Italy’s Ermenegildo Zegna posts $2.03 bn revenue in FY24, up 2.2% YoY

Region-wise, Europe, the Middle East, and Africa (EMEA) recorded revenues of €680.3 million (~$710.3 million), up 3.3 per cent YoY (+0.4 per cent organic), representing 35 per cent of the group’s revenue. Revenues in the Americas amounted to €524.8 million (~$547.8 million), +15.4 per cent YoY (+6.8 per cent organic), representing 27 per cent of the group’s revenue, Ermenegildo Zegna said in a press release.

Ermenegildo Zegna NV reported FY24 revenues of €1,946.6 million (+2.2 per cent YoY, -1.9 per cent organic).
Q4 FY24 revenue rose 3.3 per cent to €589.2 million (~$615.0 million) (+2.9 per cent organic).
Americas (+14.6 per cent), EMEA (+5.9 per cent), and APAC (+10.5 per cent) grew, while Greater China declined (-11.4 per cent).
Zegna expects continued volatility in China.

In FY24, the Greater China (GCR) recorded revenues of €509.4 million, down by 14.5 per cent YoY and organic decrease of 13.7 per cent, accounting for 26 per cent of the group’s revenue. Meanwhile, revenues in the rest of Asia-Pacific (APAC) grew to €229.9 million, +19.4 per cent YoY (+6.9 per cent organic), representing 12 per cent of the group’s revenue.

Segment-wise, Zegna reported revenue increase of 2.0 per cent in FY24, reaching €1,348.8 million compared to €1,322.0 million in FY23. The organic growth was slightly higher at 2.5 per cent. Thom Browne, however, experienced a decline, with revenues falling by 17.2 per cent in FY24 to €314.8 million, compared to €380.3 million in FY23. The organic decrease was even steeper at 20.8 per cent. Tom Ford Fashion saw strong reported growth, with FY24 revenues increasing by 33.5 per cent to €314.5 million, up from €235.5 million in FY 2023. However, organic revenues declined slightly by 0.7 per cent.

Ermenegildo Zegna in its fourth quarter (Q4) FY24 generated a revenue of €589.2 million (~$615.0 million), up by 3.3 per cent YoY, with organic growth of 2.9 per cent.

Region-wise, revenues in the Americas rose to €166.6 million, up 14.6 per cent YoY (+15.0 per cent organic) in Q4. The EMEA region recorded a 5.9 per cent increase in revenues to €194.7 million, with organic growth at 5.3 per cent, reflecting steady performance in the region. The Americas showed strong growth, with revenues rising 14.6 per cent to €166.6 million, supported by 15.0 per cent organic growth, highlighting robust demand.

Conversely, the Greater China Region faced a decline, with revenues dropping 11.4 per cent to €156.3 million, with organic growth also declining at the same rate. The rest of APAC saw an increase of 10.5 per cent in its revenue to €71.1 million, with 8.1 per cent organic growth, showcasing steady expansion in the Asia-Pacific markets outside Greater China.

Segment-wise, Zegna’s revenues rose by 5.0 per cent to €404.4 million, with an organic growth of 3.9 per cent in Q4 FY24. For Thom Browne, revenues dropped by 4.3 per cent to €94.4 million, with an organic decline of 3.8 per cent. Tom Ford Fashion in Q4 FY24, the brand reported a 3.7 per cent increase in revenues to €100.6 million, with an organic growth of 3.8 per cent.

“Beyond the numbers, I feel confident in our strategic projects pipeline. The recent ZEGNA fashion show was acclaimed as one of the strongest ever for the brand with the presentation of our ultra-luxury Vellus Aureum, made by the finest wool, developed thanks to our know-how and unique Filiera,” said Gildo Zegna, chairman and chief-executive officer (CEO) of the Ermenegildo Zegna NV.

“We expect 2025 to play out differently across various geographies. While we have seen solid performance in the Americas and EMEA in the first weeks of January, we also believe that there will be ongoing volatility with respect to consumer demand in China. We are prepared to navigate these challenges with the guidance of our talented team and a sharp focus on our priorities: continuing to build on brand equity, focusing investments on key strategic projects and doubling down on our existing strengths,” added Zegna.

Fibre2Fashion News Desk (SG)