Lanvin group reports significantly higher annual loss

The Chinese fashion group Lanvin Group Holdings Limited had to accept significant sales losses and a significantly higher loss in the 2024 financial year. This is according to the current annual report presented on Wednesday by the parent company of the Lanvin, Wolford, St. John, Sergio Rossi and Caruso brands.

“2024 was a transitional year for Lanvin Group,” explained chairman Zhen Huang in a statement. “Although market conditions were difficult, we made crucial progress in strengthening our brands, optimising our operations and creating the foundations for future growth.” In view of the numerous personnel and organisational reforms, he was “confident” that the group would be able to react to the current changes in the global luxury goods market and create “long-term values”.

Group had already reported a 23 percent drop in sales in advance

In its now published annual report, Lanvin Group essentially confirmed the preliminary sales figures already published in February. According to the final results, group sales reached 328.6 million euros last year. This corresponded to a decrease of 23 percent compared to 2023. The group attributed the downward trend to “macroeconomic headwinds, changes in consumer behaviour and strategic measures”.

The significant drop in sales was due to significant losses at the Wolford (minus 30 percent), Lanvin (minus 26 percent) and Sergio Rossi (minus 30 percent) brands. The revenues of the St. John (minus 12 percent) and Caruso (minus 7 percent) labels also clearly missed the previous year's level.

Net loss increases by 29 percent

In addition to the decrease in sales, a lower gross margin contributed to the fact that the loss before interest, taxes, depreciation and amortisation (EBITDA), adjusted for special effects, which had been 64.2 million euros in the previous year, rose to 92.3 million euros. The reported net loss increased by 29 percent from 146.3 million euros to 189.3 million euros.