Geox S.p.A. Q1 Revenue Drops Amid Weak Consumer Demand

Italian footwear and apparel group Geox S.p.A. reported a challenging first quarter for fiscal year 2026, with revenues falling 12.5 per cent year-on-year to 165.3 million euros. The Veneto-based company attributed the decline to weak market conditions, subdued consumer spending, and reduced traffic across retail channels. On a like-for-like basis, sales declined 10.3 per cent, while revenues from digital channels dropped sharply by 23.8 per cent despite positive performance from the company’s own e-commerce platform.

The wholesale business generated 68.6 million euros, accounting for 41.5 per cent of group revenues, while retail sales stood at 56.3 million euros, representing 34 per cent of total revenues. Italy remained the company’s largest market with revenues of 52.8 million euros, followed by Europe at 75.6 million euros, where weaker performances in the DACH region and France weighed heavily on results. Footwear continued to dominate the business, contributing over 90 per cent of consolidated revenues. During the quarter, Geox streamlined its retail network, closing more stores than it opened and reducing the number of franchise outlets.

CEO Francesco Di Giovanni said the company had expected softness in wholesale performance, but retail sales were weaker than forecast due to a widespread decline in store traffic across the industry. Despite the downturn, Geox achieved around 10 million euros in operating cost savings during the quarter, allowing adjusted EBIT to exceed expectations. The company has maintained its outlook for 2026, forecasting an adjusted EBIT margin of 2–3 per cent and lower bank debt by year-end. Looking ahead, Geox plans to introduce new retail solutions and product innovations, including collections developed in collaboration with an internationally renowned footwear design studio, with the first launch expected for the Spring/Summer 2027 season.

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