Small Brands Took The Lead In The Recession, And Moschino Parent Company Deteriorated All Over The Two Quarter.

In the two quarter of the strong and even accelerated growth of big brands, Moschino Moss Chino and Alberta Ferretti and other small brands became victims, and the core data of the two quarter of the two luxury brands Aeffe SpA (AEF.MI) in Italy declined.

In the first half of fiscal year 2019, the growth rate of Aeffe SpA's fixed exchange rate slowed sharply from 1% in the first quarter to 1%, the real increase from 7.4% to 1.3%, from 171 million 100 thousand euros last year to 173 million 300 thousand euros.

Massimo Ferretti, formerly known as the group chairman who has the means to deal with adverse macroeconomic environment and challenges, has changed its performance in the interim report, indicating that the wholesale channel performance has dragged down its two quarter results.

In the first half of this year, group wholesale revenue fell 2.4% to 120 million 900 thousand euros, 123 million 900 thousand euros in the same period in 2018, a decrease of 2.8% in fixed exchange rate, and a 6.2% increase in fixed exchange rate in the first quarter. Retail business fixed exchange rate growth in the first half of 9.2%, 8% faster than the first quarter, but helpless accounted for relatively small.

Although Asian and other markets still led, the fixed exchange rate growth in the first half fell sharply from 29.3% in the first quarter to 14.8%, and the real growth rate was 14.9% to 45 million 529 thousand euros. The growth rate of the Greater China market was slower than that of the first quarter. The fixed exchange rate of 9.7% of the medium-term income was less than half of that of the first quarter, while the previous LVMH SE (MC.AP) road MC.AP, Gucci SA (KER.PA) Kai Yun group's Gucci Gucci, and Burberry and Hermes China markets all had double-digit growth rates.

The European market was on the decline, with the medium-term revenue of Italy's local market falling by 1.3% to 80 million 136 thousand euros, a 1.8% increase in the first quarter, and the decline in the fixed exchange rate of other European markets in the first half of the year was further aggravated from 1.4% to 6.5%, and the actual decline was 6.4% to 38 million 655 thousand euros.

Earnings are worsening in the doldrums.

In the first half of this year, Aeffe SpA recorded 18 million 290 thousand euros EBITDA, down 12.8% compared with 20 million 969 thousand euros in 2018, and EBITDA 10.6% fell by 170 basis points. The company said that in addition to slowing sales, the increase in R & D investment, marketing and advertising costs has been a drag on core profit performance.

By the end of June, in the first half of fiscal year, Italian company's net profit plunged by 35.3%, from 8 million 361 thousand euros to 5 million 407 thousand euros, and net profit fell 37% from 8 million 276 thousand euros last year to 5 million 211 thousand euros. Author: Zhou Huining