Nov 11, 2021
Salvatore Ferragamo reports earnings of 40 million euros for first three quarters
Nov 11, 2021
Italian luxury house Salvatore Ferragamo has announced net income of 40 million euros for the first nine months of the fiscal year, solid results reflecting the brand's recovery, which has been led by Asia and the United States, following the disruption caused by the Covid-19 pandemic in 2020.
In the same period in 2020, which was strongly affected by the health crisis, the label posted a loss of 96 million euros.
Revenue rose 34% in the January-September period, totaling 785.3 million euros, despite ongoing restrictions on commercial activities in certain countries, said the company in a release published on Tuesday.
After reporting a net loss of 72 million euros in 2020, in an economic landscape that had been deeply shaken by the pandemic, the Florentine luxury house was able to pull itself out of the red in the first half of 2021, posting net income of 33.4 million euros.
Struggling with brand positioning issues, Salvatore Ferragamo suffered through two difficult years in 2017 and 2018, before managing to pull things back together in 2019. The pandemic, however, put the brakes on this recovery.
Asia-Pacific, which is still the company's largest market, representing 47% of its sales, versus 53% a year ago, saw its revenue rise 22.7% in the first nine months of the year. In continental China, retail sales grew 22.1% in constant currencies.
In North America, revenue increased 97.1% in constant currencies in the first nine months of the year and 65.7% in the third quarter.
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