Aeffe FY revenue up 8.4 percent, exceeding pre-Covid levels

Luxury fashion group Aeffe has reported revenue of 352 million euros in its preliminary 2022 results, surpassing pre-pandemic levels from 2019.

Revenue for the group, whose portfolio includes brands Moschino, Alberta Ferretti, Philosophy di Lorenzo Serafini, and Pollini, increased 8.4 percent from a year earlier, or 7.7 percent at constant exchange rates.

Executive chair Massimo Ferretti told investors the board was “very satisfied” with the revenue growth “despite the uncertain macroeconomic environment”.

Breaking it down by division, prêt-à-porter revenue increased 5.3 percent to 231.8 million euros, while footwear and leather goods revenue was up 16.9 percent to 163.6 million euros.

In terms of channel, retail sales jumped 22.6 percent to 88.5 million euros as deep-pocketed shoppers flocked back to physical stores, while wholesale sales rose by 4.1 percent to 248.6 million euros. Royalties revenues rose 9.5 percent to 12.9 million euros.

China challenges persist

Ferretti commented: “The significant progression of retail, together with the strong development of accessories, testify to the effectiveness of the investments made to further enhance our strategic positioning.”

In terms of geography, Europe experienced the most growth, with revenue increasing 11.6 percent to 117.8 million euros, driven by a “significant acceleration” of the retail channel.

Revenue in Italy, the group’s home market, rose 9.4 percent to 144.6 million euros, while sales in America were up 14 percent to 24.6 million euros.

The only region to report a drop in revenue was Asia and the Rest of the World, which was down 0.5 percent to 65 million euros.

The company cited the continued impact of Covid restrictions in mainland China, as well as the group’s decision to take control of its retail distribution in that market.