Strong B2B sales and same-store growth fuel Veste's financial results

Veste, a prominent Brazilian high-end fashion retailer, reported a 9.7 percent year-over-year increase in fourth-quarter gross revenue, reaching 392.9 million Brazilian real (68.5 million dollars).

The growth was fueled by strong retail performance from Le Lis and Dudalina, a 26.7 percent surge in B2B sales, and a 4 percent rise in John John's same-store sales. Adjusted EBITDA for the quarter climbed 12.8 percent to 69.2 million Brazilian real, while adjusted net income reached 13.1 million Brazilian real.

For the full year, gross revenue increased 2.1 percent to 1.4 billion Brazilian real. Despite a minor decline in adjusted gross profit and margin, Veste maintained stable adjusted EBITDA at 224.9 million Brazilian real through rigorous expense management.

Consolidated same-store sales for the year grew 4.4 percent, with a notable acceleration to 8 percent in the fourth quarter.

Le Lis, the company's flagship brand, continued its growth trajectory, driven by strategic initiatives including store concept conversions, digital channel investments, B2B expansion, and service excellence. Veste plans further investments in Le Lis and Dudalina, its second-largest brand, focusing on expanding store concepts, wholesale, and franchise operations.

John John, after facing earlier challenges, began to stabilize in the fourth quarter with a 4 percent increase in same-store sales. The company anticipates a year of stability for John John in 2025, setting the stage for future growth.

Veste also emphasised the successful integration of its omni-channel strategy, with significant growth in digital B2C sales, reinforcing its commitment to a seamless customer experience across all channels.