Ermenegildo Zegna Group Reports 2024 Financial Results

Ermenegildo Zegna Group ( (ZGN) ) has released its Q4 earnings. Here is a breakdown of the information Ermenegildo Zegna Group presented to its investors.

Ermenegildo Zegna Group is a global luxury company renowned for its high-end menswear, operating through its three brands: ZEGNA, Thom Browne, and TOM FORD FASHION. The company is known for its superior Italian textile production and luxury manufacturing capabilities.

In its full-year 2024 earnings report, Ermenegildo Zegna Group reported a profit of €90.9 million, with revenues reaching €1,946.6 million, marking a 2.2% increase from the previous year. The company also highlighted an adjusted EBIT of €184 million, reflecting its strategic focus on talent acquisition, store network expansion, and marketing.

Key financial metrics showed a gross profit margin increase to 66.6%, although the profit margin decreased to 4.7% from 7.1% in the previous year. The ZEGNA brand saw a revenue increase of 4.9%, while Thom Browne experienced a decline of 16.8%. TOM FORD FASHION reported a significant revenue growth of 33.5%. The company continued to invest in its direct-to-consumer channels, which now account for 78% of branded product revenues.

Despite a challenging market environment, the company maintained a disciplined approach, focusing on enhancing brand desirability and cost control. The company also proposed a dividend of €0.12 per share, reflecting its commitment to shareholder returns.

Looking ahead, Ermenegildo Zegna Group remains cautiously optimistic about 2025, emphasizing the importance of protecting brand identity and executing its strategic vision with discipline and agility to create value for stakeholders.