Ferragamo seems to have gone down the right path during the first half of 2022, in order to reach its goals: doubling revenue by 2026 to 2.3 billion euro. The Italian group closed the period with both revenue and margins above expectations. Ferragamo mainly has to thank the sales’ growth in Europe and the USA, as they more than compensated for the slowdown in China, where revenue was impacted by Covid restrictions during the 2nd quarter.
The CEO’s comment
Ferragamo’s CEO Marco Gobbetti is satisfied, and he announces the acceleration of the investment plan for the second half of 2022, “to strengthen the platforms and regions, while remaining aware of the increasing market volatility and challenging economy”. Last month, Ferragamo signed a partnership with e-tailer Farfetch with the goal of attracting young consumers.
Ferragamo’s results for the 1st semester
During the first 6 months of 2022, Salvatore Ferragamo’s sales grew by 17% at constant rates (630 million euro). The result is higher, compared to the average estimated by analysts of 621 million euro, according to a Reuters survey. Sales of the footwear division went up 18.5%, while leather goods’ by 11%. Operating profits reached 95 million, against the 66 million of the previous year. Ferragamo surpassed the analysts’ expectations on this front too, as they has forecasted an EBIT of 83 million euro.