Samsung C&T Fashion Q2 Operating Profit 52 Billion Won... 8.7% Decrease YoY

Online sales proportion increased to 22%

Samsung C&T Fashion Division announced on the 31st that its operating profit for the second quarter recorded 52 billion KRW, a decrease of 8.7% compared to the second quarter of last year. Sales amounted to 513 billion KRW, showing a 2% decline over the same period.

A Samsung C&T Fashion official explained the second quarter performance as "reflecting the impact of economic downturn, weakened consumer sentiment, and the off-season effect." For fashion companies, the second quarter is traditionally an off-season with significantly reduced performance. This is because clothes become thinner, lowering unit prices, and consumer spending decreases during this period.

Jacquemus Hyundai Department Store Main Branch Exterior.

Overall, performance showed a downward trend, but the proportion of online sales increased. The online sales ratio slightly rose from 21% at the end of last year to 22%. Currently, the company is strengthening its online business centered on SSF Shop. The plan is to grow SSF Shop into a fashion specialty mall by hosting premium brands.

To gradually increase the sales ratio, the company held the largest 'Special Shopping Week' of the first half last month. During this period, transaction volume and the purchase ratio of first-time customers increased by more than 20%, and new memberships surged by over 60% compared to the same period last year. The maximum daily visitors approached 1 million.

Currently, SSF Shop offers authentic products from new luxury brands such as Lemaire, Ami, Maison Kitsun?, Jacquemus, Studio Nicholson, and Ganni. The brands driving sales included Ami, Maison Kitsun?, and Lemaire. Ami, characterized by its heart logo, focuses on polo shirts and T-shirts. A single T-shirt product recorded sales of approximately 1 billion KRW.

Kim Dong-woon, Executive Director of the Online Sales Division, said, “SSF Shop will continuously discover and operate brands that young consumers expect and desire,” adding, “We will keep planning differentiated promotions such as Brand Week, Hot Deal Festa, and Special Shopping Week.”