Textile giant LPP has bumper year in 2013

Photo: sxc.hu

The company, whose brands include Reserved, Cropp and House, finished the year with a revenue of 4.1 billion zloty (982.4 million euro), and a net profit of 430.9 million zloty (103.2 million euro).

Simultaneously, the company confirmed a 24 percent rise in its fourth quarter net profit for 2013.

LPP currently has about 700 stores in Poland and over 300 abroad, fronted by its various brands, with the majority of LPP's clothing made in China and India.

In 2014, the company aims to launch its first shops in Germany and Croatia.

Controversy

Although figures proved rosy for LPP in 2013, the last 12 months have not been without controversy for the company.

LPP drew criticism for delaying the signing of a safety agreement in the wake of a Bangladesh factory collapse that killed over 1000 people.

Clothes for LPP brands such as Cropp had been made at the site.

Some 31 international brands signed the agreement in May, straight after the accident, but it was not until five months later, after much negative publicity, that LPP signed the accord.

In January 2014, a campaign for a boycott of LPP clothing was launched on Facebook, after it emerged that it was -re-registering several of its brands abroad in Cyprus and the United Arab Emirates, in order to pay less tax. (nh)

Source: PAP