Strong DTC Channel Helps Zegna Group Post Organic 2025 Revenue Growth

Core Insights - The Ermenegildo Zegna Group's investment in its direct-to-consumer (DTC) channel is yielding positive results, with preliminary 2025 revenues showing organic growth of 1.1% to €1.91 billion, despite a 1.5% decrease in sales at current exchange rates compared to 2024 [1] Financial Performance - In Q4 2025, revenues reached €591 million, reflecting a 0.3% increase, with organic sales up 4.6% [2] - Group DTC revenues increased by 4.2% to €1.45 billion, with notable acceleration from Zegna and Thom Browne in the last quarter [2] - The DTC channel experienced a 3.9% increase at current exchange rates in Q4, with a significant 9.6% organic growth [2] - Group wholesale revenues fell by 20.9% to €318.1 million, indicating a strategic shift to deemphasize this channel [2] Leadership Transition - Gildo Zegna highlighted 2025 as a milestone year, marking the transition of CEO responsibilities to Gianluca Tagliabue and his sons, representing the fourth generation of leadership [4] - The company remains committed to its legacy and values, emphasizing the importance of its unique heritage and strategy [4] Brand Performance - In 2025, revenues for the Zegna brand totaled €1.81 billion, up 1.5% from 2024, with organic growth of 4.7% [4] - Q4 sales for the Zegna brand amounted to €361.7 million, reflecting a 2.4% increase at current exchange rates and a 7.4% organic growth, driven by the DTC channel [4][3]