Luhta Sportswear Company, the parent of the Luhta, Icepeak, Rukka and Dachstein brands, reported a €10.3 million profit in 2022, up from €2.35 million a year earlier, as total revenues increased by 25 percent to €245 million from €196 million. During the year, the Finnish group returned to a normal operating environment following the global pandemic and realized a 46 percent growth in international sales but a 6 percent decline in domestic revenues due to the closure of six retail stores. Germany remained Luhta’s largest wholesale market, although sales in other countries grew proportionately more.
Since Covid-19 commenced, Luhta has expanded its wholesale market share across Europe, opened a domestic online store and shuttered nearly 50 retail stores. The group has also invested in new sales organizations in Asia in pursuit of sales that were lost from exiting all operations in Russia, including 16 stores.
In Finland, Luhta began a reuse program last year, part of its corporate effort to increase the lifetime of its products and easier for consumers to recycle products that have reached the end of their life cycle. There are plans to expand the program to other markets.
Meanwhile, the group is forecasting “moderately positive” growth in 2023 after a spring where turnover increased by an unspecified figure and freight costs declined.
Luhta operates over 60 stores in Finland across five retail chains – the Luhta Outdoor Store, the Luhta Brand Store focused on sportswear, the Aleksi department store chain, Your Face and factory outlet doors.
