© Reuters. Models present creations by designer Giorgio Armani as part of the Haute Couture Spring-Summer 2023 collection show for fashion house Giorgio Armani Privé in Paris, France, January 24, 2023. REUTERS/Sarah Messonnier
MILAN (Reuters) – Italy’s Armani Group said on Thursday its sales jumped 18 percent in the first quarter, thanks to a rebound in Asia and more modest growth in the United States, where a slowdown is expected in the coming months.
The privately owned luxury group added that its full-year 2022 revenue rose 16.5% to 2.35 billion euros ($2.59 billion), boosted by sales in Europe and the United States, while Asia showed a dip due to coronavirus-related restrictions.
The retail and wholesale channels contributed in a similar manner to the revenue growth.
The operating profit of the Milan-based group rose 30% in 2022 to €202.5m.
The group said the good momentum for 2022 continued into the first quarter of this year, which was boosted by a 14% increase in sales in Asia.
“Europe continues its positive trend (+22%), as does – albeit more modestly – America (+10%), where the coming months are expected to lead to a slowdown, which we hope will be offset by the positive trend in Asia,” the group said, referring to to the period January and March.
Luxury stocks fell in Europe this week amid growing concerns about slowing demand for luxury goods in the United States.
“In an increasingly difficult and competitive context, I feel proud that I have been able to maintain my independence and the stability of the Group,” said Giorgio Armani, Chairman and CEO of the Group.
The Italian group added that the “adjustment period” that followed the decision to reorganize the company’s portfolio around its three main brands, namely Giorgio Armani, Emporio Armani and Armani Exchange, had ended.
($1 = 0.9084 euros)