Brunello Cucinelli sees revenues rise 16.7% in Q1

Brunello Cucinelli has announced its net revenues have risen 16.7% at constant exchange rates to €196.9m (£163.1m) in Q1 2022 compared to the first quarter of 2021. Compared to Q1 2019, the year preceding the start of the pandemic, growth is +22.8%, with the fashion retailer outlining “significant” double-digit increases in all international markets. The company said it experienced strong growth in all geographical areas with sales in the Americas and Europe up 37.7% and 14.5% respectively, and sales in Asia and Italy rising by a respective 14.5% and 2.8%. While retail sales increased by 36.4%, wholesale growth was also strong with an uplift of 6.1%. During the period, the company completed the acquisition of a 43% stake in its supplier Lanificio Cariaggi Cashmere. The company said that business and sales trends in this first part of 2022 has allowed it to fully confirm the expectations it communicated last March, and is expecting revenue growth of around +12% in 2022, which it said “clearly takes into account the current conflict between Russia and Ukraine”. It said that the Russian market will account for around 4% of total sales in 2022, a “significant reduction” compared to the results for 2021 and 2020, For its 2023 estimation it has predicted a “balanced growth in the region of +10%”, and said it is aiming to double the turnover initially forecast in the period from 2019-2028 as early as 2026. As of 31 March 2022, Brunello Cucinelli had 115 boutiques compared to 110 at the same point last year. Brunello Cucinelli, executive chairman and creative director, said: “This first quarter of 2022 ended with particularly positive results and we feel that the brand is experiencing a very favourable momentum worldwide. “The excellent spring sell-outs and the very important order intake for the men’s/women’s fall-winter 2022 collections lead us to believe that we will deliver our idea of FY sales growth of around 12%.”