Italian luxury icon Ferragamo recently reported first-quarter revenues of €221 million for 2025. While it might sound solid at first glance, it marks a slight dip of 1% when measured at constant exchange rates, and a sharper 2.6% drop when looking at current exchange rates, down from €227 million in the same period last year.
Diving a bit deeper, the direct-to-consumer (DTC) consolidated net sales dropped to €164 million, reflecting a downturn of 4.5% at constant rates and 3.6% at current rates compared to €170 million from Q1 2024. Despite Europe, Japan, and Latin America showing encouraging results, the significant drop in performance from the Asia Pacific region played a key role in the downturn of overall DTC figures.
Good news comes from the wholesale sector, where consolidated net sales have shown remarkable resilience. They rose to €54 million, which is an impressive 10.3% increase at constant exchange rates and 7.9% at current rates, compared to €50 million in Q1 2024. It’s worth noting that every region contributed positively to this growth.
Ferragamo has clearly outlined its strategy for 2025, emphasizing a focus on its core leather goods business. The brand has reinforced the handbags category, expanding its offerings with popular carryover models like the Hug Bag and introducing new bestsellers such as the Soft Bag. This approach led to strong performance within the leather goods sector over the quarter.
The brand is also dedicating time to refine its products in other categories. “We’re optimizing our women’s footwear range, honing in on practical models like ballet flats and pumps,” Ferragamo explained. “While we’re building on our bestsellers, we’re also launching fresh styles.” On the men’s side, there’s a commitment to deliver a wide range—from sporty hybrids to classic formal designs—by drawing inspiration from iconic models. The brand is making strides to deepen its engagement with customers across all price points and product functions through agile multichannel marketing, engaging in-store events, and captivating digital content.
Acknowledging the bigger picture, Ferragamo noted the broader economic challenges that impacted their first-quarter results. “A challenging macroeconomic environment weakened consumer confidence and reduced store foot traffic,” the company shared. While they did see higher conversion rates and increased average transaction values, these positive factors couldn’t completely counterbalance the adverse effects. The DTC channel has performed well in Europe, Japan, and Latin America, but the decline in Asia Pacific was significant. Nonetheless, the wholesale segment stood strong across all markets.
Ending on a note of cautious optimism, Ferragamo reaffirmed its commitment to adapt its product offerings to meet evolving customer expectations while strengthening its position in the market. “We’re aware of the increasingly uncertain environment ahead, but we’ll lean on our strong brand identity and creative strengths, maintaining flexibility and operational discipline as we move forward.”
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