Thanks to the growth of Margiela and Diesel, the Italian luxury conglomerate OTB had a brilliant year.
Due to the increasing demand in the Asian market, OTB’s revenue increased by 10% due to strong sales from the premium product portfolio of brands, including Diesel, Maison Margiela, and Jil Sander.
It has been a great year for the OTB Group. The Italian fashion group’s annual revenue reached 1.9 billion euros, up 10.2% from 2022, according to the company’s announcement on Friday.
Net revenue increased by 12% to 1.8 billion euros in the 12 months, ending on December 31, 2023, thanks to the growth of DTC sales channels. The impressive transformation of Diesel and the strong performance of Maison Margiela and Jil Sander led to the company’s EBITDA reaching 348 million euros.
Founder and Chairman of OTB Group Renzo Rosso stated in a press release, “I am proud of what we have achieved in 2023; it was a challenging year, but our brands continue to grow in all markets, not only in key areas like the United States, China, and Japan, our long-standing markets, but also in new areas like Korea, where we are performing very well, and other Asian markets.”
Asia-Pacific was the main target of the OTB Group in 2023, accounting for 40% of total revenue. Last year, the group identified “high-potential areas” and then opened 30 new stores in APAC, including China and Japan, accounting for about 23% of business operations; and Korea, one of OTB’s most efficient new markets. The group saw growth return in North America, while operations in Europe remained stable.
In terms of brands, Maison Margiela still leads, with a 23% increase over the previous year. The luxury brand has a growing consumer base in Asia, especially in China and Korea, where sales have increased by 72.4% compared to 2022. The buzz from the Maison Margiela Haute Couture 2024 show under the creative direction of John Galliano helped the brand start the year off strong.
Jil Sander follows closely, with sales increasing by 17.3% compared to the same period last year; Marni’s sales increased by 8%. According to the company, following the success of the fashion show in Paris last September, Marni will return to Milan Fashion Week with its Fall-Winter 24 collection.
Diesel’s transformation is also proving successful. Under the creative direction of Glenn Martens, the brand’s sales increased by 13% compared to the previous year. The main drivers of growth are the Diesel 1DR Shoulder Bag and women’s fashion, which currently account for 50% of business operations. The brands have attracted the attention of Gen Z with 35% of customers from this demographic group.
Chairman Renzo Rosso also added, “Young consumers appreciate the way our brands approach the market in the opposite direction, focusing on product form and quality, while turning fashion into a dream. The mission we pursue cannot be achieved without a supply chain that always operates excellently, where we have established cooperative relationships and partners with the ‘Made in Italy’ label.”