Boston, MA 07/30/2014 (wallstreetpr) – Global lifestyle and performance footwear, Skechers USA Inc. (NYSE:SKX), has announced plans to expand its European distribution center in Belgium. The Footwear Company wants to expand the center by 25,000-square meters to make it the largest operated center in Walloon at 70,000-square meters in size.
Record Quarter Sales
The expansion in Europe is a clear statement that Skechers has grown over the years despite the industry being faced by increased competition. Skechers remains optimistic about the growth of its prospects in Europe as demand continues to grow. The expansion in Europe comes as the company reported its record high quarterly sales in the second quarter.
Demand for Sketcher’s products is at an all-time high, across all the markets that Skechers USA Inc. (NYSE:SKX) operates especially in Europe. The company has already registered double-digit growth in sales for the first half of the year compared to last year. Additional space is thus needed to cater for future storage as well as expanding operational requirements. The expansion is expected to give the company a much needed flexibility going forward.
Skechers to Incorporate New Technologies
Skechers is looking to incorporate new automation technologies at the expanded facility as the investments are expected to cater for expanded operations, and efficient executions of European logistics. The Skechers EDC was commissioned in 2002 with 21,000 square meters-surface area, at the time it only employed three personnel and a number of temporary workers who were made available depending on peak activities.
The center has since grown to 23,000 square meters handling four times volumes of goods as it did in 2002; employment has already increased to 150 full-time workers. The EDC receives most of its goods from China via the port of Antwerp. Skechers USA Inc. (NYSE:SKX) also operates another LEED-Gold distribution center in California that serves North and South America markets.
