Companies

Ferragamo's revenue up by 44.1%

Jul 22, 2021 Italy

The increase in revenue has been achieved despite the permanence, in some countries, of lockdowns and bans driven by COVID-19. On the 30th of June 2021, Ferragamo was operating with 53% of retail stores at full capacity

Distribution Channel

As of the 30^th of June 2021, Ferragamo's retail network counted on a total of 639 points of sales, including 398 Directly Operated Stores (DOS) and 241 Third Party Operated Stores (TPOS) in the Wholesale and travel retail channel, as well as the presence in Department Stores and high-level multi-brand Specialty Stores. In the first half of 2021 the retail distribution channel posted consolidated revenue up by 46.3% (+49.4% at constant exchange rates). In the second quarter of the current fiscal year retail revenue increased by 81.3% (+82.9% at constant exchange rates), with four Areas (Greater China, North America, Latin America and Korea) exceeding the pre-COVID levels. The direct e-commerce channel continues to consolidate a solid growth, with revenue up by 70.6% (+78.3% at constant exchange rates). The wholesale channel registered an increase in revenue of 41.1% (+40.5% at constant exchange rates) compared to the first half of 2020. In the second quarter of 2021 wholesale revenue was up by 134% (+122% at constant exchange rates) compared to similar period in 2020.

Geographical Area

The Asia Pacific area is confirmed as the group's top market in terms of revenue, up by 35.2% (+34.0% at constant exchange rates), compared to the first semester of 2020. In the first half of 2021 the retail channel in Greater China posted revenue growth of 45.0%. In particular, the retail channel in China posted an increase in revenue of 47.4%. The retail channel in Korea also posted a solid growth trend in the firts six months of 2021 (+21.9% at constant exchange rates). The Japanese market registered a 13.4% increase in revenue (+18.2% at constant exchange rates), with a positive trend in the second quarter of 2021, (+55.0% at current exchange rates and +66.9% at constant exchange rates), compared to the second quarter of the previous year. Overall, the Asian continent represents currently over 50% of total group’s revenue in the first semester of 2021. EMEA, still penalized by lockdowns of stores and mainly by the limited tourists’ flows, posted an increase in revenue of 22.3% (+20.6% at constant exchange rates), with a positive second quarter (+113% at constant exchange rates). North America recorded revenue increase of 103% (+122% at constant exchange rates) in the first six months of 2021. In the second quarter of 2021 revenue more than quintupled compared to similar period in 2020. Revenue in Central and South America in the first half of 2021 was up by 64.8%, (+72.9% at constant exchange rates). Revenue increased by 680% at 16 million euros in the second quarter of 2021 from the 2 million euros posted in the second quarter of the previous year.

Product Category

All main product categories reported revenue growth in the first semester of 2021, compared to similar period last year, with the footwear and leather categories representing, respectively, 43% and 45% of the turnover registered in the first half.

Performance in July

The month of July is continuing to show a solid growth in revenue in directly operated stores in the United States, China, Korea and Latin America, both comparing to 2020 and to similar period of 2019. At the second week of July, the worldwide retail performance was in line with pre-COVID levels.

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