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RENZO ROSSO'S OTB GROUP REPORTS RISE IN SALES AND ANNOUNCES IPO PLANS

INTERVIEW
The OTB Group, overseeing brands such as Diesel, Jil Sander, Maison Margiela, Marni, and Viktor&Rolf, as well as controlling companies Staff International and Brave Kid, reported EBITDA of 348 million euros, resulting in a 19.6 percent return on net sales. Additionally, EBIT amounted to 140 million euros, achieving a 7.9 percent return on net sales.

In its latest financial report, OTB disclosed a turnover of 1.9 billion euros for the fiscal year ending December 31, 2023, marking a 10.2 percent increase at constant exchange rates and a 7.2 percent rise at current exchange rates. Net sales for the same period reached 1.8 billion euros, reflecting a 12.4 percent surge at constant exchange rates and a 9.1 percent increase at current exchange rates compared to the previous year.

Founder and Chairman of OTB Group, Renzo Rosso, expressed pride in the achievements of 2023, highlighting the growth of their brands in various markets, including key locations like the USA, China, and Japan, as well as emerging areas such as South Korea: ""I am proud of what we achieved in 2023; it was a challenging year, but our brands continued to grow in all markets, not just key locations like the USA, China and Japan, a historic market for us, but also in new areas like South Korea, which is performing very well, and other Asian markets,” said OTB Group founder and chairman Renzo Rosso."

Key points from OTB's annual results include a notable 33.8 percent growth in the group's direct channels, fueled by increased sales in existing stores and the opening of 76 new outlets, bringing the total to 610 by the end of 2023. Positive performance in Asia, with a turnover improvement of 74 percent, and expansion in Japan contributed significantly to the overall growth.

CEO of OTB Group, Ubaldo Minelli, emphasized that the results align with the strategic plan, focusing on the development of direct channels and increased penetration in Asian markets.

In 2023, OTB continued its global expansion efforts, particularly in Asia-Pacific countries, opening 30 new stores in China and solidifying its presence in Japan and South Korea. Asian markets accounted for over 40 percent of total turnover. The company noted a return to growth in North America, while European performance remained stable amid a complex economic situation.

Individual brands within the OTB portfolio demonstrated positive growth, with Diesel reporting a notable 13.1 percent turnover growth. Maison Margiela experienced a 23 percent increase in turnover, driven by strong performances in China and Korea. Jil Sander reported a growth of 17.3 percent, expanding its network of direct channels globally. Marni, with an 8.6 percent growth, focused on retail network expansion and global shows.

In summary, OTB's strategic focus on direct channels, Asian market penetration, and brand-specific growth initiatives contributed to a successful fiscal year in 2023.