Profits soar for Zegna in first half results
Credit: Zegna
Revenue for the first six months of the year was €903.1 million, with an increase of 23.9% year-on-year. This included revenue of €64 million from the Tom Ford Fashion segment following the acquisition of Tom Ford International in April.
Adjusted EBIT for H1 totalled €119.9 million, up 45.0% year-on-year, with an adjusted EBIT margin of 13.3%.
Looking at the business segments, Zegna achieved an adjusted EBIT of €100.5 million, up by 47.8%, with a margin of 15.4%. Thom Browne has an adjusted EBIT of €31.5 million, flat on 2022 with a margin of 15.2%. Finally, Tom Ford Fashion recorded adjusted EBIT of €3.7 million and an adjusted EBIT Margin of 5.7% for H1.
The group has defined its financial goals for the medium-term, now expecting revenues of more than €2 billion by the end of fiscal 2025, with adjusted EBIT reaching at least 15% of revenues, excluding the Tom Ford Fashion segment.
Ermenegildo “Gildo” Zegna, Chairman and CEO, said: “Our performance during this six-month period again confirms the successful execution of our strategy, including our Zegna One Brand strategy – which is driving remarkable improvements in productivity across our direct-to-consumer stores, and our commitment to continue investing in marketing and advertising, as well as the expansion of distribution across all our brands.”