The Italian fashion group Ermenegildo Zegna NV also had to accept a decline in sales in the second quarter of the 2025 financial year. This was mainly due to the ongoing weakness in China, but also due to losses in Europe.
According to the preliminary figures that the company published on Wednesday, the group turnover amounted to EUR 468.9 million from April to June. He declined by 5.7 percent compared to the previous year. Adjusted to change course changes, the proceeds dropped by 2.6 percent.
Increases in their own retail cannot compensate for the sales of sales in wholesale
In their own retail, sales rose by 3.3 percent (currency -adjusted +7.5 percent) to 352.9 million euros. However, this was not enough to fully compensate for the considerable losses in the wholesale business. In this sales channel, sales fell by 33.6 percent (currency -adjusted -32.5 percent) to 74.8 million euros. The company justified the decline with a targeted tightening of the wholesale business in favor of its own retail activities.
In the Zegna division, sales fell by 2.6 percent to EUR 327.0 million. Current -adjusted, however, he increased by 1.0 percent. The Tom Ford Fashion division achieved a increase in sales of 2.1 percent (currency -adjusted +4.1 percent) to 85.2 million euros.
Thom Browne gets a new CEO
In the Thom Browne segment, revenues slipped by 25.9 percent (currency -adjusted -23.9 percent) to 65.1 million euros. According to the group, the clear minus was due, among other things, to the strategic restriction of wholesale sales.
At the same time, the company announced a change of management to the brand: Rodrigo Bazan will settle his post as CEO of Thom Browne on August 31 to devote himself to another occasion, the group said. His successor has already been determined: On September 2, Sam Lobban is to take over the management of the label. He comes from the American retailer Nordstrom, in which he most recently worked as an executive Vice President and General Merchandising Manager for Apparel Designer.
Losses in China and Europe put a strain on sales development
The group’s sales development was also burdened in the second quarter of the weak demand in Großchina. There, the proceeds shrank by 21.3 percent (currency -adjusted -17.1 percent) to 99.8 million euros. In the other markets of the Asian -Pacific region, they decreased by 3.3 percent (currency -adjusted -1.0 percent) to 55.7 million euros.
In the EMEA region, which includes Europe, the Middle East and Africa, the quarter turnover failed to do the previous year. He shrank by 2.9 percent (currency -adjusted -1.9 percent) to 174.8 million euros.
After all, it went up in America. There, the proceeds increased by 4.5 percent (currency -adjusted +9.8 percent) and reached a height of 137.7 million euros.
In the entire first half of the year, the group turnover was 927.7 million euros. This corresponded to a decline of 3.4 percent (currency -adjusted -2.0 percent) compared to the same period in the previous year.