Milan, August 2 (FFN) – Italian luxury goods manufacturer Salvatore Ferragamo has reported a significant decline of over 40% in its operating profit for the first half of this year. This continues a similar trend seen in the previous year. Financeflashnews reports this based on a Reuters news agency.
Salvatore Ferragamo Financial Highlights
| Metric | H1 2023 (€ million) | YoY Change (%) |
|---|---|---|
| EBIT | 28 | -41% |
| Revenue | ~11% decrease |
The family-owned company, renowned for its leather footwear and handbags, announced this week that its earnings before interest and taxes (EBIT) reached 28 million euros in the first half, representing a year-on-year decrease of 41%.
This earnings trend mirrors the previous year. In 2023, Salvatore Ferragamo also experienced an EBIT decline of over 40%, reaching 72 million euros. Despite this, the results surpassed analysts’ expectations, who had forecast a first-half profit decline to 20 million euros.
Revenue is also continuing to decline. While last year saw a 7.6% decrease, the first half of this year experienced an approximate 11% drop. The company attributed the significant impact on its financial results, particularly in the second quarter, to an unfavorable consumer environment, especially in the Asia-Pacific region. This overshadowed positive results in other markets.
