Chris Huang's questions to Ermenegildo Zegna NV (ZGN) leadership • Q1 2024
Question
Chris Huang asked about current trading trends three weeks into Q2, the performance of Zegna's DTC channel by consumer nationality, and the expected magnitude of the Thom Browne wholesale channel reduction.
Answer
Group COO and CFO Gianluca Tagliabue responded that the DTC exit rate for March was in line with the quarterly trend. He specified that for the Zegna brand, the Chinese nationality cluster was down mid-single digits, while European demand saw solid double-digit growth. For Thom Browne's wholesale channel, he anticipates a decline in the next quarter that is much lower than Q1's 50% drop but still in the double-digit range.