Tod’s sees 23% sales increase in first quarter

Italy
Published:  12 May, 2022
Credit: Tod's

Italian luxury group Tod’s has reported a 23% increase in reported revenue for the first quarter of 2022 at €219.6 million.

The Tod’s brand saw the greatest growth at 36% to €104.6 million, while Roger Viver grew by 8% to €52.4 million, Hogan by 16% to €51.6 million and Fay by 20% to €10.9 million.

In terms of product categories, footwear saw a 17% increase to €173.4 million, apparel grew by 31% to €14.4 million and leather goods and accessories led the pack, jumping 63% to €31.6 million.

Growth was exceptional for all regions, except Greater China, which still managed a respectable increase. The group’s home market of Italy reported an increase in sales of 17% to €50.9 million, the rest of Europe grew by 29% to €48.4 million, the Americas increased 68% to €15.7 million, Greater China saw growth of 9% to €68.5 million and the rest of the world achieved an increase of 42% to €36.1 million.

Tod’s reported that 30% of the group’s stores in Greater China are closed due to ongoing Covid-19 restrictions.

Diego Della Valle, Chairman and CEO of Tod’s, said: “In the first quarter of the year, the Group recorded solid double-digit growth in revenues, which returned to above pre-pandemic values. The first two months were very strong for all our brands, all over the world, confirming the great appreciation of customers for the creativity of our collections and the quality of our products.

“The month of March was affected by the slowdown in the luxury sector in the Chinese market, due to the new and severe restrictions imposed by the government to deal with the new cases of Covid in various cities. We are waiting for the reopening of the stores to recover the growth also in this region.

“The revenues of our stores were particularly good; in the quarter they were double-digit higher than in the first quarter of 2019, also thanks to the investments made in the distribution network and an accurate communication, marketing and CRM policy.

“While we wait to better assess the impact of the war in Ukraine and the signals arriving from China on the Covid front, we continue to develop each brand in a way that is consistent with its strategy and its DNA, making all the necessary investments. The aim we have set ourselves is to focus on the greatest asset value we can give the individual brands and, therefore, the Tod's Group as a whole. And to achieve this goal, we will do everything that is necessary. We also hope that this tragic war can end as soon as possible, restoring peace to all people.”