Weak global demand impacts Moncler's Q3

Moncler Group revenues of 1,865.7 million euros in the first nine months, increased by 6 percent at cFX and 3 percent at current exchange rates. In the third quarter, group revenues were 635.5 million euros, down 3 percent cFX.

Moncler brand revenues were 1,573.3 million euros and Stone Island brand revenues of 292.4 million euros. The Moncler and Stone Island brands recorded revenues equal to 532 million euros and 103.6 million euros in the third quarter.

Commenting on the interim trading update, Remo Ruffini, chairman and chief executive officer of Moncler Group said in a statement: "Our industry is facing a period of continuous volatility, characterised by a more difficult global macroeconomic context, which has been impacting consumer confidence in several markets.”

“In light of these ongoing uncertainties, we remain focused on what we do best: building long-lasting connections with our customers, and – most importantly – creating energy and emotions around our brands,” Ruffini added.

Moncler brand Q3 revenues drop 3 percent

In the first nine months, Moncler brand revenues were 1,573.3 million euros, an increase of 8 percent cFX, while in the third quarter, revenues for the brand amounted to 532 million euros, down 3 percent, mostly due to a decrease in the wholesale channel.

The company said that in Asia, which includes APAC, Japan and Korea, nine months revenues were 750.8 million euros, up 11 percent. In the third quarter, revenues in the region were down 2 percent, due to more challenging macroeconomic conditions affecting consumer confidence, as well as a normalisation of tourist flows into Japan.

EMEA recorded revenues of 603.4 million euros in the nine month period, up 6 percent, while third quarter revenues decreased by 3 percent due to a decline in the wholesale channel. DTC was impacted by a deceleration in tourist inflows and by the deterioration in the performance of the direct online channel.

Brand’s revenues in the Americas increased by 3 percent in the first nine months to 219.1 million euros. In the third quarter, revenues in the region declined by 6 percent impacted by the decrease in the wholesale channel, while trends in the DTC channel remained stable.

In the first nine months, the DTC channel recorded revenues of 1,260.0 million euros, up 13 percent and revenues in the third quarter were flat at constant exchange rates. The wholesale channel recorded revenues of 313.2 million euros in the first nine months, a decline of 7 percent and the third quarter revenues declined by 9 percent, impacted by challenging market trends and by the ongoing efforts to upgrade the quality of the distribution network.

As of September 30, 2024, the network of Moncler mono-brand boutiques comprised 285 directly operated stores, an increase of 8 units, including the opening of Wuhan SKP and Suzhou Matro in China and the relocation of Royal Hawaiian store in Honolulu. The Moncler brand also operated 56 wholesale shop-in-shops.

Stone Island revenue decline by 4 percent in Q3

In the first nine months, Stone Island brand revenues reached 292.4 million euros, a decrease of 5 percent. In the third quarter, revenues were down 4 percent to 103.6 million euros.

Asia including APAC, Japan and Korea reached 68.1 million euros in revenues in the first nine months, growing 23 percent, while third quarter revenue grew by 17 percent driven by a continued strong performance of Japan. The company added that the trends in Korea remained soft, and China and the rest of APAC slowed down sequentially due to a more difficult macroeconomic backdrop, affecting local consumer sentiment.

In the nine month period, EMEA recorded revenues of 203.9 million euros, a decrease of 9 percent, while in the third quarter, revenues were down 6 percent, with the continued double-digit performance of the DTC channel offsetting the decline in the wholesale channel.

Revenues in the Americas in the first nine months were down 24 percent and in the third quarter, the region saw a decline of 28 percent.

In the first nine months, DTC channel revenues reached 135.7 million euros, up 29 percent, representing 46 percent of total revenues. In the third quarter, revenues in this channel were up 28 percent due to a positive double-digit contribution from all regions, with Asia outperforming.

In the first nine months, the wholesale channel recorded revenues of 156.7 million euros, down 22 percent. In the third quarter, revenues declined by 19 percent. The network of Stone Island mono-brand stores comprised 91 directly operated stores (DOS), an increase of six units including the opening of the Shanghai Taikoo Li QianTan and Macau Galaxy stores in China. The Stone Island brand also operated 11 mono-brand wholesale stores, a decrease of two units compared to June 30, 2024.