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Home > Finance > Ferragamo's revenues drop 2% hit by weakness in Europe, Middle East

Ferragamo's revenues drop 2% hit by weakness in Europe, Middle East

Published by Global Banking and Finance Review

Posted on January 27, 2026

1 min read

Last updated: January 27, 2026

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Quick Summary

Ferragamo's Q4 revenue dropped 2% due to weak demand in Europe and the Middle East, with wholesale sales significantly declining.

Ferragamo Reports 2% Revenue Decline Due to European and Middle Eastern Weakness

Ferragamo's Revenue Performance Overview

MILAN, Jan 27 (Reuters) - Italian luxury goods group Salvatore Ferragamo on Tuesday said revenue fell 2% in the fourth quarter at constant currencies, hit by weak demand in Europe and the Middle East, and a poor performance of its wholesale channel.

Sales Breakdown by Region

The Florentine company, which has struggled to pursue a turnaround and is currently without a chief executive, reported preliminary revenue of 282 million euros ($338 million) for the September-December period, broadly in line with a Visible Alpha analyst consensus.

Future Strategic Focus

Direct-to-consumer sales rose 6% at constant currencies in the quarter, while wholesale revenues plunged by almost a third from a year earlier.

North American sales rose 2% in the quarter, net of the currency impact. By contrast, revenue in Europe and the Middle East area dropped 11%, and the Asia-Pacific market posted a 2.3% decline.

"Our focus in 2026 will be to sustain current momentum, fully deploy the revised positioning and re-assess our retail distribution network", the group said in a statement.

($1 = 0.8348 euros)

(Reporting by Elisa Anzolin; Editing by Valentina Za)

Key Takeaways

•Ferragamo's revenue fell 2% in Q4.
•Weak demand in Europe and the Middle East impacted sales.
•Direct-to-consumer sales rose 6%.
•Wholesale revenues dropped by a third.
•North American sales increased by 2%.

Frequently Asked Questions about Ferragamo's revenues drop 2% hit by weakness in Europe, Middle East

1What is revenue?

Revenue is the total income generated by a company from its business activities, typically from sales of goods or services before any expenses are deducted.

2What is direct-to-consumer sales?

Direct-to-consumer sales refer to a retail model where companies sell their products directly to consumers, bypassing traditional distribution channels.

3What is wholesale?

Wholesale is the sale of goods in large quantities, typically to retailers or other businesses, rather than to individual consumers.

4What is a chief executive?

A chief executive, often referred to as the CEO, is the highest-ranking executive in a company, responsible for making major corporate decisions and managing overall operations.

Ferragamo's Revenue Performance Overview

Sales Breakdown by Region

Future Strategic Focus

Direct-to-consumer sales rose 6% at constant currencies in the quarter, while wholesale revenues plunged by almost a third from a year earlier.

North American sales rose 2% in the quarter, net of the currency impact. By contrast, revenue in Europe and the Middle East area dropped 11%, and the Asia-Pacific market posted a 2.3% decline.

"Our focus in 2026 will be to sustain current momentum, fully deploy the revised positioning and re-assess our retail distribution network", the group said in a statement.

($1 = 0.8348 euros)

(Reporting by Elisa Anzolin; Editing by Valentina Za)

Frequently Asked Questions

1What is revenue?

Revenue is the total income generated by a company from its business activities, typically from sales of goods or services before any expenses are deducted.

2What is direct-to-consumer sales?

Direct-to-consumer sales refer to a retail model where companies sell their products directly to consumers, bypassing traditional distribution channels.

3What is wholesale?

Wholesale is the sale of goods in large quantities, typically to retailers or other businesses, rather than to individual consumers.

4What is a chief executive?

A chief executive, often referred to as the CEO, is the highest-ranking executive in a company, responsible for making major corporate decisions and managing overall operations.