Lanvin Group revenue decreased 20 percent to EUR 171 million in the first half, hurt by slowing demand across its entire brand portfolio, especially in Greater China.
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By region, Greater China revenues plummeted 24 percent, with Asia excluding Greater China decreasing by 7 percent during the six months. Europe, the Middle East, and Africa revenues declined by 27 percent, while North America sales fell by 11 percent.
Direct-to-consumer revenue decreased by 14 percent and wholesale revenue fell by 30 percent. Other revenue growth comprised of royalty and clearance income decreased 15 percent due to Lanvin’s reduction of clearance inventory.
By brand, Lanvin sales dropped 15 percent to EUR 48 million, with brand sales dropping 9 percent in Asia Pacific, and 14 percent in Greater China. Wolford revenues slumped 28 percent to EUR 43 million, with Asia Pacific dropping 24 percent and Greater China seeing a 20 percent decline.
Sergio Rossi revenues declined 38 percent to EUR 20 million, hurt by a 22 percent decrease in Asia Pacific, with Greater China decreasing by 34 percent, while St. John revenues contracted 14 percent to EUR 40 million, coinciding with a 46 percent decrease in sales in Asia Pacific, due to general market softness.
Lastly, Caruso maintained flat revenue with a 1 percent decline.
“Struggles in the wholesale channel compounded the issues of a softening global luxury market, in the first half of 2024. We spent much of the first half committed to our marketing plan, but also prioritized rationalising our cost base to fit the current market environment,” said Eric Chan, CEO of Lanvin Group.
“Furthermore, we are committed to our product strategy and investing in product development, which is why we are excited to have the new creative leaders who have joined our family. While we will be proactive in our approach to the near-term slowdown, we remain resolute in investing in our brands to forge our path forward, and to capitalize on our momentum as the markets improve.”
Earlier this year, Lanvin Group announced new creative directors at its Lanvin and Sergio Rossi brands, with Peter Copping and Paul Andrew appointed to the design helms of the luxury brands, respectively.