Ferragamo fears covid’s second wave
A recovery in Chinese sales has tempered a disappointing nine months for Salvatorre Ferragmo.
Sales at the luxury footwear group fell 40% to €611 million – but the last three months have been notable for improvement, particularly in Asia, which makes up more than half its sales.
However, while the group noted reasons to be optimistic – such as the launch and growth of ecommerce platforms – it could not be confident for the rest of the year.
It said: “As we enter the fourth quarter of 2020, we are once again seeing most countries around the world gradually ramp up measures to deal with a second wave of the virus. These events have significantly impacted the various business areas of the Salvatore Ferragamo Group and continue to do so, causing both revenues and margins to decline.
“Considering the severity of the current situation associated with the impact of the Covid-19 pandemic and the uncertainty about how long this will last, recently strengthened by limitation in movements and distancing measures, adopted again by Western countries, it is hard to forecast future impacts and the recoverable amounts of the Group's assets.”
