KMD Brands, with origin in New Zealand, reported a 5.8 percent drop in year-over-year group sales for the two months ending in October. Kathmandu performed the best, falling by 2.7 percent, and Oboz year-over-year sales declined the most at -8.6 percent.
Rip Curl’s sales were down by 6.7 percent, with Direct-to-consumer sales outperforming the wholesale channel, which declined by 11.2 percent. The brand’s sell-in trends going forward suggest improving wholesale trends in H2. Meanwhile, Kathmandu’s total Q1 sales declined by 2.7 percent year-over-year, but the brand’s gross profit dollars were up by 3.6 percent.
KMD Brands said its final H1 results will depend on the upcoming Black Friday and Christmas shopping periods. However, the group added that it remains cautious about consumer sentiment due to the “challenging global macroeconomic environment.”
Despite that, the group’s FY25 strategy remains unchanged—generating sales growth, improving profitability, and reducing inventory.
