The American shoe manufacturer, famous for its Crocs rubber clogs, announced the closure of its last factory and outsourcing of production, World Footwear writes.
The efforts of the American company to simplify business processes and increase profitability led to the closure of its own production site in Mexico in the second quarter of 2018 and pushed the company to decide to close its last factory in Italy.
The company announced plans to transfer production to outsourcing.
In August, Crocs announced revenue in the second quarter of 2018 in the amount of $ 328 million and its growth by 4,7% compared to income received in the second quarter of 2017, or by 2,3%, taking into account currency fluctuations. The growth of the company's income was possible despite the loss of approximately $ 22 million due to a reduction in the stores of the branded retail network in the process of changing the business model. The volume of electronic commerce grew by 23,8%, while the growth in wholesale sales amounted to 7,2%, retail sales - 7,1%.
The company also announced the resignation of Carrie Teffner (Carrie Teffner) from the position of Executive Vice President and Chief Financial Officer. She will leave the company from April 1 to 2019 of the year. In her place will come Anne Melman (Anne Mehlman), before that worked in the Amazon-owned online shoe store Zappos. She began her duties at Crocs in August.