Geox closes FY24 with 7.8% decline in revenue
The Nice Store Credits: Geox Geox S.p.A. closed 2024 with a 7.8% decline in revenue. "2024 proved to be a complex year for the group, marked by challenging market conditions that impacted the company's performance and sales volumes. The revenue decrease of approximately 56 million euro compared to the previous year was partially offset by careful and prudent cost and investment management, which led to significant savings of approximately 20 million in operating expenses," CEO Enrico Mistron emphasized in a statement. Group revenue totaled 664 million euro (710 million dollars, 554 million pounds), down 7.8 percent at current exchange rates and 7.1 percent at constant exchange rates compared to 2023. "2024 was nonetheless a year of profound transformation necessary to lay the groundwork for the implementation of the 2025-2029 Business Plan; in this context, it was necessary to incur non-recurring extraordinary costs of approximately 13 million euro related to the transformation and optimization of the group's distribution network, the closure of some subsidiaries (USA and China), and internal organizational restructuring activities. In this context, we would like to highlight that in the final part of fiscal year 2024, we activated an important partnership agreement with a major international player in the Chinese market," added Mistron. Adjusted EBIT stands at approximately 8.8 million euro compared to approximately 15.6 million in 2023. The new 2025-2029 Business Plan represents a crucial step, outlining the development guidelines for the next five years, the statement reads. Geox's strategy is based on three pillars: innovation, style, and sustainability. Revenue in Individual Geographic Areas Back to the figures, regarding individual geographic areas, revenue generated in Italy - the company's home base - represents 28.3 percent of the group's total and amounts to 188 million euro, down 6.6 percent compared to 201 million in 2023. Revenue generated in Europe, equals 45.2 percent of the group's revenue, amounts to 300 million euro, compared to 305 million in 2023, a slight decrease of 1.4 percent mainly driven by negative performance in the German and South European markets. North America recorded revenue of 24 million, down 11.9% (-11.0% at constant exchange rates) compared to fiscal year 2023; a result of negative performance in both the multi-brand and direct-to-consumer channels. 2025 Outlook The outlook for fiscal year 2025 assumes that the direct-to-consumer business will focus on the development of digital platforms and that the physical store network remains unchanged. Furthermore, the company continues its strategy aimed at raising the quality of multi-brand distribution, through selective operations to rationalize markets and distribution partners. Considering the above, the company expects a slight decline in revenue (low single digit) in 2025 compared to 2024.
Geox S.p.A. closed 2024 with a 7.8% decline in revenue. "2024 proved to be a complex year for the group, marked by challenging market conditions that impacted the company's performance and sales volumes. The revenue decrease of approximately 56 million euro compared to the previous year was partially offset by careful and prudent cost and investment management, which led to significant savings of approximately 20 million in operating expenses," CEO Enrico Mistron emphasized in a statement. Group revenue totaled 664 million euro (710 million dollars, 554 million pounds), down 7.8 percent at current exchange rates and 7.1 percent at constant exchange rates compared to 2023.
"2024 was nonetheless a year of profound transformation necessary to lay the groundwork for the implementation of the 2025-2029 Business Plan; in this context, it was necessary to incur non-recurring extraordinary costs of approximately 13 million euro related to the transformation and optimization of the group's distribution network, the closure of some subsidiaries (USA and China), and internal organizational restructuring activities. In this context, we would like to highlight that in the final part of fiscal year 2024, we activated an important partnership agreement with a major international player in the Chinese market," added Mistron.
Adjusted EBIT stands at approximately 8.8 million euro compared to approximately 15.6 million in 2023. The new 2025-2029 Business Plan represents a crucial step, outlining the development guidelines for the next five years, the statement reads.
Geox's strategy is based on three pillars: innovation, style, and sustainability.
Revenue in Individual Geographic Areas
Back to the figures, regarding individual geographic areas, revenue generated in Italy - the company's home base - represents 28.3 percent of the group's total and amounts to 188 million euro, down 6.6 percent compared to 201 million in 2023.
Revenue generated in Europe, equals 45.2 percent of the group's revenue, amounts to 300 million euro, compared to 305 million in 2023, a slight decrease of 1.4 percent mainly driven by negative performance in the German and South European markets.
North America recorded revenue of 24 million, down 11.9% (-11.0% at constant exchange rates) compared to fiscal year 2023; a result of negative performance in both the multi-brand and direct-to-consumer channels.
2025 Outlook
The outlook for fiscal year 2025 assumes that the direct-to-consumer business will focus on the development of digital platforms and that the physical store network remains unchanged. Furthermore, the company continues its strategy aimed at raising the quality of multi-brand distribution, through selective operations to rationalize markets and distribution partners. Considering the above, the company expects a slight decline in revenue (low single digit) in 2025 compared to 2024.
