MILAN — Newly public Brunello Cucinelli SpA reported a 36 percent rise in net profits to 7.2 million euros, or $9.4 million, in the first quarter ended March 31, compared with 5.3 million euros, or $7 million, in the same period last year.
Sales gained 17.1 percent to 77.6 million euros, or $101.6 million, compared with 66.3 million euros, or $86.8 million, last year.
Earnings before interest, taxes, depreciation and amortization climbed 27.6 percent to 12.9 million euros, or $16.9 million.
Dollar amounts have been converted at average exchange rates for the periods to which they refer.
The brand’s namesake founder said that “expectations for the year are good, our goal is a solid, sustainable and graceful growth.”
“The solid results achieved in the first quarter, both in terms of sales and margins, confirm the brand’s momentum at an international level,” said Cucinelli. “It seems there is a strong positive attitude towards our product, the way we present it and, as a consequence, the lifestyle that evokes a Made in Italy [product] of great quality, artisanal craftsmanship and, we hope, modernity.” Sales in Italy totaled 24 million euros, or $31.4 million, in the quarter, down 1.2 percent compared with the same period last year, and accounting for 30.9 percent of total revenues. Sales in other European markets grew 18 percent to 24.2 million euros, or $31.7 million. Revenues in the U.S. climbed 30.6 percent to 18 million euros, or $23.6 million, accounting for 23.2 percent of sales. In Greater China, sales rose 23.5 percent to 2.9 million euros, or $3.8 million, or 3.8 percent of total revenues.
The rest of the world grew 59.8 percent to 8.5 million euros, or $11.1 million, also lifted by “excellent results” in Japan and Korea, said the company.
All distribution channels saw growth in the period, especially at Brunello Cucinelli stores.
Sales at directly operated stores rose 53 percent (of which 18 percent to be attributed to the boutiques existing at the end of March last year) to 15.1 million euros, or $19.8 million, and accounting for 19.5 percent of total revenues. Franchised stores saw a 74.1 percent spike to sales of 10.6 million euros, or $13.8 million, accounting for 13.6 percent of total sales. As of March 31, Brunello Cucinelli stores totaled 38, up two units compared with the first quarter last year.
Wholesale sales totaled 52 million euros, or $68.1 million, up 3.2 percent compared with last year, and accounting for 66.9 percent of total revenues, compared with a 75.9 percent share last year.
On Thursday, shares closed down 1.41 percent to 10.50 euros, or $13.61 at current exchange.
Breaking News: @louisvuitton's men's artistic director @mrkimjones is leaving the French fashion house after nearly 7 years. Jones joined Louis Vuitton in 2011, following a three year tenure as creative director of British luxury goods brand Alfred Dunhill. Jones is to exit Louis Vuitton after showing his fall 2018 collection for the brand in Paris on Thursday. Read the full exclusive story on WWD.com. Link in bio. #wwdnews #wwdfashion
For men’s fall 2018, @giuseppezanotti drew on elements from streetwear, sport, biker, combat and rock ‘n’ roll. Pictured here are a pair of shoes from the collection, featuring zippers, rhinestones, and silver hardware. Head to WWD.com to see a roundup of the accessories from Milan’s men’s fall 2018 shows. #wwdfashion (📷: Andrea Delb)
To celebrate the 25th anniversary of @ralphlauren’s snowboarding collection, the brand is mining its archives. The iconic brand is reintroducing vintage styles and dropping new designs for a color capsule that will be available in Ralph Lauren stores and @openingceremony on January 25. The capsule will consist of 10 pieces, including the Snow Beach Pullover, pictured here, which is a collector’s item that rapper Raekwon wore in Wu-Tang Clan’s “Can It Be All So Simple” video. #wwdfashion (📷: Tom Gould)
For @rochasofficial’s pre-fall 2018 collection, creative director Alessandro Dell’Acqua channeled the sophisticated and intriguing Catherine Denevue in the film “Belle de Jour.” Polished collarless coats, midi skirts, suits and ’60s graphic motifs were all featured in the collection, adding a sense of discreet luxury. See the rest of the photos on WWD.com #wwdfashion
“We tried to produce clothing of that couture quality, but the most daunting part was that we only had a matter of days [to do it],” said costume designer Lou Eyrich, who recreated Gianni Versace’s iconic looks for @americancrimestoryfx. Eyrich searched online retailers and vintage shops for original pieces from the design house and for @penelopecruzoficial, who plays Donatella Versace. Head to WWD.com to read how she created the Versace world. #wwdfashion
Only three months after her stellar debut catwalk season, @kaiagerber has inked her first big design collaboration –– with @karllagerfeld. The collection blends Lagerfeld’s Parisian chic aesthetic and the model’s signature West Coast casual style via RTW, accessories, footwear and more. The #KarlLagerfeldxKaia collection will launch in September with a series of events. Get all the details on WWD.com. #wwdnews #wwdfashion
Harrods plans to remove the famous statue of Princess Diana and Dodi Al Fayed from the bottom of the Egyptian escalators and hand it back to Mohamed Al-Fayed. “We are very proud to have played our role in celebrating the lives of Diana, Princess of Wales and Dodi Al Fayed at Harrods and to have welcomed people from around the world to visit the memorial for the past 20 years,” said Michael Ward, Harrods managing director. “With the announcement of the new official memorial statue to Diana, Princess of Wales at Kensington Palace, we feel that the time is right to return this memorial to Mr. Al Fayed and for the public to be invited to pay their respects at the palace.” More on the news, with reporting by @loreleimarfil, at WWD.com. #wwdnews