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Brunello Cucinelli's H1 sales jump, confirms long-term growth forecast

by Prachi Singh
29 Aug 2019

Net revenues for the first half of 2019 at Brunello Cucinelli S.p.A totalled 291.4 million euros (322.9 million dollars), representing a rise of 8.1 percent at current exchange and 7.2 percent at constant exchange rates. The company said, total revenues, which include other operating income, rose by 8.1 percent to 292 million euros (323.6 million dollars). EBITDA for the period reached 49.9 million euros (55.3 million dollars), a rise of 7.9 percent, with the margin of 17.1 percent, in line with last year.

Commenting on the first half update, Brunello Cucinelli, the company’s Chairman and CEO, said in a statement: “We are fully satisfied with our first half results. Since it is the end of August, we can very serenely and confidently envisage a particularly positive 2019 with revenues increasing in line with our long-term expectations: 8 percent annual growth resulting in double sales over the next 10 years - along with a more than proportional increase of EBITDA, with healthy and rising profits.”

The company’s performance across core geographies

In the Italian market, the company added, revenues reached 44.3 million euros (49.1 million dollars), a rise of 1.1 percent. Revenues in the European market rose 9.7 percent to 92.4 million euros (102.4 million dollars). Sales in the North American market increased 9 percent, with revenues of 94.1 million euros (104.3 million dollars, while China witnessed growth of 15.9 percent, with sales reaching 28.8 million euros (31.9 million dollars). Revenues in the rest of the world, increased 5.3 percent, with sales of 31.8 million euros (35.2 million dollars). The company saw, strong performance in all the group’s markets, including South Korea and Japan.

The company said, retail monobrand channel saw sales growth of 12 percent, with sales of 149.9 million euros (166 million dollars), while like-for-like growth was 3.7 percent, supported by positive sell-outs of the 2019 spring/summer collections. The network consisted of 102 boutiques at June 30, 2019. Sales in the wholesale monobrand channel of 18.2 million euros (20 million dollars), reported 1.7 percent rise on a comparable basis. The network consisted of 28 boutiques, compared to 29 at 30 June 2018. Wholesale multibrand channel saw an increase in sales of 6.5 percent, with sales reaching 123.3 million euros (136.6 million dollars).

Picture:Brunello Cucinelli website