Vulcabras’ recurring net income rose 36 percent to 99.9 million Brazilian reais (€19.6m) from BRL 73.6 million for the period ended Sept. 30. Ebitda declined 4.8 percent to R$132.2 million (€25.9m) from R$138.9 million, as the gross margin improved to 37.7 percent from 36.1 percent. Net revenues were 24 percent higher at R$663.5 million (€129.9m). Sales in the home Brazilian market increased 25 percent to R$621.8 million (€121.7m) and 10 percent higher elsewhere at R$41.7 million (€8.2m).
The group was particularly encouraged by the performance of its footwear segment, which includes the Mizuno, Under Armour, and own Olympikus brands. Year-over-year quarterly units increased 5.4 percent to nearly 5.25 million pairs. Mizuno continues to grow at “an accelerated rate of expansion.” Under Armour is gaining traction with its training, basketball, and locally developed styles and Olympikus is making strides in the Brazilian performance running market. Total athletic footwear sales rose 18.4 percent to R$553.5 million (€108.3m). Other footwear sales rose 38.2 percent to R$51.4 million (€10.1m), and apparel/accessories revenues were 88.4 percent higher at R$58.6 million (€11.5m).
E-commerce revenues, bolstered by a dedicated direct-to-consumer distribution center that has accelerated efficiencies and service levels, rose nearly 129 percent in the third quarter to R$38.4 million (€7.5m). The segment represented 5.8 percent of all period revenues versus 3.1 percent in the year-ago period.
