Bimba y Lola generates profit of €11.6 million in fiscal year 2022, down 26% due to the impact of inflation

Spanish fashion brand Bimba y Lola recorded a net profit of 11.6 million euros in fiscal year 2022, which concluded on February 28, 2023. However, this figure reflects a 26.1% decrease compared to the previous fiscal year. The company attributed this decline to the “significant” investment effort made during the year and the impact of inflation, the company reported Friday. 

Furthermore, the Galician group reported a gross operating profit (EBITDA) of 30.7 million euros, representing a nearly 10% decrease compared to the previous year. At the same time, the company increased its investment by 28% compared to the previous fiscal year, marking it as the “highest investment figure in the history of Bimba y Lola”, the company stated, without disclosing the amount of investment. 

In addition, Bimba y Lola increased its sales by 4.3% in its fiscal year 2022, reaching 225 million euros, as reported by the firm, which is set to expand this year into the United States this year, opening its first stores in the country.

The growth was primarily driven by the brand’s strong international sales performance, which have grown by 22%. This expansion was attributed to the brand’s successful entry into seven new countries across Asia, America, and Europe, as well as the overall annual growth achieved in nearly all of the brand’s existing markets. As a result, more than 44% of the group’s total business is now generated outside of Spain.

By the end of the previous fiscal year, Bimba y Lola boasted 286 points of sale and a presence in 48 countries, including their online retail channel. The company’s workforce also saw a 6% increase in 2022, totaling 1,809 employees.

José Manuel Martínez, the CEO of Bimba y Lola, stated that 2022 marked significant progress in the company’s strategic plan.

Similarly, Martínez emphasised that in an environment of inflationary pressures on consumer spending and costs, the company has remained committed to its vision of building the Bimba y Lola brand and becoming “the best possible company in the long term.”