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ZGN

Ermenegildo Zegna N.V.

ZGN

Ermenegildo Zegna N.V. • NYSE
$10.67 ▼ -0.37% (-0.04)
Market Cap $2.70 B
52w High $10.80
52w Low $6.05
Dividend Yield 0.14%
P/E 24.81
Volume 375.05K
Outstanding Shares 252.74M

Income Statement

Period Revenue Operating Expense Net Income Net Profit Margin Earnings Per Share EBITDA
Q2-2025 $927.69M ▼ $564.686M ▼ $43.083M ▼ 4.644% ▼ $0.17 ▼ $110.693M ▼
Q4-2024 $986.525M ▲ $565.345M ▲ $51.998M ▲ 5.271% ▲ $0.21 ▲ $142.823M ▲
Q2-2024 $960.122M ▼ $564.363M ▲ $25.085M ▼ 2.613% ▼ $0.1 ▼ $117.269M ▼
Q4-2023 $1.001B ▲ $552.95M ▲ $75.562M ▲ 7.545% ▲ $0.29 ▲ $139.382M ▼
Q2-2023 $903.059M $489.594M $45.967M 5.09% $0.188 $153.736M

Balance Statement

Period Cash & Short-term Total Assets Total Liabilities Total Equity
Q2-2025 $231.225M ▼ $2.727B ▼ $1.775B ▼ $885.35M ▼
Q4-2024 $296.129M ▼ $2.834B ▲ $1.851B ▼ $916.12M ▲
Q2-2024 $324.506M ▼ $2.781B ▲ $1.867B ▲ $852.678M ▲
Q4-2023 $387.03M ▲ $2.767B ▲ $1.866B ▲ $840.294M ▲
Q2-2023 $362.758M $2.674B $1.859B $761.953M

Cash Flow Statement

Period Net Income Cash From Operations Cash From Investing Cash From Financing Net Change Free Cash Flow
Q2-2025 $43.083M ▼ $105.714M ▼ $-50.044M ▼ $-105.542M ▲ $159.896M ▲ $63.663M ▼
Q4-2024 $51.998M ▲ $158.681M ▲ $-44.273M ▲ $-123.128M ▼ $-225.316M ▼ $106.503M ▲
Q2-2024 $25.085M ▼ $120.448M ▼ $-81.741M ▼ $-111.406M ▼ $-35.481M ▼ $72.522M ▼
Q4-2023 $75.562M ▲ $167.799M ▲ $-39.172M ▼ $-84.967M ▲ $20.619M ▲ $136.464M ▲
Q2-2023 $45.967M $107.583M $60.958M $-165.527M $359.5K $81.884M

Five-Year Company Overview

Income Statement

Income Statement Revenue has been steadily rising over the last several years, showing that the brand is expanding its reach and demand. Profitability has improved meaningfully versus the pre‑IPO years, moving from losses to consistent profits, although the most recent year shows a small step back in bottom‑line profit compared with the prior year. This suggests healthy underlying demand and strong gross margins, but also points to some pressure on operating costs or mix, which is worth watching as the company invests in growth, digital, and brand-building activities.

Balance Sheet

Balance Sheet The balance sheet shows a business with a sizeable asset base built around brands, inventory, and its integrated production chain. Equity has been growing gradually, which indicates value is being built over time, but the company still relies on a meaningful level of debt financing. Overall leverage has eased a bit as equity increased, yet the capital structure remains an area to monitor, especially if the company were to face a downturn in luxury spending. Cash balances are solid but no longer as elevated as around the IPO period, reflecting both investment and normalization after the listing.

Cash Flow

Cash Flow Cash generation from day‑to‑day operations is consistently positive and has grown compared with the pre‑IPO years, which is a strong sign that reported profits are backed by real cash. The company is reinvesting a noticeable amount into its business—stores, production, and technology—yet still tends to generate positive free cash flow after these investments. This pattern indicates a business that can both fund its strategic projects internally and maintain financial flexibility, as long as profitability and sales momentum continue.

Competitive Edge

Competitive Edge Zegna operates in the high end of the apparel market, where brand, heritage, and craftsmanship matter as much as product function. Its vertically integrated model—controlling key parts of the textile and production chain—gives it control over quality, innovation, and supply, and even allows it to sell fabrics to other luxury houses. The portfolio of brands, including Zegna, Thom Browne and Tom Ford Fashion, spreads its exposure across different consumer tastes and price points. The shift toward more direct‑to‑consumer sales and immersive retail concepts strengthens brand control and margins, reinforcing its competitive position against both traditional luxury peers and newer entrants.

Innovation and R&D

Innovation and R&D The company is actively using innovation as a strategic tool rather than just a marketing message. It is pushing advanced fabrics and material innovation, such as performance‑oriented wool and highly refined cashmere and linen, while also investing in traceability and sustainability as differentiators. Digital tools like its customization platform and the use of data and AI for personalization blur the line between classic tailoring and modern tech. Planned investments in new footwear and leather facilities, plus a renewed leadership focus on digital, suggest that research, product development, and experience design will remain central to Zegna’s growth agenda.

Summary

Zegna has transitioned from a period of losses into a phase of healthier, though still evolving, profitability while steadily growing its top line. The balance sheet shows a solid asset base and improving equity, offset by a meaningful but manageable reliance on debt. Cash flows are a key strength, with operations funding both investment and positive free cash flow. Strategically, Zegna’s deep heritage, vertical integration, brand portfolio, and shift toward direct, digitally enriched customer relationships give it a strong position in luxury menswear and adjacent categories. Looking ahead, the main opportunities lie in continued product and digital innovation, expansion of higher‑margin categories like footwear and leather goods, and deeper global reach, while the main risks center on luxury demand cycles, cost pressures, and maintaining brand exclusivity as the business scales.

NEWS

November 24, 2025 · 6:30 AM UTC

Ermenegildo Zegna Group Prepares for the Future with New Leadership Structure

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October 23, 2025 · 6:02 AM UTC

Ermenegildo Zegna Group Revenues1 Reach €1.33B in the First Nine Months of 2025; Acceleration in Q3 Driven by Robust DTC Growth Across All Brands

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September 5, 2025 · 6:32 AM UTC

Ermenegildo Zegna Group Reports First Half 2025 Revenues of €928 Million With Profit at €48 Million and Adjusted EBIT at €69 Million

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