#Textiles & Apparel / Garment

2023-09-14

Zegna Group reports strong first-half 2023 financial results

Ermenegildo Zegna N.V. (NYSE:ZGN) (“Zegna Group,” “the Group,” or “the Company”) announced profit of €52.1 million and a profit margin of 5.8% for the six months ended June 30, 2023, off revenues of €903.1 million for the same period, as announced on July 27, 2023. The Group recorded Adjusted EBIT of €119.9 million for the six months ended June 30, 2023, an increase of 45.0% year-over-year compared to €82.7 million in the first six months of 2022, and an Adjusted EBIT Margin of 13.3%, an increase of 200 basis points compared to 11.3% in the first six months of 2022.

Adjusted Profit for the six months ended June 30, 2023, was €54.9 million, an increase of €32.1 million, or 140.5%, compared to €22.8 million for the first six months of 2022.

First Half 2023 profit1of €52.1 million, profit margin of 5.8%, and Adjusted EBIT2 of €119.9 million demonstrate broad-based strength.

Adjusted EBIT Margin2 increased by 200 basis points to 13.3% thanks to a remarkable improvement in ZEGNA store productivity, and despite higher costs for growth.

Group reaffirms its mid-term targets.

Capital Markets Day to be held in New York on December 5, 2023.

Ermenegildo “Gildo” Zegna, Chairman and CEO, said: “Throughout the first half of the year, Zegna Group’s unique capabilities have been on full display, contributing to continued and strong revenue growth. This is particularly evident in the outstanding performance in the United States and EMEA, as we communicated back in July, as well as in our significant progress towards growing profitability. Our performance during this six-month period again confirms the successful execution of our strategy, including our ZEGNA One Brand strategy – which is driving remarkable improvements in productivity across our direct-to-consumer stores, and our commitment to continue investing in marketing and advertising, as well as the expansion of distribution across all our brands. Our Made in Italy Luxury Textile Laboratory Platform, which directly benefit our group brands, continues to be an important part of our growth blueprint.”

“As we progress in the second half of the year, we continue to be extremely attentive on executing our plan, with a major focus on working alongside the new leadership team at TOM FORD FASHION to further develop and position the brand as an icon in ultra-luxury while also supporting the further expansion of the Thom Browne footprint. In this dynamic operating environment, we are encouraged by the strong growth we are seeing in the United States and EMEA but also acknowledge the impact of a milder recovery in Greater China. I am proud of our exceptional leadership team, and we are confident in the steps we have taken to position our portfolio of brands in the more resilient ultra-luxury segment and to strengthen the Group’s own retail network and achieve a more balanced geographical presence. There is rich and exciting potential for the Group’s three brands, and we look forward to continuing to execute our strategy to enhance their performance even further.”

1 Profit refers to profit of the Group (including profit attributable to non-controlling interests).

2 Adjusted Profit, Adjusted EBIT, Adjusted EBIT Margin, Adjusted Diluted Earnings per Share, and Net Financial Indebtedness/(Cash Surplus) are non-IFRS financial measures. See the Non-IFRS Financial Measures section starting on page 11 of this press release for the definition of such non-IFRS measures and a reconciliation of such non-IFRS measures to the most directly comparable IFRS measures.

https://www.businesswire.com/news/home/20230913135111/en/Zegna-Group-Reports-Strong-First-Half-2023-Financial-Results

Texprocess 2026: Automation, digitalisation and AI redefine textile processing

Making investment decisions in textile processing has become significantly more demanding. Increasing energy costs, a shortage of skilled labour and ongoing geopolitical uncertainties are compelling companies to focus on technologies that deliver clear gains in efficiency and process reliability. This applies equally to apparel manufacturing and to the processing of technical textiles and high-performance materials. As a result, modernisation initiatives are assessed more carefully – even as the need to upgrade production systems continues to intensify.

Techtextil 2026: Between innovation pressure & market reality

From 21 to 24 April 2026, Techtextil in Frankfurt am Main will once again become the central meeting point for the international technical textiles and nonwovens industry. Running in parallel, Texprocess will focus on the industrial implementation of textile processing technologies as the leading platform in this field. Together, the two trade fairs form a closely integrated presentation and working platform along the entire textile value chain – from material development to finished applications.

Between geopolitical pressure and industrial resilience

In this interview, Dr. Janpeter Horn (VDMA) discusses the current challenges facing textile machinery manufacturers, shaped by geopolitical tensions, regulatory developments and subdued investment. He also outlines why innovation strength, integrated solutions and strategic positioning remain key to global competitiveness.

Messe Frankfurt commits further to East Africa: three textiles trade fairs during Africa Sourcing and Fashion Week from 2027

Messe Frankfurt and its Texpertise Network continue their steady, successful trajectory in the region. As Africa Sourcing and Fashion Week (ASFW) opened today, Member of the Executive Board Detlef Braun announced that Messe Frankfurt is licencing its three leading international trade fair brands Texworld, Apparel Sourcing and Texprocess to Nairobi, Kenya for the first time in 2027. From now on, they will take place annually as part of the Africa Sourcing and Fashion Week (ASFW) Nairobi.

“We Believe in the Value of Textiles”: Successful Opening of the KARL MAYER TEXTILE INNOVATION CENTER

KARL MAYER inaugurated its new, state-of-the-art TEXTILE INNOVATION CENTER (TIC) with a four-day opening week from April 21 to 24. The highlight of the week was the grand opening on Thursday, which drew a strong turnout from the international textile industry: around 220 customers, brands, and partners from across the textile value chain came to the company’s headquarters in Obertshausen for a first-hand look at the new high-tech development environment and lively exchange with industry peers.

Texhibition Istanbul signals stability and global connectivity

From 4 to 6 March 2026, Texhibition Istanbul once again brought together the international textile industry at the Istanbul Expo Center. Organized by İTKİB Fuarcılık A.Ş. in cooperation with the Istanbul Textile Exporters Association (İTHİB), the fair confirmed its role as one of the most important international sourcing platforms for fabrics and textile innovation. With 500+ exhibitors across 5 halls on 42,850 sqm, the trade fair attracted 19,325 visitors. Among them, 5.565 international visitors represented Europe, Asia, the Middle East, North Africa, North America, and other regions, underlining the show’s expanding global reach.

STFI highlights textile circular economy and alternative fibres at INDEX™ 2026

From 19 to 22 May 2026, INDEX will invite visitors to Lake Geneva for the world's leading nonwovens trade fair. The Centre of Excellence in Nonwovens at the Sächsisches Textilforschung- sinstitut e.V. (STFI) will be in attendance to present the latest developments in nonwovens research. In the field of the textile circular economy, the STFI will present acoustically effective nonwovens made from chemical recycling residues. The range also includes innovations aimed at replacing conventional raw materials, such as the biobased and biodegradable polymer polybutylene succinate (PBS) and Kendyr as an alternative to cotton.

FET’s revolutionary gel spinning system wins Techtextil Innovation Award

FET has received the prestigious Techtextil Innovation Award 2026 in the New Production Technology category. The Techtextil Innovation Award honours outstanding ideas in textile technology, sustainability, AI and the creation of technical textiles, selected by an international jury of experts. Ranging from new materials to new production technologies, this award recognises progressive ideas that are driving forces for numerous industries, such as automotive, medical and construction.