Brazilian footwear group Alpargatas is set to make a significant investment to accelerate the growth of its iconic brand, Havaianas. In the first nine months of the 2021 financial year, Alpargatas experienced a remarkable increase in revenue, reaching over BRL3 billion (€469 million), a 35% rise compared to the same period last year. The group also achieved a net income of BRL389.5 million (€61 million), marking a staggering 498% growth from the previous financial year.

The outstanding success of Alpargatas can be largely attributed to the performance of Havaianas. In the first nine months of this year alone, the renowned flip flop brand reported a revenue of BRL1 billion (€156 million). Notably, Havaianas witnessed a 10% sales growth in its domestic market of Brazil. Additionally, the brand experienced remarkable year-on-year growth rates in international markets, which included a 23% increase in sales volume, an 8% rise in revenue, and an exceptional 167% surge in EBITDA.

Beto Funari, the CEO of Alpargatas, commented on the impressive results, stating, “The results in Q3 2021 show the strength of Havaianas, which keeps growing both internationally and in Brazil. For the second quarter in a row, the brand has achieved record-breaking sales volume and net revenue, while also improving EBITDA.” Funari also emphasized the success of expanding Havaianas’ product portfolio with the successful launch of Havaianas sneakers in Brazil and increased penetration in the sandals category.

To further support the growth of Havaianas, Alpargatas has announced plans to invest BRL600 million between now and 2022. This investment follows Alpargatas’ overall investment of BRL900 million in the past two years, which stands as the largest in the history of the group. The primary goals of this investment are to enhance output capacity, optimize logistics, diversify the product range, and strengthen both physical and digital sales channels. Through these strategic initiatives, Alpargatas aims to consolidate Havaianas’ position as a global footwear leader and propel its growth in the market.

The success of Havaianas and the substantial investment from Alpargatas reflect the enduring appeal of the brand and its ability to adapt to changing market demands. Despite the challenges posed by the Covid-19 crisis, Havaianas has proven its resilience by attracting both domestic and international customers. With continued innovation and investment, Alpargatas is confident that Havaianas will continue its upward trajectory and achieve even greater success in the future.

Useful links:
Havaianas Official Website
Alpargatas Official Website