BasicNet Reports Strong 2024 Financial Growth with €409.2 Million in Revenue

BasicNet, the Italian company behind globally recognized brands like Kappa, Superga, and K-Way, has reported solid financial growth for 2024. According to its latest financial report, the company achieved consolidated revenue of €409.2 million, reflecting a 3.1% increase compared to the previous year. This growth highlights the company’s ability to adapt to market challenges while continuing to strengthen its position in the global apparel industry.

One of the key strategic moves for BasicNet in 2024 was its focus on retail expansion. The company opened 12 new monobrand stores, enhancing its direct sales network and increasing brand visibility in key locations. This approach contributed to a 4.2% rise in direct sales, reaching €346.8 million. By increasing its retail footprint, BasicNet continues to solidify its brand presence and capitalize on new revenue opportunities.

Profitability also improved, with EBITDA reaching €61.1 million, marking a 5.1% increase. Additionally, EBIT rose by 2.6% to €42.1 million, showcasing operational efficiency and steady business growth. CEO Federico Trono emphasized the company’s progress, noting that strong commercial performance across its main brands helped achieve record-high revenue and profitability. He also highlighted ongoing efforts to reduce bank debt and optimize working capital, demonstrating BasicNet’s commitment to financial stability.

Geographically, sales performance varied across regions. While the European market showed significant strength, contributing 76.6% of total consolidated sales with a 12.1% increase, sales in other regions faced challenges. The Americas saw a sharp decline of 21.3%, and Asia & Oceania reported a similar drop of 22.6%. By contrast, the Middle East & Africa registered a modest 1.5% growth. These trends indicate that BasicNet’s key brands maintain strong demand in Europe but face external pressures in other markets.

In terms of financial management, BasicNet made strategic moves to enhance shareholder value. The company distributed €7.4 million in dividends, rewarding investors for a steady financial year. Additionally, the company repurchased €14.4 million worth of shares, reinforcing confidence in its long-term growth prospects. That said, the company’s net financial position stood at minus €142 million, highlighting an area that will require focus in the coming years to maintain long-term financial health.

Looking ahead, one of BasicNet’s most significant developments is an upcoming acquisition involving K-Way and the Permira Investment Fund. The deal’s completion is set for February 28, 2025, marking an important step in the company’s continued growth strategy. While details of the acquisition are yet to be fully revealed, the partnership with Permira signals an ambition to further strengthen K-Way’s market presence and unlock new growth potential.

Overall, 2024 was a year of steady progress for BasicNet. Despite challenges in certain regions, the company demonstrated resilience by expanding its retail operations, increasing direct sales, and maintaining a strong financial trajectory. Under the leadership of CEO Federico Trono, BasicNet is well-positioned for future growth, leveraging acquisitions, market expansion, and strategic investments to enhance its competitive standing in the global fashion and sportswear industry.