Redan systematically improves its financial results. In the first three quarters of this year, it increased by 54% on a year-to-year basis its trade margin. In turn, the result on sales improved by PLN 1.6 million, although it is still negative. In the third quarter of this year, the company acquired the first external client, apart from Top Secret, for whom it started providing services related to handling e-commerce orders. The management board of Redan intends to increase the scale of its logistics operations and acquire new customers.
For Redan, operations related to the Top Secret brand business were in the first three quarters of this year, and will continue to be the core business. They provided 88% of revenues and 88% of the generated trade margin. They mainly included the implementation of logistics operations related to the operation of distribution channels in Poland. The products of this brand were also sold to foreign customers. Redan also provided specialized services for the Top Secret capital group and for TXM.
“In the first three quarters of this year. We have significantly improved our financial results, but we have not yet managed to break even. After a weaker beginning of the year, when bans on trade in clothing in shopping malls were introduced, a rebound in sales was visible in May. As a result, in the first nine months we increased by 8% y / y. sales of goods to the Top Secret group, despite the reduction of its retail network also by 8%. The change in the rules of cooperation with Top Secret introduced last year also had a positive impact on the marked improvement in Redan’s results. As a result, the trade margin obtained by us on the sale of this brand’s goods to recipients in Poland increased from 7.3% to 11.2%. We also increased the foreign sales of this brand’s products by PLN 3.9 million, i.e. by as much as 147%. On this activity, we obtain a much higher trade margin, with a low risk of receivables and relatively low costs of running it. Therefore, in the coming periods we will continue to intensify the development of this part of the business” – said Bogusz Kruszyński, President of Redan S.A.