Core Viewpoint - Lanvin Group will release its audited results for the full-year 2024 on April 30, 2025, and will host a conference call to discuss the results and provide an outlook for 2025 [1]. Group Overview - Lanvin Group is a leading global luxury fashion group headquartered in Shanghai, managing iconic brands such as Lanvin, Wolford, Sergio Rossi, St. John Knits, and Caruso [4]. - The company aims to expand its global footprint and achieve sustainable growth through strategic investments and operational expertise, focusing on the fastest-growing luxury fashion markets [4]. Conference Call Details - A slide presentation will accompany the conference call, available on the Group's investor relations website [2]. - Participants must pre-register to join the conference call, with registration available up to and after the call starts [3]. - A replay of the conference call will be accessible approximately one hour after the live call until May 7, 2025 [3].

Lanvin Group Holdings (LANV) Q4 2024 Earnings Call February 28, 2025 04:07 PM ET Company Participants David Chan - Executive President & CFOAndy Lew - Executive President and CEO St. John Operator Thank you for joining us and welcome to the Livan Group Fiscal Year twenty twenty four Revenues Results Conference Call. All participants will be in a listen only mode. After today's presentation, there will be an opportunity to ask questions. Please note, this event is being recorded. Now please take a moment to ...

February 2025 Forward-Looking Statements This presentation, including the sections "LANVIN GROUP 2024 PRELIMINARY REVENUES", "2025 GUIDANCE", "BRAND LEVEL RESULTS" and "APPENDIX", contain "forward-looking statements" within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements generally are accompanied by words such as "believe," "may," "will," "estimate," "continue," "anticipate," "intend," "expect," "should," "would," "plan," "predi ...

Core Viewpoint - The luxury fashion industry faced significant challenges in 2024, leading to a notable decline in revenues for Lanvin Group, which reported a 23% decrease compared to the previous year [4][5]. Company Performance - Lanvin Group's preliminary revenue for 2024 was €328 million, reflecting the broader industry trends and macroeconomic headwinds that negatively impacted consumer sentiment, especially in Greater China and the wholesale channel [5]. - The company has initiated proactive measures to consolidate its store network, optimize retail footprint, and enhance operational efficiency to lay the groundwork for a gradual return to growth [5][6]. Future Outlook - Despite the challenges faced in 2024, the company remains optimistic about future prospects and has implemented strategies to reduce back-office expenses and improve working capital management [6].

Core Insights - Lanvin Group reported preliminary, unaudited revenues of €328 million for the full year 2024, reflecting a 23% decrease year-over-year compared to 2023, indicating a transitional year focused on strategic realignment for sustainable growth [1][5][7] Revenue by Brand - Revenue breakdown by brand shows significant declines: - Lanvin: €82,720 thousand, down 26% - Wolford: €87,642 thousand, down 31% - St. John: €79,269 thousand, down 12% - Sergio Rossi: €41,910 thousand, down 30% - Caruso: €37,107 thousand, down 7% - Total brands revenue decreased by 23% from €427,947 thousand in 2023 to €328,648 thousand in 2024 [2][3][12] Market Performance - The Group faced a softening market in FY2024, with varying brand performance: - St. John and Caruso showed resilience with decreases of 12% and 7% respectively, while Wolford experienced a 31% decline due to logistics disruptions and macroeconomic challenges [3][4] - The EMEA region saw a decline in wholesale purchases, while Japan and North America demonstrated stability amidst these challenges [4][12] 2025 Outlook - For 2025, the Group aims to leverage its unique position in the luxury fashion industry to drive innovation and growth, with a focus on enhancing management capabilities and establishing a second headquarters in Europe [5][6][7] - The appointment of new leadership and a focus on creative renewal are expected to reinvigorate the brand portfolio and improve sales performance [7][5]

Core Viewpoint - Lanvin Group is set to release its unaudited revenue results for the full year 2024 on February 28, 2025, and will host a conference call to discuss these results and provide an outlook for 2025 [1]. Group Overview - Lanvin Group is a leading global luxury fashion group headquartered in Shanghai, China, managing iconic brands such as Lanvin, Wolford, Sergio Rossi, St. John Knits, and Caruso [4]. - The company aims to expand its global footprint and achieve sustainable growth through strategic investments and operational expertise, focusing on the fastest-growing luxury fashion markets [4]. Conference Call Details - Registration for the conference call is required, and participants will receive dial-in numbers, a passcode, and a registrant ID upon completion [3]. - The conference call will take place at 8:00 a.m. Eastern Standard Time (9:00 p.m. China Standard Time) [1]. - A replay of the conference call will be available for one week after the live event, and an archived webcast will also be accessible on the investor relations website [3].

Core Insights - Lanvin Group announced key leadership and board changes to strengthen its position in the luxury fashion industry and advance strategic goals [1] - Mr. Andy Lew has been appointed as Executive President, while Mr. Eric Chan transitions to a board director role [2] Leadership Changes - Mr. Andy Lew brings over 35 years of experience in the fashion industry, overseeing operations, strategic implementation, business development, financial management, supply chain, IT, and brand operations [3] - A second headquarters will be established in Europe under Mr. Lew's leadership to support global expansion [3] - Mr. Lew previously held senior positions at Brooks Brothers, Ermenegildo Zegna, and Nordstrom, contributing to business expansion and team leadership [4] Board Expansion - The Board of Directors has expanded from eight to nine members, appointing Mr. Alan Liu to replace Ms. Grace Fang [5] - Mr. Zhen Huang, Chairman of Lanvin Group, expressed confidence in the new leadership and board structure to drive growth and value [6] Company Overview - Lanvin Group is a leading global luxury fashion group headquartered in Shanghai, managing brands like Lanvin, Wolford, Sergio Rossi, St. John Knits, and Caruso [7] - The company aims to expand its global footprint and achieve sustainable growth through strategic investments and operational expertise [7]

Group 1 - Lanvin Group Holdings Limited will hold its annual general meeting (AGM) virtually on December 11, 2024, at 9:00 AM EST, serving as an open forum for shareholders to discuss company affairs with the board and executive management [1] - No proposals will be submitted for shareholder approval at the AGM [1] - Only holders of record of the Company's ordinary shares as of November 22, 2024, are entitled to attend and vote at the AGM [2] Group 2 - The Company has filed its annual report on Form 20-F for the fiscal year ended December 31, 2023, with the SEC, which includes audited financial statements [3] - The Form 20-F is accessible on both the Company's website and the SEC's website [3] Group 3 - Lanvin Group is a leading global luxury fashion group headquartered in Shanghai, managing iconic brands such as Lanvin, Wolford, Sergio Rossi, St. John Knits, and Caruso [4] - The Company aims to expand the global footprint of its portfolio brands and achieve sustainable growth through strategic investment and operational expertise [4] - Lanvin Group is listed on the New York Stock Exchange under the ticker symbol "LANV" [4]

Financial Performance - For the six months ended June 30, 2024, revenues were €171.0 million, a decrease of 20.2% from €214.5 million in the same period of 2023[21]. - The net loss for the same period was €69.4 million, compared to a net loss of €72.2 million in 2023, reflecting a 3.9% improvement[21]. - Adjusted EBITDA for the six months ended June 30, 2024, was €(42.1) million, slightly worse than €(40.9) million in 2023[21]. - Loss before taxes for the six months ended June 30, 2024, was €69.9 million, compared to €71.9 million in 2023, showing a reduction of 2.9%[29]. - The contribution profit for the six months ended June 30, 2024, was a loss of €7.213 million, compared to a profit of €14.854 million in 2023[142]. - The loss for the period was €69.376 million, slightly improved from €72.225 million in the same period of 2023[159]. - Total comprehensive loss for the period was €72,129 thousand, compared to €64,685 thousand in 2023, indicating an increase of about 11.5%[162]. Revenue Breakdown - Revenues for the six months ended June 30, 2024 amounted to €171.0 million, a decrease of €43.6 million or (20.3)% compared to €214.5 million in the same period in 2023[32]. - The largest revenue decline was from the Wolford segment, which decreased by €16.2 million (or (27.6)%) due to market headwinds and shipping disruptions[38]. - Direct-to-Consumer (DTC) revenues decreased by €16.5 million (or (13.6)%) to €104.6 million, while wholesale revenues decreased by €25.9 million (or (30.3)%) to €59.6 million[34][39]. - EMEA revenues decreased by €28.2 million (or (27.1)%) to €75.7 million, primarily due to declines in Wolford and Sergio Rossi[42]. - Revenues for the Lanvin segment decreased to €48.3 million, a decrease of €8.8 million (or 15.4%) compared to €57.1 million in the same period in 2023[82]. - Revenues for the Wolford segment decreased to €42.6 million, a decrease of €16.2 million (or 27.6%) compared to €58.8 million for the six months ended June 30, 2023[90]. - Revenues for the St. John segment decreased by €6.7 million (14.3%) to €39.98 million for the six months ended June 30, 2024, driven by sales weakness in both DTC and wholesale channels[96]. - Sergio Rossi segment revenues decreased by €12.6 million (38.2%) to €20.4 million for the six months ended June 30, 2024, primarily due to a decline in wholesale channel sales[103]. Cost and Expenses - Marketing and selling expenses were €105.6 million, representing 61.8% of revenues, compared to 51.6% in 2023[29]. - Total cost of sales for the six months ended June 30, 2024 was €72.6 million, a decrease of €16.5 million or (18.5)% compared to €89.1 million in the same period in 2023[50]. - General and administrative expenses decreased to €58.1 million, a decline of 24.1% for the six months ended June 30, 2024, from €76.5 million in the same period in 2023[64]. - Marketing and selling expenses for the six months ended June 30, 2024 amounted to €105.6 million, a decrease of €5.0 million (or 4.5%) compared to €110.6 million in the same period in 2023[59]. Profitability Metrics - Gross profit margin decreased to 57.5% in 2024 from 58.5% in 2023, indicating a decline in profitability[29]. - Gross profit for the six months ended June 30, 2024 amounted to €98.4 million, a decrease of €27.1 million or (21.6)% compared to €125.5 million in the same period in 2023[54]. - The gross profit margin declined to 57.5% for the six months ended June 30, 2024 from 58.5% in the same period in 2023, mainly due to a decrease in Wolford's gross profit margin[55]. - Contribution loss for the six months ended June 30, 2024 was €8.1 million, representing (19.1)% of revenue, compared to a profit of €3.9 million (6.7% of revenue) in the same period in 2023[94]. Cash Flow and Liquidity - As of June 30, 2024, cash and cash equivalents amounted to €17.9 million, down from €30.8 million at the end of the previous period[116]. - Net cash used in operating activities decreased by €24.6 million (42.4%) to €(33.5) million for the six months ended June 30, 2024[120]. - Net cash used in investing activities significantly decreased by €24.8 million (86.8%) to €(3.8) million for the six months ended June 30, 2024[121]. - Cash and cash equivalents decreased by 34.9% to €18.308 million as of June 30, 2024, compared to €28.130 million as of December 31, 2023[129]. - As of June 30, 2024, the company had undrawn cash credit lines of up to $15.11 million available at banks[156]. - As of June 30, 2024, cash net of debt is €(108,410) thousand, a significant decrease from €(40,251) thousand at December 31, 2023, indicating a worsening liquidity position[187]. Debt and Obligations - Total borrowings as of June 30, 2024 amounted to €37.2 million, with €8.3 million guaranteed by a third party and €28.9 million secured by pledges of assets[124]. - As of June 30, 2024, total contractual obligations amounted to €470.763 million, with €279.14 million due within one year[127]. - Current liabilities increased to €348,627 thousand from €288,344 thousand, marking a rise of about 20.9%[165]. - The gearing ratio increased to 53.9% at June 30, 2024, compared to 20% at December 31, 2023, reflecting higher leverage[187]. - The total financial liabilities as of June 30, 2024, amount to €470,763 thousand, an increase from €411,618 thousand at December 31, 2023, indicating rising obligations[200]. Shareholder and Capital Structure - The company repurchased 5,245,648 Ordinary Shares for a total of US$20.0 million as part of a share repurchase agreement[134]. - Shareholder loans received for working capital purposes amounted to €61.5 million, with €87.6 million due to shareholders as of June 30, 2024[135]. - The Group's management continues to optimize its capital structure to maximize shareholder value while maintaining an investment-grade rating[184].

Financial Data and Key Metrics Changes - The Group's revenue for the first half of 2024 was €171 million, representing a decrease of 20% compared to the previous period [5][13] - Gross profit margin remained steady, down just 1% to €38 million [5][14] - Adjusted EBITDA decreased by €1 million to a loss of €42 million, a 3% decrease period-over-period [15] Business Line Data and Key Metrics Changes - Lanvin's revenue decreased by 15% to €48 million, with a gross profit margin increase from 56% to 58% [17][18] - Wolford experienced significant revenue impact due to integration issues, leading to a contribution profit loss of €8 million [20][21] - Sergio Rossi's revenue declined by 38%, primarily due to a 60% drop in wholesale revenue, but gross profit margin only saw a modest decline of 2% [22][23] - St. John saw a revenue decrease of 14%, but gross margin improved from 62% to 69% [25][26] - Caruso had a slight revenue decline of 1%, with gross profit margin increasing from 26% to 29% [27] Market Data and Key Metrics Changes - EMEA and Greater China saw the largest revenue decreases at 27% and 24% respectively, while North America experienced a more modest decline of 11% [14] - Direct-to-Consumer (D2C) revenue decreased by 14%, and wholesale revenue was down 30% [14] Company Strategy and Development Direction - The company plans to focus on cost efficiency initiatives and tactical expansion in new markets while trimming underperforming locations [4][10] - Investment in marketing and product development is prioritized to set a path for future growth [6][10] - The addition of new creative leaders is expected to drive brand revitalization and improve wholesale performance [3][18] Management's Comments on Operating Environment and Future Outlook - Management acknowledged macroeconomic headwinds and ongoing political instability impacting the luxury market [4] - Despite anticipated continued softness in the luxury market, the company aims to position its brands to capitalize on improving market conditions [28][29] Other Important Information - The company welcomed new creative leaders, including Peter Copping for Lanvin and Paul Andrew for Sergio Rossi, to enhance brand direction [3][21] - The Group is working on strategic partnerships to support brand expansion and improve logistics [12] Q&A Session Summary Question: How did business trend through the quarter? - Management noted a slight uptake in the first quarter, but pressure began in the second quarter around late April to early May [31] Question: Was there a difference in performance by region? - Management indicated that macroeconomic headwinds affected all regions consistently, with some exceptions like Japan and the Middle East showing resilience [33]