The Chinese fashion group Lanvin Group Holdings Limited had to accept significant loss of sales in the 2024 financial year and a significantly higher loss. This emerges from the current annual report, which the parent company of the brands Lanvin, Wolford, St. John, Sergio Rossi and Caruso presented on Wednesday.
“2024 was a transition year for the Lanvin Group,” said Chairman Zhen Huang in a statement. “Although the market conditions were difficult, we have made decisive progress in strengthening our brands, optimizing our processes and creating the basics for future growth.” In view of the numerous personnel and organizational reforms, he “confident” that the group would be able to react to the current changes in the global luxury goods market and to create “long-term values”.
The group had already reported a decline in sales by 23 percent in advance
In its now published annual report, the Lanvin Group essentially confirmed the preliminary sales figures published in February. According to the final results, the group turnover reached an amount of 328.6 million euros last year. This corresponded to a decline of 23 percent compared to 2023. The group of companies justified the downward trend with “macroeconomic headwind, changes in consumption behavior and strategic measures”.
The cause of the significant decline in sales was significant losses among the Wolford (-30 percent) brands, Lanvin (-26 percent) and Sergio Rossi (-30 percent). The proceeds from the Labels St. John (-12 percent) and Caruso (-7 percent) also clearly missed the previous year’s level.
The net loss increases by 29 percent
In addition to the decline in sales, a lower gross margin contributed to the fact that the loss of interest, taxes and depreciation (EBITDA), which was adjusted for special effects, which had been 64.2 million euros in the previous year. The designated net loss increased by 29 percent from 146.3 to 189.3 million euros.