Ermenegildo Zegna NV Q4 FY2024 earnings call

• Zegna brand: 2024 was the year of VILLA ZEGNA, winter '25 fashion show with Vellus Aureum project, reinforced talents/organization, invested in CRM/made-to-measure, balanced geographic presence (focus on U.S. and Middle East). - Thom Browne: Evolving marketing approach, customer centricity, reinforced team, early DTC progress but still in transition, focus on selected projects like DTC, women accessories, classic collection, and new openings. - TOM FORD FASHION: Focused on building organization, appointed new creative director Haider Ackermann, positive DTC trend in Q4, investment priorities in 2025 (brand value and U.S. market). - Filiera: Invested in integrated supply chain, plan for new shoe factory by 2026.

The Zegna segment, including Zegna brand and textile, had +4% organic revenue growth in Q4, with the Zegna brand driving growth while textile was impacted by declining B2B demand. TOM FORD FASHION segment saw +4% revenue growth. In terms of geographic areas, EMEA (35% of full-year 2024 revenues) had +5% organic growth in Q4; Americas (27% of full-year revenues) had +15% organic growth in Q4; Greater China (26% of full-year revenues) had -11% revenue in Q4; Rest of Asia Pacific (12% of full-year revenues) had +8% organic growth in Q4.

• 2025 regional trends similar to end of 2024: America strong, Europe doing well, Middle East very good, China volatile but seeing positive signs. - TOM FORD FASHION 2025 to be year of investment in brand value and U.S. market.

• Uncertainties in the sector. - Impact of macroeconomic factors on China. - Ongoing transition of Thom Browne to DTC model.

Q: On the Americas' continued growth for Zegna brand, thoughts on product assortment and China inventory?

A: Gildo Zegna commented America loves Zegna's rebranding, personalization, and uniqueness, with Vellus Aureum project appealing to top customers, and Gianluca Tagliabue mentioned flexibility in inventory planning and cautious open-to-buy for 2025 in China.

Q: On Thom Browne and TOM FORD DTC trajectory in 2025?

A: Gianluca Tagliabue said Thom Browne's DTC growth was driven by new space, with H1 2025 expected to see continued decline, while TOM FORD FASHION showed positive DTC trends in Q4 with strong growth in EMEA and U.S., and 2025 to focus on investment in brand value and U.S. market.