Salvatore Ferragamo’s sales hit by China, plunging 17 per cent

(Source: Salvatore Ferragamo/Facebook)

Italian luxury group Salvatore Ferragamo has reported sales dropping 16.6 per cent at constant exchange rates for the first quarter due to the “volatile consumer environment in Greater China”. 

During the period, the group generated 227 million euros (US$244.6 million) in revenue. Net sales in Asia Pacific were down 15.5 per cent year-on-year. 

“Over the quarter, our performance was impacted by continued volatility in the Chinese market, as well as a persisting weakness in wholesale and travel retail, further compounded by an unfavourable comparison,” said Marco Gobbetti, CEO and GM at Salvatore Ferragamo.

The company said while Greater China and Korea were impacted by weak consumer sentiment, the rest of Asia Pacific was positive as travel resumed. 

Meanwhile, sales in Japan dropped 4.4 per cent during the period. 

Further reading, Prada Group continues strong growth with a double-digit sales jump in Q1

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