The listed Italian luxury brand group Aeffe Spa, which owns the brands Alberta Ferretti, Philosophy di Lorenzo Serafini, Moschino and Pollini, reports consolidated sales of 277.1 million euros at the end of the third quarter, an increase of 10 compared to the previous year .8 percent at constant exchange rates. Deadline is September 30th.
For the nine months ended September 30, net income was €4.7 million, compared to €23.2 million in 2021, with €15 million last year coming from exceptional tax benefits. Retail sales rose by 29.5 percent to EUR 65.8 million. The wholesale channel continues to account for the largest share at 72.2 percent of total sales, up 5.6 percent to EUR 200.1 million compared to the same period last year.
In terms of individual categories, ready-to-wear sales increased by 9.8 percent to EUR 183.1 million, while sales in the footwear and leather goods division amounted to EUR 128.9 million, an increase of 17.2 percent.
Sales up in all regions except Asia
Sales in the home market of Italy rose by 13.1 percent to EUR 116.1 million, which corresponds to 41.9 percent of total sales. Sales in Europe, which account for 33.1 percent of total sales, increased by 13.6 percent to EUR 91.7 million. Sales in the Americas increased 22.3 percent to €20.3 million and accounted for 7.3 percent of total sales, driven by a 41.4 percent increase in wholesale.
In Asia and the rest of the world, sales declined slightly: Here the group recorded sales of 49.1 million euros, which corresponds to a decrease of 2.2 percent and accounts for 17.7 percent of total sales. This decline is mainly due to changes in China. There, Aeffe Spa took control of Moschino’s distribution in mainland China and opened 21 directly operated stores.
Moschino repositioning is progressing
The group’s investments, which the company made last year in the Moschino brand in particular, seem to be paying off. In 2021, the group bought the remaining 30 percent stake in Moschino for EUR 66.6 million and also acquired the license for the production and distribution of the Love Moschino collections of women’s clothing for EUR 3.6 million.
Massimo Ferretti, CEO of Aeffe Spa, comments: “Despite the difficult economic situation, the group recorded double-digit sales growth, both in the ready-to-wear segment and in footwear and leather goods, with a positive trend for all brands in most markets . The group is working with speed and determination, implementing a number of initiatives, including a significant investment plan for Moschino’s strategic renewal in terms of brand positioning and retail restructuring in China, in anticipation of an easing of current restrictions and with anticipation of benefits also in terms of profitability as early as 2023. We are monitoring the dynamics of the markets very closely and remain focused on our long-term strategy aimed at strengthening the distinctiveness of our brands.”