Mango reports highest profit in decade

Mango has closed FY21 with the highest profits in almost a decade, with a net profit of €67m (£56m), triple the €21m (£18m) reported pre-pandemic in 2019. 

The fashion retailer said its latest results “brings an end to the disruption of 2020”, as the group returned to profit and welcomed a “healthier financial structure”. 

The “significant improvement” in profit comes after turnover rose by 21.3% to €2.2bn (£1.8bn), against the €1.8bn (£1.5bn) reported in 2020. This figure was slightly below the sales recorded in 2019, however, when the company achieved a “record” turnover of €2.4bn (£2bn).

Over the period, online sales grew by 23% to €942m (£791m), maintaining its proportion of total turnover at 42%. It comes as Mango took its online activity to new markets, including Thailand, bringing the total number of online markets to 85.

At the same time, its physical stores performed well and, despite being closed an average of 48 days during 2021, their sales improved by 21.4% compared to FY20. 

Meanwhile, international activity accounted for 79% of the total business, while the Spanish market represented 21%. At the close of the financial year, Mango was present in over 110 markets worldwide.

Mango CEO, Toni Ruiz, said: “The 2021 results demonstrate the positive evolution of the company in recent years and are the result of the hard work of the entire team. Today, Mango is in an optimal position to face the future by promoting our brand and our product, remaining at the service of our customers and continuing our journey towards sustainability and operational excellence.

“The year 2021 was also full of challenges and uncertainty, but we used the strength of the Mango brand to reinforce our position in the market, and at the same time increase our profitability, as we had promised.”