Salvatore Ferragamo’s first-half sales amounted to €376.5 million, declining by 46.6 percent year-on-year on a reported basis and by 46.9 percent at constant currency rates. In the second quarter, revenues were down by 60.1 percent at current exchange rates and by 59.4 percent in local currencies when the impact of coronavirus-related lockdowns was strongest.
But in July, the company experienced an improvement, and highlighted solid growth in directly-operated stores in Mainland China, South Korea and Japan compared with the previous year.
In Asia-Pacific area first-half sales totaled €166.7 million, decreasing by 39.9 percent on reported basis and by 39.1 percent at constant exchange rates. In the second quarter, sales were down by 35.3 percent in local currencies, benefiting from a positive performance of the retail channel in China, which grew by 11.6 percent .
Europe, the Middle East and Africa saw sales plummet by 51.7 percent to €85.8 million. At constant currency rates, the decline was 51.2 percent for the semester and 71.9 percent for the second quarter, driven by stores closures and the drying up of tourist flows.
In North America, revenues decreased by 54.4 percent to €69.7 million. In local currencies, the top line dropped by 57.8 percent in the first half, with second-quarter sales falling by 83.2 percent.
The Japanese market registered a 37.4 percent decrease in first-half sales to €36.9 million. In yen, the contraction reached 39.3 percent year-on-year in the first half and 58.4 percent in the second quarter.
Revenues in Central and South America were down by 54.6 percent to €17.4 million. In local currencies, the decline reached 50.1 percent in the semester and 83.1 percent in the second quarter.
Global footwear sales reached €159.5 million, falling by 46.4 percent in euros and by 47.3 percent in local currencies, while revenues from leathergoods and handbags totaled €158.6 million dropping by 43.6 percent in current currencies and by 43.1 percent at constant exchange rates.
By distribution channel, retail sales fell by 41.0 percent to €260.6 million in the first half with comparable sales down by 41.0 percent. In the second quarter, comparable sales dropped by 51.0 percent. As of June 30, the retail network amounted to 643 points of sales, including 389 directly operated stores and 254 third party operated stores, as well as the presence in department stores and high-level multi-brand specialty stores.
Wholesale revenues fell by 56.4 percent to €110.9 million. At constant currency rates, sales retreated by 56.8 percent in the first half and by 74.4 percent in the second quarter, mainly penalized by the performance of the travel retail channel and the fragrances business.