On August 1st, Italian luxury goods group Salvatore Ferragamo Group (stock code: SFER) released its first half and second quarter report for the 2024 fiscal year ending June 30, 2024: the group’s total revenue decreased by 12.8% year-on-year to 523 million euros, a decrease of 10.9% calculated at fixed exchange rates. Among them, in the second quarter, due to the weak Asian market and wholesale environment, the total revenue decreased by 8.1% year-on-year to 296 million euros (a decrease of 6.0% at fixed exchange rates).
Marco Gobbetti, CEO and General Manager of Ferragamo, commented, “The second quarter once again demonstrates some encouraging potential operational trends that we started seeing earlier this year. Full price sales in the United States, Europe, Japan, and Latin America are showing positive trends; our newly launched shoe and handbag products are attracting new young customers, which helps to shift a higher proportion of purchases to the younger demographic. In the media, the excellent response of our 2024 autumn/winter collection once again confirms the enhanced brand appeal
Despite these positive business trends, our overall financial performance in the second quarter was significantly impacted by a challenging consumer environment, particularly in the Asia Pacific region, which offset positive trends in other parts of the world. We also continued to experience weakness in wholesale channels, exacerbated by more selective distribution strategies. Against the backdrop of continued slowing demand, we will continue to focus on revenue performance and profitability, enriching customer experience, expanding our audience, and increasing engagement through updated products, omni channel marketing methods, tailored CRM plans, and new store concepts
On the second day after the financial report was released, as of the close of August 2nd, the group’s stock price had risen by 1.56% compared to the previous trading day, with a current market value of approximately 1.344 billion euros.
