Moncler (MONC) Q3 2024 earnings summary

Executive summary

• Group revenues for the first nine months of 2024 reached €1,865.7 million, up 6% year-over-year at constant FX; Q3 revenues were €635.5 million, down 3% year-over-year, reflecting wholesale channel weakness and macroeconomic headwinds.

• Moncler brand revenues grew 8% at constant FX to €1,573.3 million for 9M 2024, but Q3 was down 3% year-over-year, mainly due to wholesale weakness and seasonality.

• Stone Island revenues declined 5% at constant FX to €292.4 million for 9M 2024, with Q3 down 4% year-over-year; DTC growth nearly offset wholesale declines.

• DTC channels outperformed wholesale across all regions, with ongoing channel mix shift toward DTC and strong growth for Stone Island.

• Management remains focused on brand strength, customer engagement, and long-term strategy to navigate volatility.

Financial highlights

• Moncler DTC revenues rose 13% year-over-year to €1,260.0 million for 9M 2024; Q3 DTC was flat year-over-year due to weak online performance.

• Moncler wholesale revenues declined 7% year-over-year to €313.2 million for 9M 2024; Q3 wholesale fell 9% year-over-year, with Americas as the weakest region.

• Stone Island DTC revenues surged 29% year-over-year to €135.7 million for 9M 2024; Q3 DTC up 28% year-over-year, led by Asia.

• Stone Island wholesale revenues dropped 22% year-over-year to €156.7 million for 9M 2024; Q3 wholesale down 19% year-over-year.

• Group net result for H1 2024 was €180.7 million, up 24% year-over-year; EBIT margin at 21.0% for H1 2024.

Outlook and guidance

• Guidance for Moncler wholesale channel remains a high single-digit decline for the year; Stone Island wholesale expected to decline just under 20% for FY24.

• Price increases for 2025 expected in the mid-single-digit range for Moncler and mid- to low-single-digit for Stone Island, driven by inflation.

• Operating margin consensus of ~29% is considered challenging but not impossible, with H2 margin implied at 34.7%.

• Store expansion plans for 2025 unchanged, targeting around 15 new stores.

• Several brand initiatives and collaborations are planned for the remainder of the year to drive engagement.