Aeffe closes the 2021 financial year up 20%, yet failing to return to its pre-pandemic financial level
Aeffe, which was severely affected by the pandemic in 2020, returned to growth in 2021. The Italian fashion group’s brand portfolio includes brands Alberta Ferretti, Philosophy, Moschino and Pollini, and additionally licenses Jeremy Scott along with other brands. The group achieved a turnover of €324.6 million last year, an increase of 20.6% compared to the previous year affected by Covid-19. However, it failed to recover its pre-pandemic financial position, falling by 7.6% compared to 2019.
The group reprted double-digit growth in 2021 throughout all its markets, as recorded by the company’s preliminary financial results. Italy, its largest market accounting for 41% of total revenues, reached €132.1 million, up 15% “thanks to excellent results in wholesale and online sales.” But the company is finding it hard to return to its 2019 financial position (down by 17.6%). Fortunately, this is not the case for sales in the other European countries, which account for almost a third of the group’s turnover. Despite the lack of tourists, European sales (excluding Italy) have soared by 24.6% compared to 2021 and 21.5% compared to 2019, thanks again to positive results in the wholesale channel, most notably in Germany, Britain, and Eastern Europe.
In Asia (which accounts for 20.1% of total turnover at €65.3 million) sales were up 21.2% above 2020 and 23% for Greater China alone, but down 24% compared to 2019. Finally, the Americas, which make up a small percentage of Aeffe’s market (6.7%), saw its sales jump by 41.4% compared to 2020 and by 7.2% compared to 2019.
Moschino acts as the fashion group’s flagship brand, which recently came under Aeffe’s full control through the acquisition of the missing 30% of its capital. The brand now accounts for 80% of the group’s total sales, up from 75% in 2019. Last year, it reached €258.4 million, up 20.1% on 2020, almost reaching 2019’s financial position (down 1.5%).
In terms of distribution, wholesale (which accounts for 73.6% of the group’s revenue) remains Aeffe’s predominant sales channel, with a turnover of €238.8 million. Last year, sales in this channel grew by 22.4% compared to 2020, while they fell by 2% compared to 2019.
The retail distribution channel saw its share decline, contributing only 22.2% of the group’s revenues (compared to 27% in 2019), up 13.6% in one year (down 23% over two years), to €72.1 million. The Moschino fashion house, which has just opened a new shop in Dubai, will open its largest store next spring with a surface area of 600 square meters in Milan’s golden quadrangle (Via della Spiga).
“We are pleased with our double-digit growth in 2021 and with the positive contribution of all our brands, both in the wholesale and retail channels, driven also by the consolidation of our online presence,” commented Aeffe’s CEO, Massimo Ferretti, in a press release. “We predict an encouraging outcome for these coming months, as evidenced by our significant developments in Europe, the United States, and Greater China, where in the next six months we will develop a new direct distribution project for Moschino,” he concluded.
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