Salvatore Ferragamo spa, parent company of the Salvatore Ferragamo Group, one of the global leaders in the luxury sector, released the Group’s Preliminary Consolidated Revenue figures for the fiscal year 2011, drafted according to IAS/IFRS international accounting principles, which amount to 986.5 million Euros up by 26.2 % vs. Financial Year 2010.
As of 31 December 2011, the Salvatore Ferragamo Group, a company based in Florence, Italy, has posted Total Revenues of 986.5 million Euros, a 26.2% increase, at current exchange rates, over the 781.6 million Euros recorded in FY 2010, showing significant growth in all geographical areas, product lines and distribution channels. Revenue growth at constant exchange rate has been 24.1%.
In 4Q 2011 the Total Revenue growth at current exchange rate has been 23.0% (+19.7% at constant exchange rate) vs. 4Q 2010, growing from 231.8 million Euros to 285.2 million Euros. The 2-year cumulated growth rate on 2009 is 59.2%, thus confirming the 2011 First 9-months trend (+58.2%), recording an increase of 61.7% in 4Q 2011.
The Group’s excellent Revenue growth, following the 26.1% year-on-year increase already recorded in FY 2010 has been strongly supported by the Retail channel organic growth (+16.4% like-for-like increase in FY 2011 vs. 2010) and is further confirmation of the success of Ferragamo’s strategy: focussing on top quality products and on the “Made in Italy” image, meeting the expectations and demands of its global customers.
All geographical areas, with the sole exception of Japan, delivered revenue growth – at current exchange rates – close to or higher than 30.0%. The Asia Pacific area is confirmed as the Group’s top market in terms of Revenues, with a turnover of 357.7 million Euros, up 33.5% on the revenues vs. 2010; this performance was achieved also through the contribution of the retail channel, which in China recorded a growth of over 44.0% compared to the same period in 2010. In 4Q 2011 the Asia Pacific area recorded a
growth of 28.2%.
Europe posted excellent growth figures, with an increase of 30.8% compared to the same period in 2010. In 4Q 2011 the growth in revenues was 35.7%. Such growth confirms the extraordinary Ferragamo brand awareness and its ability in attracting the interest of the global tourist flows.
North America, recorded growth figures, with an increase of 27.2% compared to the same period in 2010. In 4Q 2011 it recorded a growth of 19.1%, which is almost entirely on a like-for-like basis. The Japanese market2, despite the earthquake that devastated the country and problems related to nuclear contamination, showed – also due to the favourable contribution of the exchange rate
– a surge in revenues of 0.8% (a -4.4% decrease at constant exchange rate). In 4Q 2011 the revenues decreased by -8.3% at constant exchange rate.
Revenues in the Central and South American area also showed excellent results with an increase of +34.5%, accelerating at +36,8% in 4Q 2011.
As of 31 December 2011, the Salvatore Ferragamo Group’s Retail network can count on 323 Directly Operated Stores (DOS), while the Wholesale and Travel Retail channel includes 270 Third Party Operated Stores (TPOS), as well as presence in Department stores and high-level multibrand Specialty stores.
The Retail distribution channel posted consolidated Revenues of 658.3 million Euros, a 21.2% increase over the 543.0 million Euros posted as of 31 December 2010. The growth marks a 16.4% increase at constant rates and perimeter in FY 2011 and an 11.3%
increase in 4Q 2011 vs. 4Q 2010, which had already shown a +15.3% vs. 4Q 2009.
The Wholesale and Travel Retail channel delivered an excellent performance, growing from 223.7 million Euros, recorded in FY 2010, to 313.1 million Euros in FY 2011, marking a 40.0% increase (with an increase of +45.2% in 4Q 2011).
All product categories delivered a marked increase in revenues. Especially worth highlighting, the increased revenues in footwear (+32.6%) and in handbags and leather accessories (+26.8%), which represent around 74.0% of Group Total Turnover.