Despite a “single-digit” decline in sales in the second half of last year that has persisted into this one, Italian fashion giant Giorgio Armani was nevertheless able to improve net sales by 6% at constant currency.
“An adjustment within the luxury market, especially in the Asia-ex-Japan region and the more accessible segment of the offer,” Armani stated in a statement, explaining the decline in sales seen through the first half of 2024.
Despite rising inflation driving up expenses, Armani said the business had only slightly raised retail prices because it was keeping its eyes on medium-term objectives and would not use prices to artificially boost sales and profitability in the short term.
Giorgio Armani, who turned 90 this month, said in a statement, “We are well-prepared to manage a market slowdown without needing to maximize year-on-year profit at all costs.”
Armani, who is chairman and CEO of the company he created, continued, “I remain steadfast in my belief that a focus on continuity and a pragmatic, consistent approach… is the only way to navigate the challenges and uncertainties that characterize today’s environment.”
The Milanese group’s operating profit, which accounts for over half of its sales in Europe, came to 215 million euros.
The family-run business reported 2.45 billion euros ($2.65 billion) in net sales the previous year. One dollar is equivalent to 0.9244 euros.
