Valentino sales should reach close to €1 billion in 2015
Valentino has reached a turning point, which should soon allow the Italian luxury brand to join the major league. The fashion house is in fact about to reach revenues of €1 billion earlier than planned, according to the forecast by CEO Stefano Sassi, who commented on Valentino's first semester results in the Italian press.
In the first six months of the year, Valentino's sales jumped 59%, reaching €478 million, compared to €301 million for the same period a year earlier. The fashion label achieved an EBITDA of €87.5 million, compared to €46.7 million as of 30th June 2014 (+87.3%), equivalent to 18.3% of total revenues.
Europe remains the group's top market, accounting for 40% of total sales, followed by Asia, including Japan (36%), with sales in China having grown 30% in the first semester, and by the USA (23%).
After closing 2014 with revenues of €664 million, Valentino is thus more than optimistic about 2015. It will of course benefit from a favourable exchange rate, but chiefly from the first-rate profitability of its directly-owned stores, especially the flagships. They are stores "that make a difference", such as those in Hong Kong, on New York's Fifth Avenue and on Piazza di Spagna in Rome.
It must be said that the group invested extensively in its retail operations, to the tune of nearly €250-300 million between 2013 and 2015. In 2014, Valentino opened 45 new stores, while 20 new openings are planned for 2015.
Finally, another key factor of success for Valentino is the accessories category, whose weight rose from 30% of revenues a few years ago to 55% today.
Copyright © 2022 FashionNetwork.com All rights reserved.