Moncler Group, owner of the Moncler brand and Stone Island, said on Tuesday that third-quarter sales fell 1% year-on-year on a constant currency basis to €615.6 million. Revenue for the first nine months of the year remained flat, reaching €1.84 billion. Tuesday’s results beat analyst expectations for the quarter.
“As we close the first nine months of the year, we remain focused on executing our strategy with discipline, agility and a strong sense of direction — aware of the challenges around us, but even more committed to the opportunities ahead,” chair and CEO Remo Ruffini said in a statement. He highlighted the Moncler brand’s recent Warmer Together campaign, starring Al Pacino and Robert De Niro, as well as the company’s new Milan headquarters, Casa Moncler, as significant developments in Q3. “In a world that continues to evolve, we stay true to who we are — acting with responsibility, leading with intention and never compromising the long-term value of our brands for short-term results.”
Sales at the Moncler brand fell 1% year-on-year in the third quarter to €514.2 million. Stone Island’s revenues were flat at €101.4 million. Moncler’s direct-to-consumer (DTC) revenues were also flat year-on-year, and wholesale fell 4%; Stone Island’s DTC revenues were up 11%, offset by an 8% decline in the wholesale channel. The third quarter is the most significant wholesale quarter of the year, Elena Mariani, group strategic planning and investor relations director, flagged on the call. Performance was better than expected, she said, adding that the group now anticipates a mid-single-digit wholesale decline, rather than the high-single-digit decline it had projected previously.
For Moncler, the Americas and China outperformed other regions, with revenues up 5% for the former. (Moncler did not break out China revenue growth, but said that it outperformed the rest of Asia, which was flat year-on-year.) “Bear in mind that [the Americas] has been particularly penalized by the wholesale performance, which was negative in the quarter, and this has partly affected the double-digit growth registered by the DTC channel, which was driven by local US consumption,” Mariani said. EMEA (Europe, the Middle East and Africa) revenues were down 4%, and Japan also underperformed. Both were primarily affected by weak tourism flows, as with the previous quarter, executives flagged; Luciano Santel, group chief corporate and supply officer, said that less Americans in both Europe and Japan was most impactful.
Stone Island revenues in Asia were up 9% year-on-year in Q3, driven by strong sales in China and Japan. EMEA revenues were down 3%, while the Americas fell 3%.
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