Luxury sector turmoil take toll on Lanvin Group
In the first half of fiscal 2024, the Lanvin Group experienced a 20% decrease in revenue, amounting to approximately $192 million. This decline was reflected across various regions, with Europe, Middle East, and Africa experiencing a drop of 27%, and North America seeing a decrease of 11%.
Revenue for Lanvin's namesake brand dropped by 15%, while Sergio Rossi saw a nearly 40% drop in revenue for the same period. The struggling wholesale market and global softness have contributed to these challenging circumstances.
However, the Lanvin Group remains resolute in its investment in its brands, aiming to capitalise on its momentum as the markets improve. To forge a creative path for 2025, the company plans to emphasise marketing initiatives for Lanvin and Sergio Rossi.
In a bid to rejuvenate its brands, the Lanvin Group appointed new creative directors. Peter Copping was appointed as the new Creative Director of the Lanvin brand, while Paul Andrew took on the role at Sergio Rossi.
Meanwhile, other luxury fashion giants such as Kering, LVMH, and Burberry also posted year-over-year earnings declines in July 2024. Salvatore Ferragamo reported a 12.8% revenue drop for Q1 in 2024.
In an effort to counteract these declines, the Lanvin Group is committed to investing in product development and brand strategy. The company's DTC revenue dropped by 14%, and wholesale revenue declined by 30% for the first half.
On a more positive note, Caruso's revenue remained relatively stable, declining by only 1% year over year. Wolford also appointed a new CEO, but its revenue fell by 28% during the same period.
In the summer of 2025, the Lanvin Group further strengthened its creative team by appointing Bruno Sialelli as Creative Director of Lanvin and Olivier Lapidus as Creative Director of the Lanvin menswear brand.
Despite the challenges faced in 2024, the Lanvin Group remains optimistic about its future, preparing to navigate the second half of 2024 with a sense of determination and a focus on forging a creative path for its brands in 2025.
Read also:
- Strategizing the Integration of Digital Menus as a Core Element in Business Operations
- Financial Actions of BlockDAG Following Inter and Borussia Agreements: Anticipating Future Steps
- International powers, including France, Germany, and the UK, advocate for the reinstatement of sanctions against Iran.
- Companies urged to combat employee resignation crisis, as per findings from the Addeco Group
