According to the documentation sent by the Alyternative Fixed-Income Market (Marf), one of the biggest European retailers is in its way back to profitability after being in low for three years. The company recently concluded the investment phase of the last years,
The levers that Mango is using to improve profitability combine product with distribution and operations. The company is focusing on improving brand positioning, increasing its online sales, continuing to reduce its store of stores and cutting its costs.
Marf gave the company the green light to a payment program for 200 million euros. Through this program, the company plans to diversify its financing sources. Mango has undergone a reorganisation process during the last years to face the weak evolution of its sales and, above all, to the fall in its profit.
In 2018, Mango had net losses of 35 million euros, although it managed to improve its gross operating result (ebitda), which stood at 135 million euros. The company’s debt stood at 315 million euros at the end of 2018. At the end of that year, Mango refinanced a debt of 500 million euros with its main banks to postpone its loans four more years.