Led by a strong second quarter, the Ermenegildo Zegna Group has experienced impressive growth in the first six months of 2023, with a 23.9% increase compared to the same period in 2022. This positive performance comes as the company recently finalized the acquisition of Tom Ford’s fashion business, further enhancing its position in the industry.
The standout region for Zegna’s growth has been North America, with sales reaching €475 million in the second quarter, a substantial 35.1% increase year-on-year. In the first half of the year, the company reported overall revenues of €903 million, a 23.9% growth compared to the first half of 2022. North America experienced the highest growth among regions, with a 28.9% increase amounting to over €174 million. Latin America, although a secondary market for the group, also saw a growth in revenues by 25.6%. In Asia, the most critical geographic area for Zegna, revenues reached €389 million, representing a 22% increase, with Japan seeing a significant boost of 30%. Finally, the EMEA region (Europe, Middle East, and Africa) benefited from a growth of 25.6%, generating nearly €323 million in revenue. However, it is important to note that other revenues, mainly composed of royalties, declined by 28.7%.
The Ermenegildo Zegna Group’s own distribution also saw positive results, experiencing a growth of 36.3%. On the other hand, wholesale sales increased by 6.3% for the first half of the year.
Zegna’s retail brand demonstrated dynamic growth of 27.3%, generating over €541 million in revenue. Additionally, Thom Browne, a brand under the Zegna Group, boosted its turnover by 11.8%, reaching nearly €207 million.
It is worth highlighting that the group’s expansion was solidified with the completion of the acquisition of Tom Ford’s fashion segment in April. Tom Ford recently appointed a new CEO, Lelio Gavazza, to lead the brand. In the two months of operation before the end of the first semester, Tom Ford Fashion achieved sales of €64 million. The addition of Tom Ford Fashion is expected to significantly contribute to the Zegna Group’s turnover in the coming months.
Useful links:
1. Ermenegildo Zegna Group Official Website
2. Tom Ford Official Website
