Valentino’s revenues fell 3 p.c at fixed change charges to €1.35 billion ($1.44) final 12 months, the Roman trend home mentioned Tuesday. Working revenue fell 18 p.c to €99 million.
The drop was pushed by a “difficult” European market within the second half of the 12 months, in addition to efforts to scale back its publicity to wholesalers.
Direct gross sales rose 3 p.c in 2023, Valentino mentioned, whereas its fragrance and wonder line operated by L’Oréal flourished, with turnover leaping 42 p.c.
Many smaller Italian homes have struggled to navigate a slowing luxurious market final 12 months at the same time as French giants LVMH and Hermès surged forward. At Valentino, the outcomes assist to elucidate proprietor Mayhoola’s choice to shake up the model’s aesthetic, bringing on former Gucci designer Alessandro Michele to succeed longtime artistic director Pierpaolo Piccioli.
Whereas Piccioli continued to stage celebrated high fashion outings in latest seasons, the model has struggled to generate broad pleasure for its business provide. Whereas Valentino has a faithful following for its high-end ready-to-wear, the broader enterprise nonetheless relies upon closely on a handful of business items like its studded luggage and “Vlogo” belts.
In a be aware to editors, CEO Jacopo Venturini flagged progress on rolling out a brand new retailer idea that gives a extra immersive expertise of the model and its collections, in addition to progress in digital since bringing its e-commerce operations in-house.
Valentino plans to take a seat out the upcoming menswear and high fashion seasons forward of Michele’s debut, which is about to happen through the girls’s ready-to-wear season in Paris in September.
Valentino is betting Michele’s arrival will usher in a brand new period of daring design after two years of so-called “quiet luxurious” aesthetics fuelling progress for the trade, chairman Rachid Mohamed Rachid defined in a Bloomberg TV interview Monday. Michele’s arrival will open a “new chapter” for the corporate, Rachid mentioned.
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The Logic Behind Valentino’s Alessandro Michele Appointment
The Rome-based couture home’s guess on Rome’s most bankable design expertise may assist it punch above its weight.
