Lanvin Group reports 22 percent revenue decline amid market slowdown

Lanvin Group has reported its unaudited results for the first half of 2025, revealing a 22 percent year-on-year revenue decline to 133 million euros. The luxury fashion group, which includes brands like Lanvin, Wolford, and St. John, attributed the decline to a broader luxury market slowdown, cautious consumer sentiment in Greater China, and softer wholesale demand in EMEA.

Despite these challenges, the Group highlighted signs of recovery in the second quarter, supported by strong cost discipline and operational efficiency. The Group's gross profit stood at 72 million euros, with a margin of 54 percent, a result of disciplined inventory management and cost efficiencies.

Zhen Huang, chairman of Lanvin Group, emphasized the company's strategic focus on long-term potential amid a challenging market. He noted that new creative leadership and product innovation position the Group to capitalize on future opportunities as market conditions improve.

This sentiment was echoed by Andy Lew, the newly appointed executive president, who stated the first half was dedicated to operational discipline and laying the groundwork for future growth. He anticipates building brand momentum in the second half of the year through fresh creative direction, targeted marketing, and refined channel strategies.

Lanvin Group brand portfolio posts revenue decline

A brand-by-brand review shows mixed performance. Lanvin's revenue declined by 42 percent as wholesale clients awaited the debut of new artistic director Peter Copping’s first collection. Wolford saw a 23 percent revenue decrease, impacted by lingering logistics issues from the previous year, though its wholesale channel grew by 14 percent. Sergio Rossi's revenue fell by 25 percent, with customers awaiting Paul Andrew’s debut collection.

However, both Lanvin and Sergio Rossi showed promising quarter-over-quarter rebounds in their retail and e-commerce segments. St. John proved to be a resilient performer, with revenue remaining nearly flat and its core North America market growing by 4 percent. Caruso's revenue declined by 11 percent, a result of a temporary slowdown in its Maisons business.

Lanvin Group expects market challenges to continue in H2

The Group's financial reports also highlighted a negative 52 million euros adjusted EBITDA, reflecting lower gross profit. However, the company is continuing to invest in creative initiatives and brand equity, which they believe will enhance competitiveness and profitability once the market stabilizes.

Looking ahead, the Group expects market challenges to persist in the second half of 2025 but remains focused on its strategic initiatives, including optimizing its retail footprint, enhancing operational efficiencies, and strengthening brand identity through new collections and marketing campaigns.