MILAN— Tourists in Europe on the lookout for unique products along with boutique openings, strong demand in North America for elegant daywear and increasing appreciation for the brand in China helped propel Brunello Cucinelli SpA's sales up by more than 10 percent in the first nine months of the year to 384.2 million euros.Revenues increased in all channels, with retail — which benefited from the conversion of some stores from wholesale to direct management as well as from the opening of three new directly operated locations and the launch of the directly managed online boutique — seeing a nearly 20 percent gain over the first nine months of 2016.Retail revenues, which account for 48.7 percent of total sales, reached 187.3 million euros in the January-to-September period. In a statement released Tuesday after the stock exchange closed in Milan, where Cucinelli is listed, the company said net of the conversions and new stores, like-for-like sales — revenues generated by stores open at least one year — were up 4.2 percent.Wholesale monobrand turnover — sales generated by Cucinelli stores managed and owned by partners and which represent 5.7 percent of total turnover — increased 3 percent in the period, while wholesale multibrand revenues — which include department stores and represent some 45.6 percent of total sales — increased 7.7 percent, to 175.1 million euros.In a conference call Tuesday evening with analysts, chairman and chief executive officer Brunello Cucinelli said — given the firm's performance so far this year and seeing the strong demand for winter collections, "we can say with confidence that for this year we expect a beautiful double-digit growth in sales and a more than proportional increase in EBITDA [earnings before interest, taxes, depreciation and amortization]." He also said the order intake for spring was strong, in terms of numbers and feedback from customers and that he was confident that next year would be "another year with healthy growth in revenues and profits."In terms of markets, Cucinelli was positive about Italy, the brand's second-largest market (representing just over 18 percent of sales). In its home country, Cucinelli posted a "very handsome rise" of 9.8 percent in revenues, which reached 70.6 million euros. He singled out the brand's new store on Milan's Via Montenapoleone, its largest physical boutique, where he said results were "excellent."The European market — representing 30.2 percent of total revenues — saw 10.4 percent growth in the period, sustained by local customers and high-end tourists, with sales reaching 116.1 million euros.In North America — the brand's largest single market, representing more than one-third of turnover — Cucinelli said the trend remained "very favorable," especially because of the brand's ability to keep offering "special products with limited distribution." Turnover in the first nine months of the year increased 6.3 percent on the year-earlier period, to 130.2 million euros.Asked by an analyst how he felt things were going in the U.S. wholesale market in general, Cucinelli said during Milan Fashion Week he spoke to Neiman Marcus ceo Karen Katz, who told him things were improving. However, he said Katz told him that department stores "need to be more attractive" in terms of the way brands' collections are displayed.In China, the company reported a nearly 40 percent jump in sales, to 29.5 million euros, while in the Rest of the World, sales were up 8 percent, to 37.9 million euros. Cucinelli said he had been talking with 18 Chinese multibrand retailers "of the highest quality" who told him they strongly felt that Chinese luxury consumers want to buy in beautiful stores. Cucinelli said that, according to the retailers, these consumers continue to buy in physical stores because "it's less fascinating to buy online because no one knows what they are really buying." He said the retailers told him luxury customers "want to walk out of stores with large bags, which is very chic. They want a driver to pick them up and take them home, which is also very chic. They also want some discounts, even though they are rich."As for other Asian markets, Cucinelli singled out Japan and South Korea for tourist flows that generate "gradual and sustainable" sales increases, thanks to the "presence of top-end customers who are less influenced by macroeconomic developments than the midrange customer."
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