Commune sales power Koda profit boost
Furniture company Koda has released its full-year results, revealing a 40.1 per cent increase in net profit, powered by Commune sales.
Accounts showed end-of-year profit of US$5.7 million. Improved economies of scale and higher earnings from its Commune brand were key drivers for the boost in profitability.
The company reported sales of US$52.4 million and a gross profit margin up 3.7 percentage points to 35.8 per cent.
However the company touched on increasing concerns surrounding the trade war between the US and China.
“While the widely discussed trade war could pose significant risks to our furniture business, the group is not aware of any specific tariffs announced by the US or China that could impact its furniture sales for the time being,” a spokesman said.
The Commune brand continues to expand in Asia and is on target to open 100 stores in China by 2020.