Brunello Cucinelli (BC) Q1 2025 earnings summary

Executive summary

• Q1 2025 revenues reached €341.5 million, up 10.5% year-over-year at current exchange rates, with strong growth across all geographies and channels.

• Retail sales grew 11.9% and wholesale 8.2%, reflecting robust demand for high-end clientele and positive reception of new collections.

• Management reaffirms confidence in closing 2025 with approximately 10% revenue growth and healthy profitability, maintaining its 2024-2026 investment plan.

• No major changes to investment or expansion plans; focus remains on artisanal production, selective retail growth, and Solomeo facility expansion.

• Executive Chairman awarded honorary PhD and to receive Outstanding Achievement Award in fashion.

Financial highlights

• Net revenues reached €341.5 million in Q1 2025, up 10.5% year-over-year; 10.0% growth at constant exchange rates.

• Americas revenue: €125.9 million (+10.3%), Europe: €119.7 million (+10.1%), Asia: €95.9 million (+11.3%).

• Retail channel: €211.0 million (+11.9%), Wholesale: €130.5 million (+8.2%).

• Retail accounted for 61.8% of total sales, wholesale 38.2%.

• Capital investments projected at 10% of revenues in 2025, then 7.5% in 2026 and 7% in 2027.

Outlook and guidance

• Forecasts 2025 turnover growth of approximately 10%, with balanced profitability and similar guidance for 2026.

• Margins expected to improve slightly; investments to remain elevated in 2025 before moderating.

• No changes to retail expansion or production facility investments; 3-4 new stores planned annually.

• U.S. price lists for Fall-Winter 2025 will reflect higher duties, but no significant impact on American client demand is expected.