Diesel, Fendi, No. 21 Show Some Skin at Milan Fashion Week

Creative director Walter Chiapponi runs an the runway at the end of the Tod's women's Fall-Winter 2023-24 fashion show presented in Milan, Italy, Friday, Feb. 24, 2023. (AP Photo/Luca Bruno)
Creative director Walter Chiapponi runs an the runway at the end of the Tod's women's Fall-Winter 2023-24 fashion show presented in Milan, Italy, Friday, Feb. 24, 2023. (AP Photo/Luca Bruno)
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Diesel, Fendi, No. 21 Show Some Skin at Milan Fashion Week

Creative director Walter Chiapponi runs an the runway at the end of the Tod's women's Fall-Winter 2023-24 fashion show presented in Milan, Italy, Friday, Feb. 24, 2023. (AP Photo/Luca Bruno)
Creative director Walter Chiapponi runs an the runway at the end of the Tod's women's Fall-Winter 2023-24 fashion show presented in Milan, Italy, Friday, Feb. 24, 2023. (AP Photo/Luca Bruno)

Sexiness is in the air at Milan Fashion Week, where brands are encouraging people to show some skin next fall and winter.

Whether they have global warming in mind, warm outerwear or are just thinking skimpy dressing for crowded, overheated parties — because, yes, we are doing that again — the invitation to intimacy is on the table, The Associated Press said.

Here are some highlights from the first day of Milan Fashion Week mostly womenswear previews on Wednesday:

DIVERSITY CELEBRATED ON THE FASHION WEEK FRINGE

A party highlighting the new faces of multicultural Milan spilled out into a piazza as one of Milan's hippest boutiques celebrated 12 designers of color living and working in Italy.

"This is better than a runway show, because they are getting straight to buyers,'' said Edward Buchanan, an African American designer working in Italy for 26 years who has helped bring up the We Are Made in Italy (WAMI) project.

WAMI dropped off the official calendar this season when another founder, Italian-Haitian designer Stella Jean, also quit fashion week to protest what she sees as a lack of commitment to diversity and inclusion. But as fashion week got under way, everyone wanted to put the friction behind them and look to the next step.

In a show of good will, the president of Italy's National Chamber of Fashion, Carlo Capasa, showed up for the event at the Modes boutique, which featured 12 WAMI designers in the store windows.

They included raffia bags by Eileen Akbaraly's Made For A Woman brand, that works with more than 300 artisans, many from underprivileged backgrounds, in Madagascar.

"I'm just riding the new energy. In fashion, you always have to be flexible,'' said Akbaraly, whose brand is collaborating with French house Chloe on a raffia hat coming out next month.

BLANC SPACES FOR UNDERREPRESENTED DESIGNERS

The founder of the US publication Blanc Magazine launched a new project during Milan Fashion Week that she said aims to give "underrepresented, incredibly talented designers a place to be seen and heard. To sell. To sell.”

Called Blanc Spaces, the new project by Blanc Magazine founder Teneshia Carr, in partnership with Stefano Tonchi, intends to help creatives of color and across genders connect with major fashion brands and retailers, a sort of talent matchmaker. Carr showcased three at the CNMI's fashion Hub.

Milan-trained Rachel Scott works with artisans in her native Jamaica to create crocheted detailing on garments for her Diotima brand and she recalls the diaspora tradition of sending back European textiles by making them central to the looks.

"I want to show crocheting in a luxury context to show that luxury doesn't only come from Europe,'' she said. She also is helping to revive the tradition, with beautiful starched crocheted tops that spiral out of a central point, like a web, and panels sewn into jackets or dresses allowing skin to show.

Patience Torlowei moved her eponymous brand from Belgium, where she learned her trade, back to her native Nigeria because she wanted to bring both knowledge and technology back to Africa. Her luxury brand features custom lace detailing along with bursts of color, with a strong link to Torlowei's love of lingerie.

"We are an African brand, for a global market,'' Torlowei said.

Aaron Potts, who showed NYC-inspired glam and Detroit-inspired utilitarian looks from his A.Potts brand, said after working for other fashion houses he appreciates that he can now hire people who don’t fit into the classic fashion world mold.

“We are an incredibly diverse group. That’s how the magic happens,″ said Potts. “You cannot have a monolith of experiences and histories. It takes the magic of everyone’s experience to make something relevant in the modern world.″

DIESEL PROMOTES SEX POSITIVITY

Glenn Martens is promoting sex positivity with his new collection for denim-centric brand Diesel.

Models walked around a mound of 200,000 Durex condom boxes, underlining a safe-sex message but also a capsule collection with the condom brand that is set to drop in April. As part of the campaign, Diesel plans to give away 300,000 boxes of condoms in stores around the world.

Martens has had fun and success while redefining Diesel. The Diesel handbag with an elongated D motif has become a Gen-Z must-have.

Denim drove the collection previewed in Milan, which had a furtive, run-for-cover feel and included garments that were torn, distressed, shredded, and seemingly torched. The treatments speak to survival, making it through some scrapes and living to tell the tale.

Denim was interspersed with sheer panels, some in risque positions, worn with fading Diesel T-shirts. On the feminine side, there were slinky, silken looks fastened with sexy chains. On the masculine, there were oversized hoodies, or a well-worn gray pinstripe jacket and trousers, permanently showing their creases. This season's motto could be: Wear-and-tear included.

The mismatched boss and assistant from Season 2 or the TV series “White Lotus” made a front-row appearance, with Haley Lu Richardson, who played the assistant, Portia, sitting next to drag queen Alexis Stone, dressed to impersonate Jennifer Coolidge.

“Nothing beats the original,’’ Stone quipped.

Richardson’s Portia, assistant to Coolidge’s Tanya McQuoid, ignited the internet with her off-beat wardrobe choices.

“I think they loved to hate it,’’ said Richardson, swathed in a stretch Diesel sheer dress she described as comfy, sexy pajamas. “You know what, if it gets people talking …”

BREAKING CLICHE'S AT No. 21

Alessandro Dell’Acqua’s No. 21 collection looked pulled from an attic chest, treasures that recall a sultry past, re-imagined for a sexy present.

That gray cardigan is worn backwards, left open at the top to show some skin and fastened with a scorpion pin. The silhouette is tight, pencil skirts with sequins or in gold brocade, or silky slip dresses worn invitingly unadorned, with just a set of pearls.

The looks are simple, with a whiff of nostalgia that is quickly dispersed by the ultra-modern touches: the bodices of dresses hang down, revealing a slip top; zippers of dressers are left slightly undone, to reveal a tattoo.

"I wanted to take cliches, and transform them,'' the designer said back stage.

Breaking with tradition, Dell’Acqua closed the show without playing his traditional Pat Benatar battle hymn “Love is a Battlefield,” instead allowing the models to walk only to the sound of applause. Benatar's “Love is a Battlefield,'' however, blasted for the designer’s final bow.

DEL CORE'S BLOOMING FASHION LANDSCAPE

Deep in the northern Alaska wilderness blooms the sunburst lichen that stands at the heart of Daniel Del Core’s latest collection for his eponymous brand, a tightly edited streamlined mix of ready-to-wear and couture that play neatly off each other.

"Its as if an explorer entered a forest and allowed himself to be contaminated by nature,'' Del Core said backstage.

The collection has an air of mystery. Jacket shoulders can be unfastened, to reveal shoulders; garters over shoes suggest the explorer; dresses drape and reveal; puffy coats are worn off the shoulder, like a wrap; sheer ribbed knits cross cross over the body, revealing the shape.

Finally, the disciplined black and white color palette bursts with the sunburst lichen, recreated with embroidered fabric in mossy green with pinks and rusts.

Seven of the looks were couture pieces, including a an off-shoulder floor length dress in the lichen burst fabric, contrasted with a latex shoulders, for a slightly fetish flourish, and a intricately woven body-wrapping plisse gown.

FENDI'S TWISTED CHIC

Fendi models walked down a tunnel of blue light, which cast a spectrum on metallic heels and along garment hems, creating little rainbows to go.

The collection by Kim Jones took classic pieces and gave them literal or figurative twists. Cardigans twisted around the neck. A knit scarf functioned as a half sweater over a lacey top or dress.
Garments appeared doubled, vests had another built over top, thrown off as if a cape; skirts were built in over trousers, and jackets into skirts.

Fendi called it “the lens of subtle subversions.”

Baby blue knits contrast with dark leather skirts or jumpers, laced boots that hitch at the knee — combinations that Jones said were inspired by Delfina Delettrez Fendi, the brand's jewelry designer. Nowhere was the Fendi craftsmanship more on display than in leather dresses that were tailored with the softness of silk, hugging the body along a sweeping curves.

Donatella Versace was an unexpected guest in the first row, giving the collection a standing ovation.



Italian Fashion House Valentino Suffers Drop in Profit in 2023

The logo of fashion house Valentino is seen outside a shop in Milan, Italy, April 8, 2024. REUTERS/Claudia Greco
The logo of fashion house Valentino is seen outside a shop in Milan, Italy, April 8, 2024. REUTERS/Claudia Greco
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Italian Fashion House Valentino Suffers Drop in Profit in 2023

The logo of fashion house Valentino is seen outside a shop in Milan, Italy, April 8, 2024. REUTERS/Claudia Greco
The logo of fashion house Valentino is seen outside a shop in Milan, Italy, April 8, 2024. REUTERS/Claudia Greco

Operating profit at Italian fashion house Valentino dropped 18% last year, to 99 million euros ($105.7 million), the company said on Tuesday.
Last year French luxury group Kering, which is struggling to revive sales at its star brand Gucci, bought a 30% stake in Valentino, with an option to purchase the whole of company's share capital by 2028.
Valentino added its 2023 revenues dropped 3% at constant exchange rate, to 1.35 billion euros ($1.44 billion).
Earlier this year Valentino hired former Gucci designer Alessandro Michele as creative director, after the departure of longtime incumbent Pierpaolo Piccioli.
Direct sales, which include e-commerce and represents 66% of total sales, rose 3% last year, boosted by a positive performance in Asia Pacific and Japan, the company said.
The second half of the year was challenging for the European market, while the Americas showed "encouraging signs" in the same period, the fashion house added.


British Retailer JD Sports to Buy US Rival Hibbett for $1.08 Billion

FILE PHOTO: JD Sports logo is seen on the exterior of a store in London, Britain, November 17, 2021. REUTERS/May James/File Photo
FILE PHOTO: JD Sports logo is seen on the exterior of a store in London, Britain, November 17, 2021. REUTERS/May James/File Photo
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British Retailer JD Sports to Buy US Rival Hibbett for $1.08 Billion

FILE PHOTO: JD Sports logo is seen on the exterior of a store in London, Britain, November 17, 2021. REUTERS/May James/File Photo
FILE PHOTO: JD Sports logo is seen on the exterior of a store in London, Britain, November 17, 2021. REUTERS/May James/File Photo

JD Sports Fashion has proposed to buy American athletic-fashion retailer Hibbett Inc for about $1.08 billion, the companies said on Tuesday, as the British sportswear retailer expands across the southeastern US.
JD Sports, Britain's largest sportswear retailer, will pay $87.50 per Hibbett share in cash, representing a premium of about 20% to the US firm's last closing price.
The Bury, Greater Manchester-based company said it expects to fund the deal and refinance Hibbett's existing debt through its existing US cash resources of $300 million and a $1 billion extension to its existing bank facilities.
The enlarged group would have combined revenues of about 4.7 billion pounds ($5.80 billion) in North America, JD Sports said, adding that the region's contribution to total sales would increase to about 40% from the current 32%.


Apparel Maker Gildan Recommends Two Browning West Nominees to Board

Representation photo: A model presents a creation from the Fall/Winter 2023/2024 Collection by British designer Kim Jones for Dior fashion house during the Paris Fashion Week, in Paris, France, 20 January 2023. (EPA)
Representation photo: A model presents a creation from the Fall/Winter 2023/2024 Collection by British designer Kim Jones for Dior fashion house during the Paris Fashion Week, in Paris, France, 20 January 2023. (EPA)
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Apparel Maker Gildan Recommends Two Browning West Nominees to Board

Representation photo: A model presents a creation from the Fall/Winter 2023/2024 Collection by British designer Kim Jones for Dior fashion house during the Paris Fashion Week, in Paris, France, 20 January 2023. (EPA)
Representation photo: A model presents a creation from the Fall/Winter 2023/2024 Collection by British designer Kim Jones for Dior fashion house during the Paris Fashion Week, in Paris, France, 20 January 2023. (EPA)

Gildan Activewear recommended the election of two Browning West nominees to its board on Monday, ahead of its annual and special shareholder meeting on May 28.
The Canadian clothing maker's board has been clashing with activist fund Browning West, which owns 5% of Gildan, following the ouster of co-founder and CEO Glenn Chamandy in December, Reuters said.
In January, Browning West escalated its fight with Gildan, expanding its list of board candidates to eight from five and called an annual and special shareholder meeting amid the ongoing dispute to replace a majority of its board members and reinstate Chamandy as CEO.
On Monday, the board recommended the election of Karen Stuckey and J.P. Towner, nominated by Browning West. It also appointed five new independent directors to its board effective May 1, 2024.
Gildan had said in March its board decided to put the company up for sale and is in talks with multiple bidders.
The company added on Monday that external interest in an acquisition persists and the process is ongoing.


Louis Vuitton Holds 'Voyager' Fashion Show in Shanghai

A logo of Louis Vuitton is displayed on a Louis Vuitton store on the Champs-Elysees avenue in Paris, France, March 30, 2024. (Reuters)
A logo of Louis Vuitton is displayed on a Louis Vuitton store on the Champs-Elysees avenue in Paris, France, March 30, 2024. (Reuters)
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Louis Vuitton Holds 'Voyager' Fashion Show in Shanghai

A logo of Louis Vuitton is displayed on a Louis Vuitton store on the Champs-Elysees avenue in Paris, France, March 30, 2024. (Reuters)
A logo of Louis Vuitton is displayed on a Louis Vuitton store on the Champs-Elysees avenue in Paris, France, March 30, 2024. (Reuters)

Louis Vuitton debuted its newly-labeled "Voyager" traveling show in Shanghai on Thursday night, showing off asymmetric hemlines and boxy leather vests in the country that is one of the brand's key markets.
More than 1,000 invitees, including international celebrities like Cate Blanchett and local stars such as Zhou Dongyu and Jackson Wang, took in the pre-fall collection designed by women's artistic director Nicolas Ghesquière, Reuters said.
The show was held in the cavernous concrete expanse of the Atelier Deshaus-designed Long Museum, in the riverside West Bund art district. It included pieces made in collaboration with Beijing-based artist Sun Yitian, who painstakingly paints photographs of inflated plastic animals, including ducklings, cats and rabbits. Reprints of her works were incorporated into the opening designs of the show.
In the days leading up to the show, images of Sun's work popped up around Shanghai, China's most international city, projected onto the exterior of malls and plastering walls in hip shopping and lifestyle districts.
For Louis Vuitton, the largest luxury brand in the LVMH stable, China continues to represent one of the world's most important luxury opportunities, even as a broader economic slowdown and consumer malaise stymie growth.
LVMH said on Tuesday that year-on-year sales for the quarter ending in March rose 3% on an organic basis, but purchases by Chinese shoppers globally grew 10%.
Last year, Louis Vuitton's men's line, helmed by Pharell Williams, staged a large-scale show in Hong Kong.


L’Oreal Shares Shine After Sales Beat Expectations 

A cosmetic display of French cosmetics group L'Oreal is seen at a duty free shop at the Nice International Airport, in Nice, France, October 10, 2018. (Reuters)
A cosmetic display of French cosmetics group L'Oreal is seen at a duty free shop at the Nice International Airport, in Nice, France, October 10, 2018. (Reuters)
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L’Oreal Shares Shine After Sales Beat Expectations 

A cosmetic display of French cosmetics group L'Oreal is seen at a duty free shop at the Nice International Airport, in Nice, France, October 10, 2018. (Reuters)
A cosmetic display of French cosmetics group L'Oreal is seen at a duty free shop at the Nice International Airport, in Nice, France, October 10, 2018. (Reuters)

Shares in L'Oreal rose more than 4% in early Friday trading after the French cosmetics giant beat expectations with a strong rise in first quarter sales on Thursday evening, allaying concerns about a slowdown in the United States.

L'Oreal shares were up 5.0% at 0745 GMT having lost 6% this year up to Thursday's close.

"A rock solid quarter, despite concerns," said analysts at Barclays. While L'Oreal did acknowledge a slowdown in the United States, it "comfortably surprised to the upside," both in the US and Europe, they said.

The world's biggest beauty company reported more than 12% sales growth in both North America and Europe, lifted by its mass market range and dermatological products, which helped offset weakness in the luxury segment.

"L'Oreal delivered a strong beat," Bernstein analysts wrote in a note to investors.

They noted L'Oreal's ability to shift investments in advertising and promotions to different parts of the world and across categories and demographics, enabling it to optimize global growth and make it more resilient.


Dior Looks to Marlene Dietrich in New York Fall Show

Logos of Dior brand are seen outside a Dior store in Paris, France, March 3, 2017. (Reuters)
Logos of Dior brand are seen outside a Dior store in Paris, France, March 3, 2017. (Reuters)
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Dior Looks to Marlene Dietrich in New York Fall Show

Logos of Dior brand are seen outside a Dior store in Paris, France, March 3, 2017. (Reuters)
Logos of Dior brand are seen outside a Dior store in Paris, France, March 3, 2017. (Reuters)

French fashion house Christian Dior unveiled a fall line inspired by actress Marlene Dietrich at a catwalk show in New York on Monday evening.
Nodding to Dietrich's personal style, Dior designer Maria Grazia Chiuri dressed models in white shirts, sometimes with ties, pleated trousers and black blazers.
Belted or cowl-neck dresses looked to 1940s silhouettes while some frocks sparkled with beading, Reuters said.
There were also nods to New York, with prints of the Statue of Liberty featuring on some designs. Others were adorned with depictions of the Eiffel Tower in Paris, where Dior is based.
Chiuri worked with artist Claire Fontaine on designing the show space, with pairs of illuminated hands adorning the catwalk's backdrop.
"These hands represent positively and in an empowering way the female sex and they are the hands of the seamstresses, of the creators, myself, of Maria Grazia and the hands of the women that made this project possible," Fontaine said in an interview.
Among the celebrities attending the show were actors Anya Taylor-Joy, Michelle Williams, Naomi Watts, Rosamund Pike and Charlize Theron.


Designer Berluti Reveals Opening Ceremony Tuxedo for French Athletes

An employee shows the Paris 2024 - Berluti label sewn inside the suit jacket for the French team athletes for the opening ceremony by LVMH's upscale menswear label Berluti, in a showroom at Berluti headquarters in Paris, France, April 10, 2024.  REUTERS/Stephanie Lecocq
An employee shows the Paris 2024 - Berluti label sewn inside the suit jacket for the French team athletes for the opening ceremony by LVMH's upscale menswear label Berluti, in a showroom at Berluti headquarters in Paris, France, April 10, 2024. REUTERS/Stephanie Lecocq
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Designer Berluti Reveals Opening Ceremony Tuxedo for French Athletes

An employee shows the Paris 2024 - Berluti label sewn inside the suit jacket for the French team athletes for the opening ceremony by LVMH's upscale menswear label Berluti, in a showroom at Berluti headquarters in Paris, France, April 10, 2024.  REUTERS/Stephanie Lecocq
An employee shows the Paris 2024 - Berluti label sewn inside the suit jacket for the French team athletes for the opening ceremony by LVMH's upscale menswear label Berluti, in a showroom at Berluti headquarters in Paris, France, April 10, 2024. REUTERS/Stephanie Lecocq

LVMH-owned menswear brand Berluti unveiled navy wool suits with colored silk lapels for France's Olympic athletes' opening ceremony outfits on Tuesday.
LVMH, a sponsor of the Paris 2024 games, said the "tuxedo-inspired outfit" reflected Berluti's identity, using "noble materials and patina effects" for an elegant, French look.
The jacket lapels have a red and blue motif inspired by the French flag and the brand's signature color-infused patina leather shoes. The women's jackets have cut-away sleeves.
Berluti was founded in Paris in 1895 by a young Italian shoemaker. The French athletes will also wear Berluti trainers or leather loafers.


Adidas Surges as Strong Momentum Helps Q1 Beat, Triggers Outlook Hike 

08 March 2022, Bavaria, Herzogenaurach: The logo of the sporting goods manufacturer Adidas on a blue jacket. (dpa)
08 March 2022, Bavaria, Herzogenaurach: The logo of the sporting goods manufacturer Adidas on a blue jacket. (dpa)
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Adidas Surges as Strong Momentum Helps Q1 Beat, Triggers Outlook Hike 

08 March 2022, Bavaria, Herzogenaurach: The logo of the sporting goods manufacturer Adidas on a blue jacket. (dpa)
08 March 2022, Bavaria, Herzogenaurach: The logo of the sporting goods manufacturer Adidas on a blue jacket. (dpa)

Shares in Adidas rose more than 7% on Wednesday, hitting their highest level in over two years after the German sportswear giant on Tuesday reported better-than-expected quarterly results and raised its 2024 guidance on stronger momentum.

Growth is being driven by strong demand momentum in "terrace" retro styles, such as Samba, Gazelle and Campus, as well as strength in performance categories, analysts at Wedbush said.

Analyst Cedric Lecasble at Stifel also highlighted that the raise in 2024 guidance "had little to do with Yeezy mechanics, but was much more driven by Adidas brand building materializing at full speed."

Adidas has been undergoing a turnaround after in October 2022 it cut ties with rapper West, who goes by Ye, suspending sales of the highly profitable Yeezy sneaker line.

It later resumed sales of Yeezy products under the lead of CEO Bjorn Gulden, in the job since the start of 2023, to clear remaining stock while seeking to boost its popular retro styles.

Lecasble described revenue performance in the first quarter as "impressive" in the context of challenging market conditions.

Analysts however view Adidas' guidance for operating profit (EBIT) of 700 million euros as still conservative.

Given that consensus already estimates the figure at around 890 million euros for 2024, RBC analyst Piral Dadhania pointed out, "the market clearly does not believe the EBIT guide, which to us appears to be unrealistic, and overly conservative."

Adidas delivered a quarterly EBIT of 336 million euros.

The company said it sold another 150 million euros worth of Yeezy products in the past quarter, for an operating profit of around 50 million euros. It, however, expects no further profit contribution from the remainder of Yeezy inventory, which it anticipated to sell for about 200 million euros later this year.

Shares were up 6% by 09:49 GMT, topping pan-European STOXX 600 index.


UK's ASOS Sinks to First-half Loss

A model presents the latest creations from the Dior pre-fall 2024 women’s collection at the Brooklyn Museum in New York City, New York, US, April 15, 2024. REUTERS/Caitlin Ochs
A model presents the latest creations from the Dior pre-fall 2024 women’s collection at the Brooklyn Museum in New York City, New York, US, April 15, 2024. REUTERS/Caitlin Ochs
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UK's ASOS Sinks to First-half Loss

A model presents the latest creations from the Dior pre-fall 2024 women’s collection at the Brooklyn Museum in New York City, New York, US, April 15, 2024. REUTERS/Caitlin Ochs
A model presents the latest creations from the Dior pre-fall 2024 women’s collection at the Brooklyn Museum in New York City, New York, US, April 15, 2024. REUTERS/Caitlin Ochs

British online fashion retailer ASOS sunk to a first-half loss, as it battles competition from Chinese giant Shein and self-inflicted problems from excess stock, but it said it still expected an improvement over the year.
ASOS also named former Sainsburys and Amazon executive Dave Murray as its new chief financial officer on Wednesday, saying that his retail and e-commerce experience would help return the group to profitability, Reuters reported.
The company has struggled to grow since the pandemic and has cast its current financial year as a transition period, when it will speed up new collection launches and shed a build up of excess stock which has dragged on profits.
For the 26 weeks to March 3, ASOS posted an adjusted EBITDA loss of 16.3 million pounds ($20.3 million), compared to the 4.6 million pounds it made in the period last year.
Over the full-year period, it is sticking to a forecast for positive adjusted EBITDA on sales that are expected to be 5 to 15% lower.
"ASOS is becoming a faster and more agile business, and we are reiterating our guidance for the full year as we lay the foundations for sustainably profitable growth in full-year 2025 and beyond," CEO José Antonio Ramos Calamonte said.
ASOS is facing growing competition from fast-fashion giant Shein, which is expanding rapidly in Europe, offering low prices and benefiting from its speedy response to changing trends.


Dr. Martens Dour US Revenue Outlook for the Year Sends Stock of Iconic Bootmaker Plunging

A Dr. Martens boot inspired by Elton John's famous Pinball Wizard outfit is shown at a promotional event in London, March 20, 2023. (AP)
A Dr. Martens boot inspired by Elton John's famous Pinball Wizard outfit is shown at a promotional event in London, March 20, 2023. (AP)
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Dr. Martens Dour US Revenue Outlook for the Year Sends Stock of Iconic Bootmaker Plunging

A Dr. Martens boot inspired by Elton John's famous Pinball Wizard outfit is shown at a promotional event in London, March 20, 2023. (AP)
A Dr. Martens boot inspired by Elton John's famous Pinball Wizard outfit is shown at a promotional event in London, March 20, 2023. (AP)

Chunky bootmaker Dr. Martens is warning of a tough year ahead.

Dr. Martens shares plunged more than 30% Tuesday after the iconic British brand forecast wholesale revenue in the US, its largest market, would decline by double-digits compared with last year.

Trading in Dr. Martens stock was temporarily halted on the London Stock Exchange early Tuesday as it sank to a record-low 0.64 pounds, according to FactSet.

That could translate into a sizeable hit to profits, with the company pointing to a base projected impact of 20 million pounds ($24.9 million) on pretax earnings year-over-year. In-season orders from wholesale customers could help ease US revenue expectations, the company noted, but those are difficult to predict.

Beyond weakening revenue, Dr. Martens anticipates other hefty expenses related to the company's employee retention plans as well as single-digit inflation in its cost base. Unlike years past, the brand does not plan to increase prices to offset those costs.

Dr. Martens also announced a leadership shakeup on Tuesday. After six years at the helm of the company, CEO Kenny Wilson will step down. Ije Nwokorie, Dr. Martens’ chief brand officer, will take his place before the end of the current fiscal year.

In a prepared statement regarding 2025's financial outlook, Wilson acknowledged the challenges ahead, saying that Dr. Martens is focused on its plans to "reignite boots demand, particularly in the USA.”

Still, Wilson said that the brand “remains strong.” Dr. Martens said it saw a pick-up in direct to consumer growth during the fourth quarter.

Shares for Dr. Marten are down more than 56% over the last 12 months, per FactSet.