MILAN — Valentino Fashion Group SpA posted a 28.1 percent jump in third-quarter net profits, citing swift sales growth at its Valentino and Hugo Boss brands.
Net profit for the three months ended Sept. 30 rose to 52 million euros, or $62.9 million, while sales advanced 11 percent to 570.7 million euros, or $690.5 million. Dollar figures have been converted from the euro at average exchange rates for the period to which they refer.
The company said full-year revenue growth should be in line with that posted in the first nine months, while net profits and operating profits growth should be "proportionally higher."
Valentino Fashion Group was formed this summer when Marzotto SpA spun off its fashion assets and listed the new group on the Milan stock exchange. All 2004 comparative figures used to calculate growth at the company are pro forma figures.
Valentino FG's operating profit for the quarter rose 13 percent to 115.2 million euros, or $139.4 million.
In the nine-month period ending Sept. 30, Valentino FG said net profits rose 24.4 percent to 75.9 million euros, or $95.6 million. Sales gained 11 percent to 1.38 billion euros, or $1.74 billion. A spokesman said Hugo Boss's nine-month sales rose 12 percent to 1.06 billion euros, or $1.34 billion, while Valentino posted a net profit of 13 million euros, or $16.4 million, on a 20 percent sales increase to 156 million euros, or $196.6 million, he added.
The company said the Americas and Asia were the best-performing geographic markets in growth terms. Sales in Asia increased 31 percent over the nine-month period while revenue from the Americas advanced 11 percent. A spokesman further specified that sales in Italy increased 4 percent, while those in Germany advanced 9 percent and revenue from other European countries grew 11 percent.
Valentino FG said investments over the nine-month period increased by nearly 16 million euros, or $20.2 million, to 62.9 million euros, or $79.25 million. That sum went toward store openings, the updating of technological systems and the expansion of some Hugo Boss facilities.
The company has continued to reduce its debts. Net financial debt stood at 359 million euros, or $452.3 million, from 462 million euros, or $568.3 million, at the end of September last year.Meanwhile, Marzotto SpA, the company that retains all of the old Marzotto group's textile assets, swung into profitability for the nine-month period. One-time gains off dividends and asset sales allowed the company to post a net profit of 12.6 million euros, or $15.9 million, compared with a year-earlier loss of 5.7 million euros, or $7 million. Sales fell 6.5 percent to 208.5 million euros, or $262.7 million.
@tradesy is turning the concept of a showroom upside down with its new space in Santa Monica. Here, the company plans to hold events, art exhibits and a showcase rare fashion pieces like this Louis Vuitton boxing set. Get all the details on Tradesy’s first showroom on WWD.com. #wwdnews
Spotted last night at the @erdem x @hm launch event: Kate Bosworth, Rashida Jones, Kirsten Dunst and Selma Blair. The party, which took place in LA, also marked the opening of their pop-up shop. “I was interested in creating a collection that wasn’t in any way disposable. It was about pieces you’d create and keep forever, things that have a permanence to it,” designer Erdem Moralioglu said. #wwdeye (📷: Katie Jones)
Renee Zellweger in yellow in 2001 and again in 2017. Chosen as one of the 12 @pantone Leading Spring Colors (and dubbed “Meadowlark”), it only makes sense that the bright hue stands the test of time and is making a resurgence this season, seen already on stars like @blakelively and @gigihadid. (📷: Donato Sardello & @rexfeatures) #wwdfashion #tbt
Dior’s 70th anniversary celebration continues with a new exhibition at the Royal Ontario Museum in Toronto. “Christian Dior,” which is scheduled to run through March 18, takes a look at the founders tenure from 1947 to 1057 and feature 40 designs. Pictured here is an evening gown from the Ailée, fall 1948-49 haute couture collection. #wwdfashion (📷: Brian Boyle)
As one of the most recognizable models in the world, Christy Turlington Burns has an insider’s view of the fashion industry and the allegations of sexual harassment swirling around it. “I can say that harassment and mistreatment have always been widely known and tolerated in the industry. The industry is surrounded by predators who thrive on the constant rejection and loneliness so many of us have experiences at some point in our careers,” Turlington told WWD, along with her suggestions for how the modeling world should protect younger women and men. Read more on WWD.com. Link in bio. (📷: Tony Palmieri) #wwdnews
@asics America has tapped a new brand ambassador: famed DJ/record producer @steveaoki. This initiative is intended to set the tone for the new brand identity and philosophy and will include partnerships with influencers and in-store and off-line activations that will continue into next year. This is Asics’ most significant marketing effort in two decades, and is expected to attract younger consumers to the brand. #wwdfashion
24-year-old Jean Prounis is redefining the rules of jewelry. Formerly a studio assistant to Jemima Kirke and a design apprentice at Ghuran, she focuses on handcrafted subtleties and ancient goldsmithing techniques. “There was a really sterile feel in the environment and I wanted to have jewelry with character that shapes how you wear it everyday,” Prounis said. Each piece is hand made in New York, either by Prounis or three other jewelers in the district. #wwdfashion
“These collections continue to build on that vision, empowering differently abled adults to express themselves through fashion,” said @tommyhilfiger of his line of adaptive apparel, which launches today. The line consists of 37 men’s and 34 women’s styles based upon the pieces from the spring Tommy Hilfiger sportswear collection. #wwdnews