Latest news with #Safilo
Yahoo
02-08-2025
- Business
- Yahoo
Safilo's Net Profit, Sales Rise in the H1, Helped by Asia-Pacific and Tariff Offsetting Measures
MILAN — Helped by a strong performance in Asia-Pacific, Safilo grew in the first half of the year with an improvement in profits and margins. The Padua, Italy-based eyewear group continues to hold strong while it navigates macroeconomic challenges, a weaker U.S. dollar and evolving tariff negotiations, its chief executive officer Angelo Trocchia said during a conference call with analysts on Thursday. Revenues in the six-month period ended June 30 rose 2.3 percent to 537.6 million euros from 532 million euros in the same period of 2024, helped by performance in Asia-Pacific. Adjusted net profit rose to 33.7 million euros compared to 24.2 million euros recorded in the first half of last year. More from WWD Western Craze Helps Boot Barn Kick Off Fiscal 2026 on a High Note as Firm Raises Full-Year Outlook Shoe Firms Producing in Mexico Get 90-Day Tariff Extension Tariff Headwinds Are Getting Real for Shoe Firms - And It's Just the Beginning 'In all our regions, momentum continued to be strong for our contemporary and lifestyle brands, with Carrera, David Beckham, Tommy Hilfiger, Boss, Carolina Herrera and Marc Jacobs standing out also in the second quarter,' Trocchia said adding that North America performance was helped by sport and prescription eyewear. In the first half, Safilo's gross margin rose to 61.1 percent from 60 percent in the same period of 2024. Adjusted earnings before interest, taxes, depreciation and amortization margin rose to 11.6 percent from 10.8 percent a year earlier. Despite the improvement in its margins and bottom line, sales momentum in the first-quarter worldwide slowed in the second quarter. Overall, sales amounted to 251.9 million euros versus 254.8 million euros, compared to the same period of 2024. The North American market, its second largest by sales, was down 1.1 percent to 102.1 million euros, impacted by the weakening of the U.S. dollar against the euro, which dampened an otherwise positive performance. The rest of the world category plunged 14.9 percent to 19.8 million euros, but the Asia-Pacific market offset losses, surging 8.2 percent in the same period to 15.7 million euros. The European market, its top market by sales, inched up 0.4 percent to 114.2 million euros, driven by revenue in France in the second quarter. Sales performance in Europe was also marginally impacted by the disposal of the subsidiary Lenti Srl in June. In the first half, U.S. President Donald Trump's tariffs and trade policies spurred the acceleration of Safilo's supply chain diversification, and selective price adjustments in the U.S. In May, the firm said it also continued to source from South East Asia to reduce the company's reliance on China with the goal to bring China-sourced production below 40 percent within the next 12 months. Additionally, the firm said it was evaluating an expansion of its U.S. manufacturing footprint with a potential increase in capacity at its facility in Utah. During the conference at the end of trading in Milan, Trocchia expressed confidence in the potential of its renewal of Carolina Herrera license for the next five years and its recent share buyback program. As of June 30, Safilo had purchased around 438,000 Safilo Group ordinary shares, equal to about 0.11 percent of the outstanding shares. He was also positive on the addition of Victoria Beckham to its portfolio, further enhancing its women's offering and strengthening its positioning in the aspirational, entry-to-luxury segment. In response to further mitigation measures in response to tariffs, Trocchia said further measures weren't necessary. 'We don't see the need to do other activities or take further actions on price increases. We've been very careful in executing this as it stands today. That's it. We don't see a need for further action on pricing,' he said. In the first half of 2025, cash flow from operating activities reached 40.7 million euros, marking a significant increase compared to 27.3 million euros in the same period of 2024. This improvement was helped by tight control over stock levels supported by the group's strategic decision in the second quarter to limit imports from China. For the rest of 2025, Trocchia said that the priority remains the North American and European markets and said the company is mulling new opportunities, especially in Asia and within optical, sport and women categories. 'M&A is a priority…if at a certain point we come to the conclusion that there is no M&A at the price or multiple that is right, then we can do [execute] different capital allocations. Let's see what will happen in the second quarter on the M&A side,' he said. Best of WWD Harvey Nichols Sees Sales Dip, Losses Widen in Year Marred by Closures Nike Logs $1.3 Billion Profit, But Supply Chain Issues Persist Zegna Shares Start Trading on New York Stock Exchange
Fashion Network
31-07-2025
- Business
- Fashion Network
Safilo up 2.3% in the first half
In the first six months of 2025, eyewear specialist Safilo posted net sales of 537.6 million euros, up 2.3% at constant exchange rates and 1.1% at current exchange rates. In the second quarter, which closed at 251.9 million euros, alongside similar growth at constant exchange rates, there was a 1.1% decline at current exchange rates, driven mainly by a weakening of the dollar against the euro by about 5%. "In the six-month period, sales in the main wholesale channels, represented by independent opticians and retail chains, recorded high-single-digit growth. The online business showed moderate growth, holding steady at around 16% of revenues. Solid growth in Smith's direct-to-consumer channel and continued strength in sales to pure-player Internet customers offset the underwhelming performance of Blenders' e-commerce," the company explained in the press release issued. Geographically, sales in North America totaled 220.9 million euros in the six months, up 2.8% at constant exchange rates and 1.5% at current exchange rates; second-quarter sales of 102.1 million euros were up 4.8% at constant exchange rates but down 1.1% at current exchange rates. Europe ended the half year slightly up (+1.7%, both at constant and current exchange rates), totaling 243.1 million euros, while the second quarter was essentially stable (+0.5% at constant exchange rates and +0.4% at current exchange rates) at 114.2 million euros. In the second quarter, France continued to be the main growth engine in the region; the Northern and Eastern European markets also continued to show good dynamism, driven by the group's main owned and licensed brands. As for the first six months, performance was supported by double-digit increases for David Beckham, Tommy Hilfiger, Boss, and Marc Jacobs, with solid results in both optical frame and sunglass collections. Asia Pacific is the fastest growing region, with +14.7% at constant exchange rates and +14.1% at current exchange rates in the first half (30.2 million euros) and +11.5% at constant exchange rates and +8.2% at current exchange rates in the second quarter (15.7 million euros). In the rest of the world, sales in the second quarter of 2025 stood at 19.8 million euros, down 5.2% at constant exchange rates and 14.9% at current exchange rates. The area's performance was mainly affected by a slowdown in business to distributors in the Middle East, in a market environment made difficult by geopolitical tensions. In contrast, sales in Latin America grew in the second quarter, thanks to the good recovery of business in Mexico. In the first half of 2025, sales in the Rest of the World totaled 43.5 million euros, down 3.8% at constant exchange rates and 10.8% at current exchange rates. In terms of margins, Adjusted EBITDA for the first half of the year was 62.3 million euros, up 8.1% (accounting for 11.6% of sales), while EBITDA for the second quarter rose 9% to 27.9 million euros (11.1% margin).
Fashion Network
31-07-2025
- Business
- Fashion Network
Safilo up 2.3% in the first half
In the first six months of 2025, eyewear specialist Safilo posted net sales of 537.6 million euros, up 2.3% at constant exchange rates and 1.1% at current exchange rates. In the second quarter, which closed at 251.9 million euros, alongside similar growth at constant exchange rates, there was a 1.1% decline at current exchange rates, driven mainly by a weakening of the dollar against the euro by about 5%. "In the six-month period, sales in the main wholesale channels, represented by independent opticians and retail chains, recorded high-single-digit growth. The online business showed moderate growth, holding steady at around 16% of revenues. Solid growth in Smith's direct-to-consumer channel and continued strength in sales to pure-player Internet customers offset the underwhelming performance of Blenders' e-commerce," the company explained in the press release issued. Geographically, sales in North America totaled 220.9 million euros in the six months, up 2.8% at constant exchange rates and 1.5% at current exchange rates; second-quarter sales of 102.1 million euros were up 4.8% at constant exchange rates but down 1.1% at current exchange rates. Europe ended the half year slightly up (+1.7%, both at constant and current exchange rates), totaling 243.1 million euros, while the second quarter was essentially stable (+0.5% at constant exchange rates and +0.4% at current exchange rates) at 114.2 million euros. In the second quarter, France continued to be the main growth engine in the region; the Northern and Eastern European markets also continued to show good dynamism, driven by the group's main owned and licensed brands. As for the first six months, performance was supported by double-digit increases for David Beckham, Tommy Hilfiger, Boss, and Marc Jacobs, with solid results in both optical frame and sunglass collections. Asia Pacific is the fastest growing region, with +14.7% at constant exchange rates and +14.1% at current exchange rates in the first half (30.2 million euros) and +11.5% at constant exchange rates and +8.2% at current exchange rates in the second quarter (15.7 million euros). In the rest of the world, sales in the second quarter of 2025 stood at 19.8 million euros, down 5.2% at constant exchange rates and 14.9% at current exchange rates. The area's performance was mainly affected by a slowdown in business to distributors in the Middle East, in a market environment made difficult by geopolitical tensions. In contrast, sales in Latin America grew in the second quarter, thanks to the good recovery of business in Mexico. In the first half of 2025, sales in the Rest of the World totaled 43.5 million euros, down 3.8% at constant exchange rates and 10.8% at current exchange rates. In terms of margins, Adjusted EBITDA for the first half of the year was 62.3 million euros, up 8.1% (accounting for 11.6% of sales), while EBITDA for the second quarter rose 9% to 27.9 million euros (11.1% margin).
Fashion Network
31-07-2025
- Business
- Fashion Network
Safilo up 2.3% in the first half
In the first six months of 2025, eyewear specialist Safilo posted net sales of 537.6 million euros, up 2.3% at constant exchange rates and 1.1% at current exchange rates. In the second quarter, which closed at 251.9 million euros, alongside similar growth at constant exchange rates, there was a 1.1% decline at current exchange rates, driven mainly by a weakening of the dollar against the euro by about 5%. "In the six-month period, sales in the main wholesale channels, represented by independent opticians and retail chains, recorded high-single-digit growth. The online business showed moderate growth, holding steady at around 16% of revenues. Solid growth in Smith's direct-to-consumer channel and continued strength in sales to pure-player Internet customers offset the underwhelming performance of Blenders' e-commerce," the company explained in the press release issued. Geographically, sales in North America totaled 220.9 million euros in the six months, up 2.8% at constant exchange rates and 1.5% at current exchange rates; second-quarter sales of 102.1 million euros were up 4.8% at constant exchange rates but down 1.1% at current exchange rates. Europe ended the half year slightly up (+1.7%, both at constant and current exchange rates), totaling 243.1 million euros, while the second quarter was essentially stable (+0.5% at constant exchange rates and +0.4% at current exchange rates) at 114.2 million euros. In the second quarter, France continued to be the main growth engine in the region; the Northern and Eastern European markets also continued to show good dynamism, driven by the group's main owned and licensed brands. As for the first six months, performance was supported by double-digit increases for David Beckham, Tommy Hilfiger, Boss, and Marc Jacobs, with solid results in both optical frame and sunglass collections. Asia Pacific is the fastest growing region, with +14.7% at constant exchange rates and +14.1% at current exchange rates in the first half (30.2 million euros) and +11.5% at constant exchange rates and +8.2% at current exchange rates in the second quarter (15.7 million euros). In the rest of the world, sales in the second quarter of 2025 stood at 19.8 million euros, down 5.2% at constant exchange rates and 14.9% at current exchange rates. The area's performance was mainly affected by a slowdown in business to distributors in the Middle East, in a market environment made difficult by geopolitical tensions. In contrast, sales in Latin America grew in the second quarter, thanks to the good recovery of business in Mexico. In the first half of 2025, sales in the Rest of the World totaled 43.5 million euros, down 3.8% at constant exchange rates and 10.8% at current exchange rates. In terms of margins, Adjusted EBITDA for the first half of the year was 62.3 million euros, up 8.1% (accounting for 11.6% of sales), while EBITDA for the second quarter rose 9% to 27.9 million euros (11.1% margin).
Fashion Network
31-07-2025
- Business
- Fashion Network
Safilo up 2.3% in the first half
In the first six months of 2025, eyewear specialist Safilo posted net sales of 537.6 million euros, up 2.3% at constant exchange rates and 1.1% at current exchange rates. In the second quarter, which closed at 251.9 million euros, alongside similar growth at constant exchange rates, there was a 1.1% decline at current exchange rates, driven mainly by a weakening of the dollar against the euro by about 5%. "In the six-month period, sales in the main wholesale channels, represented by independent opticians and retail chains, recorded high-single-digit growth. The online business showed moderate growth, holding steady at around 16% of revenues. Solid growth in Smith's direct-to-consumer channel and continued strength in sales to pure-player Internet customers offset the underwhelming performance of Blenders' e-commerce," the company explained in the press release issued. Geographically, sales in North America totaled 220.9 million euros in the six months, up 2.8% at constant exchange rates and 1.5% at current exchange rates; second-quarter sales of 102.1 million euros were up 4.8% at constant exchange rates but down 1.1% at current exchange rates. Europe ended the half year slightly up (+1.7%, both at constant and current exchange rates), totaling 243.1 million euros, while the second quarter was essentially stable (+0.5% at constant exchange rates and +0.4% at current exchange rates) at 114.2 million euros. In the second quarter, France continued to be the main growth engine in the region; the Northern and Eastern European markets also continued to show good dynamism, driven by the group's main owned and licensed brands. As for the first six months, performance was supported by double-digit increases for David Beckham, Tommy Hilfiger, Boss, and Marc Jacobs, with solid results in both optical frame and sunglass collections. Asia Pacific is the fastest growing region, with +14.7% at constant exchange rates and +14.1% at current exchange rates in the first half (30.2 million euros) and +11.5% at constant exchange rates and +8.2% at current exchange rates in the second quarter (15.7 million euros). In the rest of the world, sales in the second quarter of 2025 stood at 19.8 million euros, down 5.2% at constant exchange rates and 14.9% at current exchange rates. The area's performance was mainly affected by a slowdown in business to distributors in the Middle East, in a market environment made difficult by geopolitical tensions. In contrast, sales in Latin America grew in the second quarter, thanks to the good recovery of business in Mexico. In the first half of 2025, sales in the Rest of the World totaled 43.5 million euros, down 3.8% at constant exchange rates and 10.8% at current exchange rates. In terms of margins, Adjusted EBITDA for the first half of the year was 62.3 million euros, up 8.1% (accounting for 11.6% of sales), while EBITDA for the second quarter rose 9% to 27.9 million euros (11.1% margin).
