After turning a profit in 2024, the Italian fashion brand Aeffe has begun fiscal 2025 with declining sales and increasing losses. The slowdown in the luxury market had an impact on Aeffe, which owns Moschino, Alberta Ferretti, and the footwear brand Pollini. The company’s Q1 revenue was US $ 68.49 million, which was down 23.2 per cent at current exchange rates and 23.3 per cent at constant rates. Most significantly, it reported a US $ 11.21 million net loss, compared to US $ 6.22 million in the first quarter of 2024.
Additionally, the company’s EBIT was negative in Q1 (down US $ 9.32 million) as opposed to a year earlier (down US $ 1.89 million). In comparison to the US $ 6.99 million profit reported in Q1 2024, EBITDA also fell into negative territory, reaching minus US $ 1.67 million.
Massimo Ferretti, executive president of Aeffe, has attributed these outcomes to a global downturn in consumption that has an impact on both direct retail and the wholesale channel. Sales in the direct retail channel decreased 19.4 per cent in Q1 2025, while sales in the wholesale channel, which made up about 70 per cent of the group’s income, decreased 22.6 per cent.
At constant exchange rates, Moschino’s revenue dropped 27.8 per cent to US $ 48.06 million in the first quarter. Aeffe took over its top label in 2021 and hired Adrian Appiolaza as creative director in January 2024. In September 2024, Moschino sold its cosmetics division to Euroitalia for US $ 108.78 million.
The group’s young brand, Philosophy, saw a 6 per cent decline in revenue to US $ 5.55 million, while Alberta Ferretti saw a 17.4 per cent decline to US $ 5.11 million. At constant exchange rates, Pollini’s revenues fell 10 per cent to US $ 8.88 million.
Aeffe saw a decline in all of its commercial regions in the first quarter of 2025. Sales in Italy, the group’s primary market and source of 43 per cent of total revenue, fell 24.7 per cent to US $ 29.42 million, with retail sales falling 12 per cent and the wholesale channel losing 26 per cent.
Sales in the second-largest market for Aeffe, the rest of Europe, which accounts for around one-third of overall revenue, fell 21.1 per cent to US $ 20.98 million. Revenue in the US plummeted 17.7 per cent to US $ 3.55 million, while revenue in Asia fell 24.2 per cent from US $ 18.87 million in Q1 2024 to US $ 14.32 million in 2025.
