Italy’s Zegna Group announced on October 27 total revenues for the third quarter increased 27.5 percent to 357 million euros (USD 353.59 million), as the owner of Zegna and Thom Browne saw a return to growth in its Greater China business and solid gains in its Asia-Pacific operations overall.
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Zegna Group said its Greater China region returned to growth for the quarter, enjoying a solid rebound in July and August before new lockdowns started having a negative impact in September.
Revenues in the Greater China region amounted to EUR 116 million for the quarter, up 3 percent year-over-year. This followed a rebound at the end of the second quarter, due to the relaxing of Covid-19-related restrictions across several cities in China.
Growth for the Asia-Pacific region was at 13.7 percent for the quarter, with revenues reaching EUR 153 million. Zegna said the growth was attributed to positive direct-to-consumer performances for both the Zegna and Thom Browne brands before the renewed lockdowns in September across major Chinese cities, including Chengdu, Shenzhen, and Tianjin.
“This quarter was one of our strongest yet thanks to exceptional performance by both Zegna and Thom Browne in Europe, the Middle East, and the U.S., as well as a rebound in the Greater China Region,” said Ermenegildo Zegna, chairman and CEO of the Zegna Group.
“We achieved a number of milestones this quarter as we continue to execute on our strategy and commitments while remaining true to the values that have guided us for 112 years.”
Company revenues for the first nine months of the year reached EUR 1.09 billion, up 22.9 percent year-over-year, the company said.
Looking ahead, the group confirmed its full-year revenue guidance of mid-teens growth, thanks to the group’s robust performance during the first nine months of 2022, and despite the continued volatility in the Greater China region, the company concluded.