Your browser is no longer supported. For the best experience of this website, please upgrade to a newer version or another browser.

Your browser appears to have cookies disabled. For the best experience of this website, please enable cookies in your browser

We'll assume we have your consent to use cookies, for example so you won't need to log in each time you visit our site.
Learn more

Li & Fung posts strong growth

Sales at supply giant Li & Fung rose 25% to HK$47.3 billion (£3.24bn) for the six months ended June 30, thanks to strong growth in European markets.

Operating profit increased by 30% over the period to HK$1.5bn (£102.8 million), which is in line with the company’s three-year target plan.

Li & Fung group managing director William Fung said: “We are pleased to report strong growth in the first half of this year. The macroeconomic conditions were challenging but we were successful in gaining market share during this period. We have also been successful in diversifying geographically, with our share of European business growing from 23% to 30% in the first half. The growth is driven by our increase in business with the Arcandor Group (a German retail group) and Tommy Hilfiger’s European business.”

Separately, Li & Fung has bought Van Zeeland, the US-based importer of mid-market and bridge-level handbags, for US$330m (£17.6m). Its brands include Kathy Van Zeeland, B Makowsky and Tignanello.

The brands are stocked in 1,300 US outlets including Macy’s. Kathy Van Zeeland and Bruce Makowsky remain co-presidents of the Van Zeeland business. Li & Fung said the deal would make it the US’s leading handbag supplier.

Have your say

You must sign in to make a comment

Please remember that the submission of any material is governed by our Terms and Conditions and by submitting material you confirm your agreement to these Terms and Conditions. Links may be included in your comments but HTML is not permitted.