Italian luxurious trend home Ermenegildo Zegna NV has generated revenues of €1.95 billion (~$2.11 billion) in fiscal 2024 (FY24) ended December 31, reflecting a 2.2 per cent year-over-year (YoY) improve however a 1.9 per cent natural decline. The gross revenue rose to €1.3 billion (~$1.4 billion), with the margin enhancing to 66.6 per cent, pushed by a better share of direct-to-consumer (DTC) gross sales, which represented 78 per cent of branded product revenues.
Model-wise, Zegna led with €1,163.7 million in revenues (+4.9 per cent YoY and +5.5 per cent natural), adopted by Thom Browne at €314.7 million (down 16.8 per cent YoY), and Tom ford trend at €314.5 million (+33.5 per cent YoY).
Ermenegildo Zegna Group has reported revenues of €1.95 billion (~$2.11 billion) in FY24, up 2.2 per cent YoY, with a gross revenue margin of 66.6 per cent pushed by sturdy DTC gross sales.
Zegna led model efficiency, whereas Thom Browne revenues declined.
Internet revenue stood at €90.9 million (~$98.2 million).
The Group goals for €2.2–€2.4 billion (~$2.38–$2.59 billion) income and €250–€300 million EBIT by 2027.
The group’s textile revenues declined by 8.5 per cent to €138.2 million, whereas different revenues dropped 48.4 per cent to €15.5 million.
SG&A bills elevated to €1,008.3 million (51.8 per cent of revenues), whereas advertising bills reached €121.4 million. Company prices amounted to €20.0 million in FY24 in comparison with €30.4 million in FY23. The lower is principally attributable to decrease prices for short-term and long-term remuneration.
The group posted an working revenue of €166.9 million. The web revenue declined to €90.9 million (~$98.2 million) with 4.7 per cent margin. This drop was influenced by a better efficient tax price of 30 per cent and elevated international alternate losses of €6.1 million attributable to US greenback appreciation. The adjusted EBIT was €184.0 million, with an adjusted EBIT margin of 9.5 per cent, Ermenegildo Zegna stated in a press launch.
“In 2024, we took decisive actions, strengthening our organisation and prioritising investments that are strategic in our brands. Our Filiera—our R&D powerhouse—remains a driving force for our group, fuelling the innovation that sets Zegna, Thom Browne, and Tom Ford Fashion apart,” stated Ermenegildo ‘Gildo’ Zegna, chairman and chief govt officer (CEO) of Zegna Group. “Zegna led this performance, driven by the brand’s distinctive competitive edge and management’s commitment to delivering results. Tom Ford Fashion has continued its journey toward realising its full potential with a clear understanding of key priorities. The recent, unanimously acclaimed fashion show—the first under Haider Ackermann—strongly aligns with this direction and confirms that our path forward is well-defined.”
“We maintained a highly disciplined approach, focusing on key projects and investments that enhance brand desirability while ensuring strict cost control. Thom Browne’s operating performance reflects our strategic decision to streamline the wholesale channel while reinforcing client-centricity through DTC,” added Zegna.
Contemplating the present enterprise surroundings, Ermenegildo Zegna has revised its medium-term targets. By 2027, it goals to attain revenues between €2.2 billion (~$2.38 billion) and €2.4 billion (~$2.59 billion), with adjusted EBIT projected to vary from €250 million to €300 million.
“As we look further into 2025, we recognise the importance of maintaining a cautious approach while also remaining committed to delivering on our projects. Especially in today’s environment, protecting our brands’ identity remains our priority. We will do so with discipline, agility, and a sharp focus on executing our vision while creating value for our stakeholders,” stated Zegna.
