Zegna Group aims to exceed revenue target of 2 billion euros

With regards to medium-term financial goals, Ermenegildo Zegna N.V. aims to exceed revenues 2 billion euros and for adjusted EBIT as a percentage of revenues to reach at least 15 percent.

The group expects an increase in store productivity and continuing positive development of the price/mix to be key drivers of the top line, reflecting positively on profitability together with favourable operational leverage.

Commenting on the company’s strategy, Ermenegildo “Gildo” Zegna, chairman and CEO of the Zegna Group, said: “The ESG targets announced today reaffirm our commitment to a path of responsible growth and take us boldly to the future. We have rooted our financial goals in our values, which makes me confident in our ability to deliver against the ambitions set out in our business strategy.”

The company said in a release that these improvements should more than offset the strengthening of its marketing investments which, together with capital expenditure at about 5 percent of group revenues, are planned to support the Zegna rebranding and the overall growth strategy.

Keeping with its focus on sustainability, the company has announced a new ESG strategy, with further commitments on materials traceability, on climate change, and equal employment opportunities, among other topics. Zegna Group’s ESG commitments will be overseen by the board of directors.