Salvatore Ferragamo posts H1 revenue growth of 44 percent
Jul. 21, 2021
As of June 30, 2021, the Salvatore Ferragamo Group reported total revenues of 524 million euros, up 44.1 percent at current exchange and 46.2 percent at constant exchange rates.
The company said revenues in the second quarter registered a 91.3 percent increase at current exchange and 90.5 percent at constant exchange rates.
Review of Salvatore Ferragamo’s performance through retail channels
At June 30, 2021, the group's retail network consisted of 639 points of sales, including 398 directly operated stores and 241 third party operated stores in the wholesale and travel retail channel, as well as a presence in department stores and multi-brand speciality stores.
In the first half, the company’s retail distribution channel posted a consolidated revenue increase of 46.3 percent or 49.4 percent at constant exchange rates. In the second quarter, retail revenues increased 81.3 percent or 82.9 percent at constant exchange rates, with four areas including Greater China, North America, Latin America and Korea exceeding the pre-Covid levels.
The direct e-commerce channel reported a revenue increase of 70.6 percent or 78.3 percent at constant exchange rates. In the second quarter, direct e-commerce increased by 65.8 percent at constant exchange rates.
The wholesale channel registered an increase in revenues of 41.1 percent or 40.5 percent at constant exchange rates in the first half and 134 percent or 122 percent at constant exchange rates in the second quarter.
Salvatore Ferragamo’s results across core markets
Revenues in the Asia Pacific area were up by 35.2 percent or 34 percent at constant exchange in the first half period, with the retail channel in Greater China posting revenue growth of 45 percent. The company said that the retail channel in China posted a revenue increase of 47.4 percent, retail channel in Korea posted sales growth of 21.9 percent.
The Japanese market registered a 13.4 percent or 18.2 percent revenue increase at constant exchange rates and second-quarter sales growth of 55 percent at current exchange rates and 66.9 percent at constant exchange rates.
The company added that EMEA, penalized by lock-downs of stores and mainly by the limited tourists’ flows in the first half period, posted an increase in revenues of 22.3 percent or 20.6 percent at constant exchange rates, with second-quarter sales growth of 113 percent at constant exchange rates. North America recorded a revenue increase of 103 percent or 122 percent at constant exchange rates in the first half.
Revenues in Central and South America in the first half of 2021 were up 64.8 percent or 72.9 percent at constant exchange rates. Revenues increased by 680 percent at 16 million euros in the second quarter.
All main product categories under the group reported an increase in first-half revenues, with shoes and leather categories representing respectively 43 percent and 45 percent of the turnover in the first half.
The company further said that in July, revenues in directly operated stores in the United States, China, Korea and Latin America continued to grow and in the second week of July, the worldwide retail performance was in line with pre-Covid levels.