MILAN – Brunello Cucinelli believes that luxury and luxury are alive and well.
Chairman and creative director Cucinelli reported on Thursday that his namesake company’s sales for the first nine months of this year rose 12.4% to 920.2 million euros from 818.4 euros. My confidence in luxury continues to be very high.” In the same period last year, it was 1 million euros.
Sales in the third quarter increased by 9.2% to 300 million euros.
Cucinelli believes there is a huge opportunity for the brand in the high-end, true luxury market due to the reputation for style, exclusivity and craftsmanship that its collections embody, Cucinelli said after the deal closed in Milan. He spoke on a conference call. is listed.
Cucinelli, along with chief executive Luca Lisandroni, emphasized that standing out in this space requires “genuine relationships” built with customers. “We clearly feel that our clients have real trust in our work.”
Lisandroni said wealthy customers are willing to spend money and Cucinelli’s brand is responding with “authenticity and the ability to attract customers.”
Based on nine months of business results and orders, Cucinelli expects sales to increase by 10% in 2024, 2025 and 2026, and operating profit in 2024 to be “slightly improved” compared to 2023. confirmed the prediction.
Balanced growth across markets and channels contributed to the revenue increase for the nine months ended September 30.
Sales in Italy increased by 13.5% to 110.3 million euros, accounting for 11.9% of the total.
Sales in Europe excluding Italy were €340.3 million, up 8% with major cities, resorts, local customers and tourists accounting for 37% of the total.
Sales in the Americas increased by 17.6% to €334.7 million, accounting for 36.4% of the total, and were positive across both channels.
“North America has always been a geographically central region for our brand, with a very loyal customer base who appreciate very high quality and impeccable craftsmanship and want to purchase exclusive and unique clothing. ,” Cucinelli said.
Sales in Asia increased by 12.2% to 245.2 million euros, with sales in China, Japan, South Korea and the Middle East accounting for 26.6% of the total. “Sales in the Chinese market continue to maintain their excellent quality and our performance improved in the third quarter, which we believe is closely related to a combination of very important factors.
“In this context, we would like to emphasize with great anticipation and anticipation the positioning of our brand, our exclusive sales in Japan, our appreciation for providing ready-to-wear products made with the finest craftsmanship and handwork, and the taste of our collection. “We met the needs of our local customers in line with our offering type,” Cucinelli said.
Lisandroni acknowledged that foot traffic in China’s shopping malls has slowed, but a study of the company’s growth from 2019 to 2023 found that Chinese customers contributed 10%, compared to Americans and Europeans. He said it was shown that people accounted for 50%. The Middle East and South Korea account for 25% of the total. “The future of our industry is not entirely dependent on the speed of growth in China,” he said, noting that “huge opportunities” are accelerating around the world, including in Thailand, Vietnam, Indonesia and Saudi Arabia. mentioned.
Over the nine-month period, retail sales increased by 13.3% to €578.7 million, accounting for 62.9% of the total.
As of September 30, it had 128 boutiques, including a new flagship store in Miami. In 2025, Cucinelli plans to open stores in Vancouver, the Four Seasons in Macau, Abu Dhabi, and expand boutiques in Vienna and Geneva. The company also plans to open a branch in Mexico.
Wholesale channel revenue was €341.5 million, up 11% year-on-year. Cucinelli and Lisandroni emphasized their “creative freedom” and “judgment” in design when presenting their collections, and expressed confidence in the multi-brand store. “We work with 400 multi-brands around the world and are very positive about them.”
Cucinelli also reported solid growth in digital sales related to the new AI website, which launched in mid-July after three years of research and work. Online sales account for 6.5-7% of sales.
