MILAN (AIMnews.it) - The Board of Directors of Monnalisa S.p.A., meeting today, analysed the Group's operating performance and in particular the 2019 preliminary consolidated revenues, which are forecast to amountto Euro 48 million, down approximately 3% on the previous year.The draft financial statements and the consolidated financial statements will be reviewed and approved by the Board of Directors on March 30, 2020. In particular, the distribution of revenuesby channel indicates a 12% decrease on the wholesale channel and 26% growth on the retail channel, while the e-commerce channel percentage remains almost unchanged. The sharp drop in wholesale revenues -only partly recovering in the first half of 2019 -was impacted by the multi-brand childrenswear distribution crisis -particularly in Europe and Russia -in addition to the significant political and economic instability in some key geographical areas for Monnalisa, especially in the Middle East. The retail channel was affected by additional country dynamics, including the turbulent political and social climate in Hong Kong, a market in which Monnalisa has three directsales outlets.Although Company management has not yet finalized the figures under discussion, it expects a negative operating margin as a result of both the decrease in wholesale revenues, as well as higher cost of goods sold. Added to this, there wasanincrease in non-recurring costs generated by the concentration of planned openings and closures of certain stores in the second half of the year.The retail channel -by definition still in the start-up phase (as per Group strategies) -represents about one-third of Monnalisa's total business and, as is known, has more accelerated cost dynamics than revenues.