OTB turnover increases by 7.2 percent, expands retail footprint

OTB reported a turnover of 1.9 billion euros, up 10.2 percent at constant exchange rates and 7.2 percent at current exchange rates for the year to December 31, 2023.

Net sales for the year reached 1.8 billion euros, an increase from 2022 of 12.4 percent at constant exchange rates and 9.1 percent at current exchange.

The company that controls the Diesel, Jil Sander, Maison Margiela, Marni and Viktor&Rolf brands, the Staff International and Brave Kid companies, and holds a stake in the Amiri brand reported EBITDA of 348 million euros for a 19.6 percent return on net sales and EBIT of 140 million euros for a 7.9 percent return on net sales.

"I am proud of what we achieved in 2023; it was a challenging year, but our brands continued to grow in all markets, not just key locations like the USA, China and Japan, a historic market for us, but also in new areas like South Korea, which is performing very well, and other Asian markets,” said OTB Group founder and chairman Renzo Rosso.

Highlights of OTB’s annual results

The group’s direct channels recorded a 33.8 percent growth, driven by increased sales in existing stores and by 76 new openings, as a result of which the retail network had a total of 610 direct sales outlets at the end of 2023.

The company said in a statement that positive performance in Asia, with a turnover improvement of 74 percent and continued expansion in Japan, which, with 23 percent reported 19.4 percent increase, supported overall growth in 2023.

“Our results match the objectives set by the Group strategic plan, whose main growth targets are development of the direct channels and greater penetration of the Asian markets,” added OTB Group CEO Ubaldo Minelli.

The OTB Group continued to expand in 2023, with the objective of developing its international markets in areas with high potential such as the Asia-Pacific countries, including China, where it opened 30 new stores during the year; Japan and South Korea. Overall, the Asian markets represented more than 40 percent of total turnover.

The company added that there was a return to growth in North America, while performance in Europe remained stable, given the complex economic situation.

Brands under OTB portfolio post positive growth

The company also witnessed a turnaround at Diesel, which reported turnover growth of 13.1 percent.

During 2023, Diesel opened 15 new stores in Europe, China, India and North America, including flagship locations in important cities such as Paris, Miami, Antwerp and Guangzhou.

In the luxury segment, Maison Margiela’s turnover increased by 23 percent driven by China and Korea, where sales were up 72.4 percent against 2022. In 2023 the brand opened 24 new stores around the world, in cities including Venice, Beijing, Shanghai, Los Angeles, Las Vegas and Seoul and the brand opened new headquarters in Place des États-Unis in Paris’ iconic XVI arrondissement.

Jil Sander reported growth of 17.3 percent. The brand strengthened its network of direct channels in Europe, the USA, Asia-Pacific and Japan with 18 new stores in locations including Paris, Rome, Venice, Madrid, London, Dallas, Los Angeles, Tokyo, Kyoto, Nanjing and Seoul. Jil Sander also renewed its licensing agreement over a ten-year timeline with Coty for the development, production and distribution of own-brand cosmetics and fragrances.

Marni, with growth of 8.6 percent due to the expansion of its retail network – with 16 new boutiques opening in 2023 alone – and its shows taken from New York to Tokyo and Paris, spreading the brand vision and values around the world. In early 2024, Marni signed a new 20-year licensing agreement with Coty.