MILAN – On Thursday, Italian fashion group Ermenegildo Zegna (NYSE: ZGN) reported flat second-quarter organic revenue as sales in the United States, Europe, and the Middle East helped offset a weaker quarter at its Thom Browne brand.
Organic revenue totaled 497 million euros ($539 million) for the April-June quarter, down 0.4% from a year earlier.
Revenue growth at its Zegna (NYSE: ZGN) brand, which accounts for most of the group’s sales, was driven by ongoing robust growth in the U.S. and EMEA region, but fell by a single-digit percentage in the Greater China region, in line with the first quarter.
The group said it was focusing on strategic projects to unlock Thom Browne’s long-term potential.
“Looking ahead, I remain fully confident in the strategy we have put in place and the trajectory we are on… We all recognize that 2024 will remain challenging, which is why we have been working on cost control initiatives across the group,” Chairman and CEO Gildo Zegna said in a statement.
Earlier this week, Tom Ford Fashion said that Peter Hawkings was stepping down as creative director of the brand and a successor would be announced soon.
($1 = 0.9217 euros)
(Source: Reuters)
