70,000 m2 facility to support increased sales across Europe
LIÈGE, Belgium--(BUSINESS WIRE)--Jul. 29, 2014-- SKECHERS USA, Inc. (NYSE:SKX), a global lifestyle and performance footwear company based in Manhattan Beach, California, USA, announces plans to expand its European Distribution Centre (EDC) in Belgium by an additional 25,000 m2 to make the facility the largest company-operated DC in the Walloon Region at a total size of 70,000 m2.
“This expansion is a testament to the incredible growth that we’ve seen in our business throughout Europe and mirrored around the globe,” began David Weinberg, chief operating officer and chief financial officer of SKECHERS. “We feel that the opportunity for continued growth in Europe remains high and we’re excited to expand our EDC to meet the increasing demand for SKECHERS product.”
SKECHERS reported its highest quarterly net sales in the Company's history during last week’s second quarter 2014 conference call. Demand for the SKECHERS brand is at an all-time high across nearly every region where the Company distributes its product and Europe in particular has seen strong business with high double digit net sales increases in the second quarter and for the first six months of 2014 as compared to the same periods last year.
“Thanks to the success of our business in the region supported by the EDC, additional space is needed for future storage and operational requirements,” began Sophie Houtmeyers, SKECHERS EDC Vice President of Distribution Operations. “This extension will give us more flexibility for the future. Combined with new automation technologies that we expect to completely install by the end of 2014, these investments will allow us to expand operations in the execution of our European logistics.”
The SKECHERS EDC was inaugurated in 2002 over a surface area of 21,000 m2. At the time, it employed only three people and a number of temporary workers, depending on the periods of peak and off-peak activity. The continued growth of SKECHERS in the European market resulted in an extension of the building in 2009 with 23,000 m2 of additional space. In 2013, the volume of goods was four times higher than in 2002 and employment increased up to 150 full-time equivalents.
The SKECHERS EDC receives goods arriving from China via the port of Antwerp. The goods are then stored at the EDC until they are redistributed to European markets. The customers of the EDC are third-party accounts, 31 company-owned and 19 franchisee-owned SKECHERS stores throughout Western Europe, e-commerce in Europe, as well as the Company’s international distribution partners in the European region.
SKECHERS also operates a 170,000 m2 LEED-Gold certified distribution center in Rancho Belago, California that serves North and South America.