Lanvin Group's H1 2025 slump forces reset; focus shifts to retail rebound
Bottom Line Impact
Absent decisive commercial discipline and liquidity actions, revenue pressure and a widened EBITDA loss will persist, risking further share loss; if DTC sell-through and Sergio Rossi's momentum are harnessed, H2 can stabilize with early margin rebuild and brand equity protection.
Key Facts
5- Group revenue €133m in H1 2025, down 22% YoY; adjusted EBITDA loss widened to -€52m from -€42m
- Group gross margin fell to 54% vs 58% YoY; gross profit declined 26.8% to €71.9m due to off-season clearance and underutilization
- Lanvin brand sales fell 42.1% to €27.9m from €48.2m; gross profit €15.1m with a 58% margin
- Lanvin regional declines: Greater China down over 60%, Europe down 47%; Lanvin wholesale down 61.8%
- Direct-to-consumer sales fell 23% group-wide; management cites QoQ retail and online rebound at Lanvin and Sergio Rossi
Time Horizons
Key Roles Affected
Executive Summary
Lanvin Group reported a 22% revenue decline to €133m in H1 2025, with the Lanvin label down 42.1% as wholesale and China weakness amplified the creative transition. Early retail and online upticks at Lanvin and Sergio Rossi hint at a potential H2 stabilization, but cash burn and margin pressure require immediate commercial and cost actions to protect liquidity and brand equity.
Actionable Insights
Immediate Actions (Next 30-90 days)
Stand up a 90-day commercial war room to rephase deliveries, rationalize 10-15% underperforming SKUs and stores, and lock top 50 wholesale doors for SS26 with performance-based terms
Rationale: A coordinated cadence and door discipline will stabilize full-price sell-through and prevent further shelf-space erosion ahead of the next collection cycle
Role affected:CEO
Urgency level:immediate
Cut inventory 15-20% by year-end via targeted outlets and controlled markdown windows; defer non-critical capex two quarters; extend supplier payment terms by 15 days
Rationale: Lower working capital and moderated discount exposure can reduce cash burn by €8-12m in H2 and support margin rebuild
Role affected:CFO
Urgency level:immediate
Short-term Actions (6-12 months)
Run a 12-week VIC reactivation and clienteling sprint around Peter Copping's debut capsules with 60% of spend to performance channels targeting 3x ROAS
Rationale: Concentrated demand generation and clienteling can add 8-12% uplift to DTC revenue and validate the new aesthetic without broad discounting
Role affected:CMO
Urgency level:short-term
Strategic Actions
Pivot Lanvin wholesale to a fewer-better strategy in EMEA and Asia with e-concessions and quarterly trunk shows; scale Sergio Rossi retail with two high-productivity openings and marketplace off-take limits
Rationale: Selective door expansion and brand-controlled environments improve visibility and price integrity while leveraging Sergio Rossi's relative resilience
Role affected:Chief Commercial Officer
Urgency level:strategic
Risks & Opportunities
Primary Risks
- Extended China softness and tourism lag depress full-price sell-through into Q4
- Wholesale shelf-space loss becomes structural if SS26 orderbook remains weak
- Cash burn from widened EBITDA losses forces deeper discounting and brand dilutive actions
Primary Opportunities
- Creative reset halo effect enables hero-product launches and price architecture clean-up
- Sergio Rossi footwear momentum can provide a near-term growth and margin bridge
- Channel mix shift to higher-margin e-concessions and mono-brand retail improves unit economics