Giorgio Armani reported a 24% drop in core profit last year, with earnings before interest, tax, depreciation and amortisation falling to 398 million euros in 2024.
The decline came as revenues fell and operating costs rose slightly.
Net revenues dropped 5% at constant exchange rates to 2.3 billion euros. Europe remained the company’s largest market, contributing 49% of total revenue.
The group said it used part of its cash reserves to increase investments last year. It spent 332 million euros, double the amount in 2023 and about three times the average of previous years, to renovate flagship stores and take control of its e-commerce operations.
Giorgio Armani said the company is maintaining a long-term view despite slower demand in China and the United States. The company also said it chose to raise prices at a level below inflation.
Chairman and CEO Giorgio Armani said consistency and long-term focus are key to maintaining the company’s independence and stability.
The company ended the year with 570 million euros in net cash.
Last month, Armani missed his brand’s shows at Milan’s Men’s Fashion Week for the first time, as he was recovering from illness.
