Despite a strong end to the year, sales dipped 2.1% in the Asia-Pacific region in 2024 for eyewear group Safilo as it returned a preliminary revenue result of €993.2 million (A$1.66 billion) for the calendar year.
The overall group result is a decrease of 2.3% at constant exchange rates and 3.1% at current exchange rates compared to 2023. In a press release, the Italian company said the downturn was due in part to the end of its licence with iconic fashion brand Jimmy Choo.
Not accounting for Jimmy Choo, the company said “the trend in sales was slightly positive, driven by the solidity and resilience of the European business”.
The result was on the back of a better Q4 result and strong sales in Europe, which grew 1.6% in 2024.
Sales actually grew by 12.9% in Asia-Pacific in Q4 but were still down over the year.
They slumped by 5.2% in the North American market over 2024, and 5.9% in the remaining global markets.
The North American market was “more difficult, marked by the underwhelming performance of sunglasses and the sports business”, the release said.
It said that, in terms of adjusted EBITDA (earnings before interest, taxes, depreciation, and amortisation), Safilo’s operational performance was “resilient despite the revenue pressure on the operating leverage”.
The acquisition of the perpetual licence for Eyewear by David Beckham represented a further step towards “consolidation of a high-quality and long-term brand portfolio, perfectly balanced between home and licensed brands”.
Carrera and David Beckham represented the main strengths of the year, achieving double-digit growth also in the last quarter of the year.
“These were complemented by the positive results of Tommy Hilfiger, Marc Jacobs, and Carolina Herrera, which delivered solid progress in their key reference markets.”
Looking forward to 2025, Safilo said it remained focused on strengthening and growing its brand portfolio, and was concentrating on an increasingly targeted use of resources and investments.
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