Brunello Cucinelli closes the first quarter with accounts up sharply. The Umbrian brand of luxury clothing and accessories, listed on Borsa Italiana's electronic stock market Euronext saw Net revenues equal to 196,9 million euros, up +19,6% at current exchange rates (+16,7% at constant exchange rates) compared to the first quarter of 2021.
“The business trend in this first part of the year allows us to fully confirm the expectations of a good and balanced growth around +12% for 2022 and +10% for 2023says a note.
Growth was seen in all geographical areas, says a company note: Americas +37,7%, Europe +14,5%, Asia +14,5%, Italy +2,8% with sales in the retail channel up by +36,4%.
Weight of the Russian market in 2022 drops to 4% of turnover
“Our estimate for 2022 – specifies the press release released by the luxury brand – clearly takes into consideration the current conflict between Russia and Ukraine. We assumed for 2022 a weight of Russian market around 4% of total turnover, significantly down on the result of 2021 and 2020, years we consider extraordinary due to the pandemic. We imagined that the weight of this market could return in 2022 to percentage incidence values very similar to those historically reported before the pandemic.
“The result of the first quarter of this year, taking into account the seasonality of deliveries and
the effects of the sanctions, is consistent with the forecast at the end of the year. The current conflict does not determine
no impact on our wholly Italian supply and production chains”, assures the note.
Brunello Cucinelli: luxury remains the reference market
“We continue to believe that the positive result of this quarter is still supported by some structural elements of our proposal”, comments Brunello Cucinelli, who identifies the positioning in the absolute luxury, considered "our only target market”, which “is the result historically very low volatile and constantly supported by a demanding demand, in search of a contemporary product of the highest quality”.
At the end of the morning, the share gained 1,04% to 53,4 euros.
Focus on the Italian territory: the projects launched
At the beginning of the year, the company completed the purchase of a area of 8 hectares at the gates of Solomeo in Umbria, where there was an industrial compendium built around the 70s and operational until about thirty years ago.
“Located in the immediate vicinity of our village and our company, this area will come completely redeveloped and work has already begun reclamation, which will be followed by the building conversion plan which will allow us to gradually build up to about 40 thousand square metersthe note says. "Through this project, it will be possible to make large spaces available for our Fashion House, in a strategic position close to the Solomeo factory, accompanying the company's growth in the years to come, allowing us to expand, based on needs,"for the next 50 years".
"We believe that this project proposes, in line with the company's philosophy and our idea of Humanistic Capitalism and Human Sustainability, the enhancement of the territory in which we live and work, seeking an important redevelopment work of what we define" amiable periphery". Equally important for our future development we believe was the acquisition of 14% of the prestigious Cariaggi Cashmere wool mill, historic supplier of high quality cashmere based in the medieval village of Cagli.
