Mango has posted full year losses of €33m (£29.6m) despite a 15% rise in online sales, according to the brand’s latest results.
The group, which recorded €2.19bn (£1.96bn) of revenues, saw earnings before tax and deductions rise from €77m (£69m) to €115m (£103m) for the year to end of 2017, mainly due to a 15.4% rise in online customers.
The brand noted that the losses were still “below expectations”, however the latest results are an improvement on the €61m (£54.7m) loss in 2016.
Investment spending stood at €45m (£40.4m) for the year, which was focused on improving systems and the digital transformation of the company.
Mango reported that its store estate stood at 2,190 stores, with 20 new “megastores” opening during the year.
Executive vice-chairman of Mango, Daniel López said: “In 2017 we have seen that our business model based on omnichannel selling and fast fashion is the right path to follow. With a sales performance in the second half similar to the first half of the year, the group has returned to profit. This was our target at the beginning of the year.
“We expect to continue improving in 2018. At the close of July, we have achieved significant improvements.
“Total sales have evolved very positively: they recorded sustained growth during the last 5 months. In turn, the online channel is growing above the targets established at the beginning of the year.
“All the steps we are taking, orienting the decisions of the company towards the customer, are proving to be the right ones. This is the axis around which our strategy revolves”.