Latvia, Markets and Companies

The company’s management said that the last fiscal year brought significant transformations as both the owner and management board of Stenders changed. After considerable growth in terms of volumes, in the second half of the fiscal year the company concentrated on optimization, focusing particularly on its profitable business segments.

In Latvia, the company’s home market, Stenders renovated its existing shops and replaced its outlets at two shopping centers, as well as concluded one new agreement on opening a new store. One Stenders franchise opened and one closed outside Riga.

The company ended its production projects for making private label goods for third parties. Stenders’ distribution channel continued operations in Latvia, Lithuania, Japan, Austria, Finland, Saudi Arabia and Africa, and the company found a new business partner in Iraq.

As the management has decided to restructure Stenders’ franchise networks, Stenders shops have been closed in France, Switzerland and Austria. At the same time, cooperation continued with the franchise partner in Portugal and a new franchise was opened in this country. Sales in one of the largest markets, China, started growing substantially during the fiscal year.

As reported, in the fiscal year from April 1, 2016, until March 30, 2017, Stenders sustained a loss of EUR 3.582 mln, which was six times higher than in the previous financial year, while its turnover was EUR 5.55 mln, down 31% year-on-year.

CICC Ehealthcare Investment Fund, registered in the Cayman Islands, became the sole owner of Stenders on October 2, 2017.