Le Coq Sportif, the renowned French sportswear brand, is solidifying its position as a leader in the sports industry through its involvement in major international sporting events. The brand’s partnership with the French Olympic and Paralympic teams at the Beijing Winter Olympics has paved the way for securing the contract to design and manufacture outfits for the highly anticipated 2024 Paris Olympics. Le Coq Sportif’s deep-rooted connection with the Olympic flame not only drives its ambition to excel in the sporting world but also fuels its quest for increased profitability. The impressive performance of the brand in the first half of 2022, ending in June, attests to this ambition.

During this period, Le Coq Sportif experienced a remarkable 23% increase in sales, approaching 65 million euros. These figures mark the highest sales the company has achieved in the last decade. The driving force behind this growth is an astonishing 80% rise in international sales. Le Coq Sportif has successfully forged strong relationships with French distributors, particularly Intersport, which boasts a significant 20% market share in men’s textiles. Undoubtedly, this partnership has played a pivotal role in consolidating Le Coq Sportif’s leading position in the market.

A key factor contributing to Le Coq Sportif’s success is its unwavering emphasis on French production. The brand now produces its training and competition clothing locally, further solidifying its ties to the French market. With major upcoming sporting events taking place in France, such as the Paris 2024 Olympic and Paralympic Games and the Rugby World Cup, Le Coq Sportif aims to increase its production capacity to meet the anticipated surge in demand.

The brand’s state-of-the-art warehouse, which was inaugurated a year ago in the Aube region, has proved to be a resounding success in terms of improving productivity and streamlining logistics. This cutting-edge facility brings together different production sites, optimizing workflow efficiency. Additionally, Le Coq Sportif is expanding its headquarters in Romilly-sur-Seine, with the project set to be completed by February 2023. The expansion will provide an additional 3,000 square meters of floor space, enabling the brand to strengthen its teams and manufacture podium and performance outfits for athletes participating in the Paris 2024 Olympics, Paralympics, and the Rugby World Cup.

Despite Le Coq Sportif’s impressive growth trajectory, the brand still faces challenges that need to be addressed. The gross margin experienced a slight decline in the last quarter, dropping from 47% to 44% compared to the previous year. This decrease can be attributed to rising operating expenses. As a result, Le Coq Sportif currently operates at a loss, with a deficit of over 6 million euros for the first half of 2022.

Nonetheless, Le Coq Sportif remains optimistic about its future prospects. With a strong presence in international markets and ongoing investments in production facilities, the brand is poised to capitalize on the upcoming major sporting events in France. Guided by the Olympic flame, Le Coq Sportif strives to achieve even greater success and establish itself as a key player in the global sportswear industry.

Useful links:
1. Le Coq Sportif Official Website
2. Paris 2024 Olympics Official Website