GIORDANO INT'L (00709) announced its annual results for the year ended December 31, 2025. The Group recorded revenue of HK$3.854 billion, representing a decrease of 1.66% year-on-year. Profit attributable to shareholders was HK$217 million, an increase of 0.46% compared to the previous year. Earnings per share were 13.4 HK cents, and a final dividend of 6.4 HK cents per share was declared.
For the full year, the Group's revenue experienced a slight decline. In an environment characterized by geopolitical uncertainty and macroeconomic challenges, revenue from the core business remained stable year-on-year. The annual performance was primarily impacted by the weak performance of non-GIORDANO brands in Indonesia. Excluding the effect of these non-core brands, core business revenue remained stable annually, demonstrating resilience amidst market challenges.
In the second half of the year, an improvement in performance was observed across most Southeast Asian markets, including Singapore, Malaysia, and Thailand, all recording stronger high-single-digit year-on-year growth compared to the first half. The Gulf Cooperation Council markets also continued their strong performance, showing better sales momentum than in the first half. Furthermore, despite the challenging clothing retail environment in Hong Kong, the Group's sales performance in Hong Kong outperformed the market average and maintained positive growth momentum in the second half.
The Group's e-commerce platform recorded an encouraging double-digit growth of 10% for the year. E-commerce revenue in Mainland China grew by 9.1% year-on-year, a rate higher than that of offline sales. In other markets, the e-commerce platform performed even more strongly, with sales increasing by 13.5% year-on-year; excluding the impact of non-GIORDANO brands in Indonesia, the growth rate reached a significant 25.3%. Notably, online business in Hong Kong and Macau rebounded strongly in the second half, with full-year online sales growing 18.2% year-on-year. Additionally, e-commerce revenue in Southeast Asia and Australia (excluding Indonesia) saw a substantial increase of 45% year-on-year, further validating the positive results of the Group's "Digital First" strategy. The Group continues to expand its digital footprint, utilizing data intelligence to enhance personalized product recommendations and deepen customer connections through digital brand storytelling.
The Group's gross profit margin showed significant improvement in the second half, rising by 0.6 percentage points year-on-year, in contrast to a 3.3 percentage point decline in the first half. For the full year, the gross margin recorded only a slight decrease of 1.2 percentage points; excluding the impact of non-GIORDANO brands in Indonesia, the decline would narrow further to just 0.8 percentage points. The improvement in gross margin was primarily attributable to the Group's effective management of selling prices and the ongoing restructuring of procurement processes to reduce product FOB costs.
Looking ahead, the Group will carefully balance pricing strategies across different sales channels to ensure revenue growth proceeds in parallel with a healthy gross margin, fully aligning with the Group's omnichannel development direction.
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