The Business of Fashion
Agenda-setting intelligence, analysis and advice for the global fashion community.
Agenda-setting intelligence, analysis and advice for the global fashion community.
Sales at Italian fashion group Salvatore Ferragamo fell by 20 percent in the fourth quarter, broadly in line with expectations, as new lockdowns to fight a resurgence of Covid-19 in Europe more than offset a strong rebound in China.
Full-year sales plunged by a third to 916 million euros ($1.1 billion), compared with a SmartEstimate consensus estimate of 911 million euros provided by Refinitiv.
By Claudia Cristoferi, editing by Silvia Aloisi
The group’s flagship Prada brand grew more slowly but remained resilient in the face of a sector-wide slowdown, with retail sales up 7 percent.
The guidance was issued as the French group released first-quarter sales that confirmed forecasts for a slowdown. Weak demand in China and poor performance at flagship Gucci are weighing on the group.
Consumers face less, not more, choice if handbag brands can't scale up to compete with LVMH, argues Andrea Felsted.
As the French luxury group attempts to get back on track, investors, former insiders and industry observers say the group needs a far more drastic overhaul than it has planned, reports Bloomberg.