Headlines
Italian fashion house Valentino suffers 22% profit drop in 2024
Published by Global Banking & Finance Review®
Posted on April 18, 2025
2 min readLast updated: January 24, 2026
Global Banking & Finance Review®
Company
Published by Global Banking & Finance Review®
Posted on April 18, 2025
2 min readLast updated: January 24, 2026
Valentino's 2024 profits fell by 22% due to a global luxury market slowdown, with significant impacts in Asia. Despite this, online sales rose by 5%.
ROME (Reuters) - Italian fashion house Valentino's operating profit dropped 22% last year, the company said on Friday, as the luxury sector faced a slowdown in global demand for high-end goods, particularly in Asia.
European luxury groups have been counting on wealthy Americans to kick-start growth as the outlook for China remained bleak. But after President Donald Trump's tariff policy, the sector is bracing for what could be its longest slump in years.
Valentino said one-off costs also drove its operating profit down to 246 million euros ($280 million) in 2024, as it continued investing in directly-managed stores.
Revenue fell 2% at constant exchange rates to 1.31 million euros, despite good sales in Japan, the Middle East and the Americas, the Rome-based company said.
It said online sales rose 5% compared to the previous year, in line with the group's aim to strengthen its e-commerce business.
"Our work has taken a decisive step with the arrival of Alessandro Michele as our new Creative Director," Chief Executive Jacopo Venturini said in a statement.
Valentino hired the former Gucci designer in March last year following the exit of creative director Pierpaolo Piccioli, who had been in the position for 25 years.
In 2023, Gucci owner Kering bought a 30% stake in Valentino with an option to buy the whole of the company's share capital by 2028.
($1 = 0.8796 euros)
(Reporting by Giulia Segreti; Editing by Emeia Sithole-Matarise)
The main topic is Valentino's 22% profit drop in 2024 due to a slowdown in the global luxury market.
The slowdown in global demand for luxury goods, particularly in Asia, and one-off costs contributed to the profit drop.
Alessandro Michele, former Gucci designer, is Valentino's new Creative Director.
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