Ferragamo, the well-known Italian luxury fashion brand, has announced a positive development in its retail sales for the months of July and August. The company has nearly reached pre-Covid levels, a significant milestone after returning to operating profit in the first half of 2021. This marks a bounce-back from the losses experienced during the challenging year of 2020.

In a statement, Ferragamo highlighted solid revenue growth in its directly-operated stores, particularly in key markets such as the United States, China, South Korea, and Latin America. These markets have shown promising improvement compared to the same period in 2019. However, the company has not provided a full-year estimate at this stage.

Ferragamo faced greater challenges compared to its competitors due to its heavy reliance on travel-related spending, which was severely impacted by the aftermath of the Covid-19 crisis. To overcome these difficulties, the fashion house is placing its hopes on the appointment of former Burberry Chief Executive Marco Gobbetti as its new leader. Gobbetti’s arrival is expected to strengthen the company’s turnaround efforts, which have struggled to yield satisfactory results. In preparation for his arrival, the current CEO, Micaela le Divelec Lemmi, has stepped down, with all powers of ordinary administration now being transferred to Executive Vice Chairman Michele Norsa.

The positive financial performance in the first half of 2021 reflects the progress made by Ferragamo in recovering from the losses incurred in the previous year. Operating profit rose to 66 million euros ($78.19 million), a significant improvement from the loss of 72 million euros recorded in the same period in 2020. Additionally, the company reported a sales growth of 46.2% at constant exchange rates, amounting to 524 million euros during the first six months of this year.

Overall, Ferragamo’s recent sales performance demonstrates a promising recovery from the challenges posed by the Covid-19 pandemic. With a strong presence in key markets and the imminent arrival of a new CEO, the luxury fashion brand is well-positioned to capitalize on its recent achievements and drive further growth in the coming months.

For more information on Ferragamo’s sales recovery, visit: Example Link 1
To learn about the future strategies and initiatives of Ferragamo, click here: Example Link 2