Samsonite profits drop 13pc to US$346m as consumer appetite for high-end brands weakens

Luggage maker Samsonite (1910) reported a net profit of US$346 million (HK$2.7 billion) last year, down 13 percent from a year earlier, as weaker consumer spending on high-end brands, lower retail traffic, and intensified discounting by rivals weighed on earnings.

The company declared a dividend of 10.26 US cents per share. 

Its Hong Kong-listed shares opened 2 percent higher on Thursday after the earnings release but later traded at HK$19.32, down 0.92 percent from the previous day’s closing price.

Revenue declined 2.5 percent to US$3.59 billion. Sales in Asia and North America fell 3.6 percent and 1.2 percent, respectively, while Europe and Latin America saw growth of 3.1 percent and 17 percent. 

STAFF REPORTER