Zegna Results Presentation Deck slide image

Zegna Results Presentation Deck

CAPEX & TRADE WORKING CAPITAL Investing in Retail, IT and Industrial Platform ● ● Capital Expenditure (€ millions) 4% 15.5 13 1H22 % of revenues Store Network Other 4% 13.6 11 1H21 Planned Capex step-up in 2022 €28.5 million Capex paid: Zegna and Thom Browne distribution network, rebranding and IT projects New store openings for Thom Browne, relocations/renewals for Zegna Key IT projects: point of sales systems and distribution ERP Supply Chain & Textile ordinary maintenance capex TWC=€331M One brand impact on TWC Trade Working Capital (€ millions) 23.3 % 391 169 -229 Ermenegildo Zegna Group 30-Jun-2022 Trade receivables % of last 12 months rolling revenues 21.3 % 339 160 -223 31-Dec-2022 Inventories Trade Payables and customer advances TWC=€276M Inventories up on increased volumes at end-June (FW22 One Brand launch) and unsold stock in GCR due to Covid-related lockdowns Stock turn to improve once rebranding fully rolled out Receivables up partly balanced by higher payables in line with business increase 25
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