Ferragamo lost more than expected. Revenues for the second quarter of 2020 drop by 60%: twice the loss suffered between January and March. And so, the half-yearly turnover staled at 377 million euros: -46.6% at current exchange rates, and -46.9% at constant exchange rates. The maison underlines how, “as of July 25, 2020, there has been a marked growth by stores in Asia”. In particular: China, Korea and Japan, compared to 12 months ago.
Ferragamo lost more than expected
Preliminary revenues for the first half of 2020 are lower than expected. Analysts had hypothesised a turnover of 386 million euros (estimate by Refinitiv) against the 377 million euros made by the brand. During this half year, at constant exchange rates, footwear lost 47.3% and leather goods 43.1%.
Return to the past
As Reuters points out, in 2019 Ferragamo had reversed the trend that, since 2015, had led to a reduction in revenues every year. CRV, however, triggered a sharp return to the past. The latter effect was revealed to Ferragamo (at the end of May) also by calling back former CEO Michele Norsa as vice-president.
The worst is over (maybe)
The worst, however, should be over. Indeed, Ferragamo reported that the start of July shows an improvement in revenues compared to the previous quarter. Positivity was verified on all markets. In particular, the Asian ones.
Salvatore, Shoemaker of Dreams
Meanwhile, Salvatore, Shoemaker of Dreams, Luca Guadagnino‘s documentary film will participate as non competing at the 77th Venice Film Festival. “It is with great emotion – comments president Ferruccio Ferragamo – that we learned the news that the film about my father’s life will be presented in Venice. It is an honour for me and my family that an author such as Luca Guadagnino has become passionate about our family history, transforming it into a story for the big screen”.
Images from ferragamo.com and, in the box, Ferruccio Ferragamo (Imagoeconomica)
- Salvatore Ferragamo’s shoemaking factory is like a flash forward movie
- The chain needs luxury tourism to recover, says Ferragamo