Zegna: Organic Growth of 1.1% in 2025, Despite Pressure on the Luxury Market

These results illustrate the group's solid resilience in the face of market volatility and the trend toward cautious spending by luxury consumers. The fourth quarter clearly illustrates this momentum: revenues reached €591 million, with organic growth of +4.6% compared to 2024, driven mainly by direct-to-consumer sales and positive performance in the US and EMEA (Europe, Middle East, and Africa) markets. In China, however, sales were down 10%.

“In a volatile environment, we move forward with discipline and focused priorities, grounded in the values of our unique legacy, shaped over generations” said Ermenegildo “Gildo” Zegna, executive chairman of the group, in a statement.

Over the year as a whole, this momentum can be explained by a strategy of redistributing sales channels: the group has significantly strengthened its presence in direct sales, which now accounts for a very large share of revenue (approximately 82% of sales, all brands combined), while wholesale sales are down (-12.9%, including -11.6% organic). Zegna is thus demonstrating its desire to strengthen control over the customer experience and the brand.

Among the brands that make up the Italian group, Zegna remains the main driver, recording organic sales growth of +7.4% in the fourth quarter of 2025 and revenue of €362 million, while Tom Ford Fashion posted more moderate growth of +1.5% over the same period. Thom Browne, the other label in the portfolio, also showed weak growth of 1.4%.

The group plans to further improve its margins in 2026 through targeted price adjustments and the expansion of its boutique network. This strategic repositioning is part of a long-term vision: in a luxury sector where pure growth is tending to normalize, the emphasis on exclusivity, direct customer relations, and tailor-made service is now one of the main levers of differentiation.

For the time being, the Ermenegildo Zegna group, alongside nine other members including Chanel and LVMH, is involved in the bankruptcy proceedings of the Saks Global department store, announced on January 13. This committee speaks on behalf of all subordinated creditors, representing a total of $712 million in unsecured claims held by the thirty main creditors.