7 thousand m2, down 2.5% relative to the end of December 2017. Revenue from the sale of merchandise generated by the online store in December 2018 amounted to approximately PLN 0.7m, having dropped by 25% year on year, and in the entire last year it was approximately PLN 7m, down by some 27% year on year.

The Redan Group’s combined revenue of both segments in December 2018 reached approximately PLN 70m, having dropped by 4% compared with the same period a year before. In entire 2018, revenue stood at approximately PLN 595m, having slipped by about 3% year on year. The retail space of all Redan Group stores at the end of December totalled 141.3 thousand m2, representing a decrease by 2% compared with December 2017.