“We now begin our key Kathmandu winter and northern hemisphere summer trading periods. The group is well positioned to benefit from the return of international travel and tourism and is continuing to invest in the long-term international expansion of our brands,” he said in a statement.
KMD expects to roll out 12 stores this year at Kathmandu, which will soon be headed by a new chief, former Crocs executive Megan Welch. Rip Curl will have an additional 10 stores annually over three years, and ongoing refurbishments.
Surf brand Rip Curl constitutes about 52 per cent of group sales followed by Kathmandu at 40 per cent and Oboz at 8 per cent.
Mr Daly said Oboz sales could reach $US100 million ($150 million) over the medium term from its current $US54 million, while Rip Curl in North America alone could hit $NZ200 million in sales from $NZ146 million. Mr Daly is just making an international push with Kathmandu but has a medium-term turnover target of $NZ100 million.
Earlier this week, the company refinanced a $NZ310 million sustainability linked revolving debt facility. The sustainability aspect of the new facility is underpinned by material metrics and targets such as reducing greenhouse gas emissions, continued B Corp certification, and improving transparency around the wellbeing and labour conditions of workers in the supply chain. These hurdles are linked to the borrowing costs of the facility.
More to come