Ermenegildo Zegna Group announced a new leadership structure that will take effect on January 1 2026. Gianluca Tagliabue, the current chief financial officer and chief operating officer, will become Group CEO, while Gildo Zegna will assume the role of Group Executive Chairman, focusing on legacy and brand integrity.
The Group’s FY 2024 results provide context for the transition. Total revenue rose 2.2% to €1,946.6 million, while operating profit fell to €90.9 million from €135.7 million in FY 2023. The decline in profit is largely attributable to a normalized tax rate and foreign‑exchange losses, whereas gross profit margin improved to 66.6% from 64.3% as a higher proportion of direct‑to‑consumer sales drove pricing power.
Segment performance highlights the mixed picture that underpins the leadership change. The ZEGNA brand grew 4.9% in revenue, driven by strong demand in the Americas and EMEA, while the Thom Browne line fell 17.2% as luxury‑apparel sales cooled. In contrast, the Tom Ford Fashion segment expanded 33.5%, reflecting a successful product mix and pricing strategy.
Geographically, the Group benefited from robust growth in the Americas and EMEA, but the Greater China Region continued to face headwinds, with revenue declines in FY 2024. A slight sequential improvement in Q4 2024 relative to Q3 suggests that the region may be stabilizing, though challenges remain.
Strategically, the leadership shift signals a dual focus: Tagliabue’s operational expertise will accelerate the Group’s direct‑to‑consumer expansion and streamline decision‑making, while Gildo Zegna’s stewardship as Executive Chairman will safeguard the brand’s heritage. The appointment of fourth‑generation family members Edoardo and Angelo Zegna as Co‑CEOs of the ZEGNA brand further embeds family leadership at the core of the business, reinforcing continuity and long‑term vision.
Analysts noted the leadership transition as a positive step toward strengthening the Group’s direct‑to‑consumer model and operational efficiency. However, some expressed caution over the recent profit decline, underscoring the need for continued focus on cost control and market‑specific challenges.
The content on BeyondSPX is for informational purposes only and should not be construed as financial or investment advice. We are not financial advisors. Consult with a qualified professional before making any investment decisions. Any actions you take based on information from this site are solely at your own risk.