The Ermenegildo Zegna Group reported a 53% increase in net profit to 47.9 million euros in the first half of the year compared to last year. Zegna segment’s adjusted operating profit reached 94.4 million euros with an adjusted margin of 14.3%. Group revenues decreased to 927.7 million euros, a 3.4% decrease from last year.

Zegna brand sales rose 0.8%, while Thom Browne sales fell 22.5% and Tom Ford Fashion sales increased 2.8%. The group launched a new campaign for Tom Ford Fashion and a fall 2025 campaign for Zegna. A new Zegna store opened in Miami, with plans for an event during Art Basel in December.

Adjusted operating profit for the Thom Browne segment was 4.5 million euros, with an adjusted margin of 3.5%. Thom Browne CEO Rodrigo Bazan exited the brand, succeeded by Sam Lobban. Adjusted operating loss for Tom Ford Fashion was 19.4 million euros due to investments in expansion.

Group adjusted operating profit was 68.7 million euros, down from 80.9 million euros last year. The group remains cautious due to sector challenges and currency movements. The Greater China region remains challenging. Quality of DTC full price sales is highlighted, with expectations to achieve revenue and EBIT targets.

Selling, general, and administrative expenses totaled 501.8 million euros, representing 54.1% of revenue. Capital expenditure was 54 million euros, mainly for DTC store network expansion. Net debt stood at 92.1 million euros. The group aims for organic revenue growth and realistic EBIT targets for the year.

Read more at Yahoo Finance: Zegna Group Reports 53% Profit Surge in H1 2025 Amid Strategic Investments Across Brands