Despite the global negative trend, that is likely to have an impact on the luxury industry in 2013, the Group will continue to invest to expand its retail network and to promote its brands, also in new African and Asian markets.
Highlights:
-Revenues: € 1.261 billion (+11.9%)
- Net profits: € 130 million (+13.0%)
- Ebitda: € 250 million continues to grow (+7.5%)
As in the past, socially responsible initiatives will receive over 2% of net profits.
The board of directors of Ermenegildo Zegna Group, world leader in luxury menswear, has approved the consolidated financial statements for 2012, which shows sales of €1.261 billion (+12% at current exchange rates), Ebitda of €250.2m (19.8% of sales), net profits of €130m (+13%) and a positive net financial position. All the results are up on 2011.
Over 90% of sales came from exports, with emerging markets accounting for 46% of total Group revenues. The main growth driving markets were Greater China, the USA, Russia and the Middle East. Contraction, on the other hand, was recorded in Spain, Japan and Korea. Results in Europe were positive overall, with sales in Italy, France and the UK buoyed by tourists.
Zegna’s retail operation played a particularly important role: it generated 78% of the brand’s sales, having risen some 16 percentage points in just four years.
At the end of 2012, there were 543 stores, of which 303 directly operated. 30 new openings are scheduled for 2013, including stores in Geneva, London (Sloane St.), Dallas, Cancun, Abu Dhabi, Kuwait City, Singapore, Hanoi, Brisbane in and a number of Chinese cities, including Beijing and Shanghai.
Ermenegildo Zegna Group CEO Gildo Zegna explained that: “2012 confirmed our positive trend despite a significant slowing down in the last quarter even in the economies that were driving growth. The negative trend in the global economy may well, in contrast with recent years, have an impact on the luxury industry.
"We are confident that we can generate positive financial results. In 2013, we will continue to invest in Europe, the USA, Mexico, People’s Republic of China, Australia and Singapore and in new markets, such as Nigeria and Vietnam, to expand our retail network. We will also have the contribution of Stefano Pilati, who has been appointed creative director of Agnona, from the summer 2014 collection, and Head of Style for Zegna Couture and the EZ shows”.
“We will be exploring new business opportunities,” continued Gildo Zegna, “starting with our exciting collaboration with Maserati to produce a limited edition sedan, the Quattroporte by Ermenegildo Zegna, in 2014, followed by the production of personalized models using fabrics from our Wool Mill. We will step up our activities in the field of culture, first with Zegna Art, and we will support solidarity projects, directly or through our Foundation, with the donation of 2% of our net profits, thus perpetuating a commitment to social responsibility that has characterized our Group since its very beginning”.
