Compared to the prior year, Ermenegildo Zegna Group’s earnings dropped to € 31.3 million in the first half of the company’s financial year, while adjusted EBIT increased to € 80.9 million.
The period’s revenues, which totalled € 960.1 million, increased 6.3 per cent but decreased 2.7 per cent organically.
Commenting on the trading results, Ermenegildo Zegna, CEO and group chairman, said in a statement, “Even though the overall environment is expected to remain even more challenging, I am confident that our projects and actions are the right ones to unleash the untapped long-term potential of all three of our brands.”
With € 566.1 million in sales, the Zegna brand saw an increase of 4.6 per cent or 5.9 per cent organic growth. Thom Browne’s revenues decreased by 19.4 per cent or 26.7 per cent organically to € 166.7 million.
Revenues for Tom Ford Fashion were € 148.5 million, up 132 per cent or 4.7 per cent on organic, while revenues for textiles were € 71.8 million, down 1.7 per cent or 0.6 per cent on organic.
The group reported an operational profit of € 73.1 million in the first half of 2023, up from € 116.5 million in the same period the previous year. Gross profit margin grew to 66.7 per cent, or € 637.4 million.