Shares of Brunello Cucinelli, the Italian luxury-fashion company, received a boost as it raised its full-year guidance following robust nine-month sales growth across all regions. At 0733 GMT on Friday, Brunello Cucinelli’s shares traded 4.3% higher at EUR74.70.
Improved Revenue Growth Expectations
Brunello Cucinelli now predicts a revenue growth of between 20% and 22% for 2023, up from its previous forecast of a 19% rise. The company attributes this upgrade to its strong performance in the first nine months of the year, as well as a positive response to its collections.
Impressive Sales Performance
In the first nine months of the year, Brunello Cucinelli experienced a significant increase in revenue, with figures rising to 818.4 million euros ($866.2 million) from EUR642.0 million the previous year. The company reported a remarkable 50% revenue jump in Asia, while both the Americas and Europe witnessed rises of 22% and 20%, respectively. When considering constant-currency rates, Brunello Cucinelli’s revenue growth amounted to 29%.
Exceptional Market Performance
Deutsche Bank Research analyst Matt Garland noted that Brunello Cucinelli’s double-digit growth across all markets exceeded expectations for luxury peers. As a result, this strong performance, coupled with the raised guidance, is likely to lead to a consensus expectation of 2023 sales reaching the upper range of the company’s outlook.
