Rip Curl owner KMD Brands slumps to deeper full-year loss
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The news: Rip Curl and Kathmandu owner KMD Brands slipped to a deeper statutory loss for the 12 months to July, flagging "global cost pressure" in the sector while the group's footwear brand Oboz took a $45.4 million impairment.
The numbers: KMD reported a statutory net loss of $93.6 million, compared to a loss of $48.3 million in the previous financial year. On an underlying basis, KMD posted a net loss of $28.3 million, down from a loss of $1.1 million a year earlier.
Total sales edged up 1% year on year to $989 million. Gross margin of 56.5% was down from 58.4% in FY24.
The context: KMD, which announced a $25 million cost-cutting program earlier this month, said the result was hindered by unseasonably warm weather impacting Kathmandu's insulation product sales in the third quarter.
The group also noted that operating expenses had been "tightly managed while facing global cost pressure".
