OTB’s hunter-like intentions. The group led by Renzo Rosso has two acquisitions in sight, one of which is a brand. “A heavy acquisition could be a driver to then proceed with the IPO”, said CEO Ubaldo Minelli. The other is a manufacturing company to strengthen the supply chain. But OTB also talks about the 2024 budget (-4.4% revenue over 2023), duties, creative directors, and new investments.
The numbers
OTB’s total revenue in 2024 is down 5.2% to €1.8 billion compared to 2023. At constant exchange rates, the decline is 4.4%. Although the group does not break down sales by brand, Minelli said that at constant exchange rates, Diesel’s revenue grew by 3.2% and Maison Margiela’s by 4.6%. The group’s net sales amounted to 1.7 billion euros, -4.9% on 2023 and -3.1% at constant exchange rates. Earnings before interest, taxes, depreciation and amortization were 275.8 million euros, down 20.7% from the 347.6 million in 2023.
Rosso’s concerns
“I believe it’s much more important to ensure positive business results in the medium to long term than in the immediate term. And in fact, we have continued to invest in technology and marketing”, said OTB’s Chairman Renzo Rosso. He also made some comments over U.S. duties, mentioning his concern about the geopolitical situation and conflicts around the world. The group, by the way, recently entered Mexico with an ambitious project: to open 55 stores in the next five years. Its second concern is called China, as the group is investing heavily in that market “betting on its recovery”.
Strengthening the supply chain
For Minelli, the crisis of the Italian supply chain could offer buying opportunities. “2024 was a tough year, and 2025 will be even more difficult, because volumes are dropping more than turnover”, the manager pointed out. “At the moment, we don’t have any dossier on the supply chain, but if something interesting presented itself, we might consider it”, the CEO explained to Repubblica.
New acquisitions and the IPO
“We are aiming for an operation where we could make a difference, like Jil Sander’s“, says OTB’s CEO, who then continues: “Acquisitions always arise from opportunities, and I believe market conditions right now could be favorable”. The acquisition of a heavyweight brand would be the driver for the IPO. That “is on the agenda and remains on the agenda, but we are in no hurry. We are looking at 2026, if the economy is more favorable and the numbers more attractive”, Minelli told WWD.
What about creative directors?
OTB is at the center of chair reshuffling. Ubaldo Minelli explains the decision to co-opt Glenn Martens as follows. “Glenn is no longer bound to the Y/Project, so we believe that both assignments (Diesel and Maison Margiela) are compatible and can be managed. He is extraordinarily talented”. Minelli declined to comment on speculation about Luke and Lucie Meier leaving Jil Sander, and he also didn’t discuss the rumored arrival of Simone Bellotti, creative director of Bally, in their place.
Images from OTB
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