Moncler slackens in the first half of the year. The Italian group closed the first half of the year with flat sales of €1.23 billion, in a context marked by macroeconomic uncertainty and the slowdown in international tourism, especially in Europe. At constant exchange rates, turnover rose by 1%, in line with analysts’ forecasts.
Despite the stability in sales, the group’s profitability was affected by the marketing investment schedule, concentrated in the first half of the year, as well as by the drop in tourist traffic in key markets. The group’s operating income fell by 13% to €224.8 million, bringing the margin to 18.3%, compared to 21% in the same period of 2024.
Net income fell by 15% in the period to €153.5 million. In the same period of the previous year, the group had reached €180.7 million. “These are times that demand focus, discipline and flexibility,“ stressed Remo Ruffini, Moncler’s chairman and CEO, in a statement.
The executive also stressed the need to maintain investment in creativity, product excellence and community, with the aim of turning external challenges into new opportunities for the group.
Moncler reported a 4% decline in the Europe, Middle East and Africa region
By region, Asia (which includes Asia-Pacific, Japan and Korea) was the only positive performer in the first half, with growth of 2% to €525.7 million, or 4% at constant exchange rates. In the second quarter, revenues in the region were flat, affected by lower tourist arrivals in Japan, although with a sequential improvement in Korea.
In Europe, the Middle East and Africa, sales were down 4% to €365.4 million, and down 8% in the second quarter, weighed down by the decline in tourism, particularly visitors from China, the United States and Korea, which account for about half of sales on the continent. Local consumption was also flat.
In the Americas, performance was flat in the first half at €147.9 million, although it improved in the second quarter with an increase of 5% at constant rates, driven by the recovery of the direct retail channel (DTC).
During the presentation to analysts, the company highlighted the volatility of the tourism environment and the difficulty of having visibility in a context marked by economic and geopolitical instability. The second and third quarters are the most exposed to tourism for the group.
Stone Island’s sales declined 1% during the period
By brand, Moncler’s sales remained stable at €1.04 billion in the first half of the year. In the second quarter, sales contracted by 2% at constant exchange rates to €317.2 million, due to a less dynamic retail channel in the face of the deteriorating macroeconomic environment.
Stone Island, meanwhile, declined by 1% in the first half of the year to €186.7 million, and showed a positive performance of 6% in the second quarter at constant exchange rates, driven by the retail channel and improved wholesale. In Asia, the brand’s sales grew by 12% to €52.3 million in the first half, thanks to the good performance in China and Japan.
In Europe, the Middle East and Africa, Stone Island’s sales fell by 4% to €123.3 million, although the second quarter closed positively. In the Americas, turnover fell by 17% to €11 million, with a slight quarterly recovery.
The brand’s direct channel advanced 7% in the first half to €99.1 million, while the wholesale channel fell 9% to €87.6 million, although with an improvement in the second quarter due to the different delivery schedule.
The group’s investments amounted to €82 million in the first half of the year
The group closed June with 287 monobrand stores operated directly by Moncler, three more than in March. Recent openings and refurbishments include the new store in Westfield Sydney, the conversion of the Chongqing airport store (China), the King of Prussia shopping center (Philadelphia) and the relocation to South Coast Plaza (California). Moncler also maintains 54 wholesale outlets in shop-in-shop format.
In the case of Stone Island, the group operates 91 company-owned stores, one more than in March. During the period, a store was opened in Hangzhou (China) and the point of sale in Osaka (Japan) was relocated. The brand also has eleven single-brand stores in the wholesale channel.
The group’s investments amounted to €82 million in the first half of the year, 6.7% of sales, compared to €56.1 million the previous year. Of this total, €50.7 million were allocated to the distribution network and €31.3 million to infrastructure, such as the new corporate headquarters. By the end of the year, investment over sales is expected to be around 7%.
AloJapan.com