MILAN — With a global market that is increasingly appreciative of “high craftsmanship and the Italian lifestyle,” Diego Della Valle, chairman and chief executive officer of the Tod’s Group, underscored the “excellent results” reported in the 2023 financial year across brands and geographies.
In the 12 months ended Dec. 31, the Italian group’s preliminary revenues amounted to 1.12 billion euros, rising 11.9 compared with the previous year. At constant exchange rates, revenues were up 14 percent.
More from WWD
These figures imply a growth of 7.5 percent in the fourth quarter at constant rates, driven by the retail channel, which was up 11.9 percent.
“We are very satisfied with having achieved the objectives we set ourselves at the beginning of the year, despite a difficult macroeconomic context at an international level,” said Della Valle in a statement on Wednesday at the end of trading in Milan, where the company is publicly listed.
Sales of the Tod’s brand increased 10.4 percent to 562.9 million euros, and Della Valle said it is “increasingly appreciated for its refined and modern style, an expression of the great craftsmanship of Made in Italy; its iconic products are increasingly loved by a growing number of customers of all age groups internationally.”
After the exit of Walter Chiapponi after the spring 2024 show, Tod’s will unveil the first collection by newly appointed creative director Matteo Tamburini next month during Milan Fashion Week.
Revenues of Roger Vivier were up 16.5 percent to 286.7 million euros, a growth that took place “while maintaining its exclusive positioning in the highest segment of luxury products,” said Della Valle.
With his Pièce Unique collection of one-off Roger Vivier designs in Paris during the couture shows, creative director Gherardo Felloni continues to expand the brand, creating 12 bags inspired by flowers and five matching waistcoats, as the designer transitions it to a full-scale accessories house after adding his personal passion of vintage-inspired jewelry to the mix a couple of years ago.
Della Valle expressed his satisfaction also with Hogan, up 9.3 percent to 214.2 million euros, and Fay, whose sales climbed 13.2 percent to 60.4 million euros, “confirming their huge growth potential.”
Della Valle concluded by stating that “considering the good quality of these figures, we are very positive about the income results that we will be able to obtain, as well as about the excellent future growth potential of our group. The global market trend, increasingly appreciating the high craftmanship and the Italian lifestyle, makes our brands increasingly desirable for high-quality consumers. Our group is, as always, very attentive to everything that can improve the conditions of our employees, activating in this spirit many initiatives and projects useful for improving common well-being.”
By category, sales of shoes rose 10.4 percent to 857.8 million euros and leather goods were up 16.6 percent to 187.3 million euros. Apparel rose 16.7 percent to 79.1 million euros.
By geography, sales in Italy grew 4.9 percent to 263.9 million euros and revenues in Europe climbed 10.5 percent to 239.6 million euros.
Revenues in the Americas were up 3.5 percent to 85 million euros, with a progressively improving trend in recent months.
Sales in Greater China jumped 24.2 percent to 356.7 million euros, although, “in line with the trend of the sector, the Chinese market has shown some volatility in results during individual quarters, due to the different basis for comparison in 2022; in the year, revenues from this area recorded solid double-digit growth, also compared to 2021,” stated the company.
Revenues in the Rest of the World area were up 7.2 percent to 181.5 million euros, driven by “the excellent results of Japan.”
Last year, retail sales rose 13.2 percent to 841.8 million euros, representing approximately 75 percent of the total. The domestic and European markets confirmed double-digit growth in the retail channel, thanks to the strength of local demand and significant purchases by tourists; the wholesale channel, however, was influenced, particularly in the fourth quarter, by the different timing of deliveries between the two financial years.
Third-party sales were up 8.1 percent to 284.9 million euros.
As of Dec. 31, the group had 345 directly operated stores and 99 franchised stores, compared to 333 DOS and 89 franchised stores at the end of December 2022.
The group committed to the Science-Based Targets initiative, for the reduction of climate change emissions in accordance with current scientific international protocols.
Tod’s is expected to report its full 2023 figures on March 12.
Best of WWD