Ferragamo's revenues drop 2% hit by weakness in Europe, Middle East

MILAN, Jan 27 (Reuters) - Italian luxury goods group Salvatore Ferragamo SFER.MI on Tuesday said revenue fell 2% in the fourth quarter at constant currencies, hit by weak demand in Europe and the Middle East, and a poor performance of its wholesale channel.

The Florentine company, which has struggled to pursue a turnaround and is currently without a chief executive, reported preliminary revenue of 282 million euros ($338 million) for the September-December period, broadly in line with a Visible Alpha analyst consensus.

Direct-to-consumer sales rose 6% at constant currencies in the quarter, while wholesale revenues plunged by almost a third from a year earlier.

North American sales rose 2% in the quarter, net of the currency impact. By contrast, revenue in Europe and the Middle East area dropped 11%, and the Asia-Pacific market posted a 2.3% decline.

"Our focus in 2026 will be to sustain current momentum, fully deploy the revised positioning and re-assess our retail distribution network", the group said in a statement.

($1 = 0.8348 euros)