GENTILI MOSCONI S.P.A.
Registered office VIA TEVERE 7/9 - 22070 - CASNATE CON BERNATE (CO)
Tax Code and number of registration: 01768380139 in the Register of Companies of: COMO-LECCO
Economic and Administrative Index No. 214593
Share capital 150,000.00 - Paid-up share capital 150,000.00
VAT Reg. No. 01768380139 - Tax Code 01768380139
Half Year Financial Report
as of 30 June 2024
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CONTENTS
LETTER TO THE SHAREHOLDERS
REPORT ON OPERATIONS
Composition of corporate bodies
Group structure
Summary of the Group's results
Main stock market indicators
- Group activities
- Macroeconomic scenario
- Group operating performance
- Significant events during the year
- Research and development activities
- Main risks and uncertainties
- Human Resources, Environment and Safety
- Related party transactions
- Other information
- Significant events after June 30 2024
- Business outlook
CONSOLIDATED FINANCIAL STATEMENTS
Financial Statements
Explanatory Notes
Independent Auditors' Report
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COMPOSITION OF CORPORATE BODIES
BOARD OF DIRECTORS
The Board of Directors, appointed by the ordinary shareholders' meeting of 11 November 2022 and 20 January 2023, will remain in office until the approval of the financial statements for the year ended 31 December 2025.
The members of the Board of Directors are indicated in the table below.
Name and Surname | Office |
Francesco Gentili | Chairman of the Board of Directors and Chief |
Executive Officer | |
Patrizia Mosconi | Director |
Paolo Daviddi
Director
Elia Kuhnreich
Director
Giovanni Casartelli (**)
Independent Director
- Director meeting the independence requirements set forth in Article 148, third paragraph, of the Consolidated Finance Act.
BOARD OF STATUTORY AUDITORS
The Board of Statutory Auditors, appointed by the Shareholders' Meeting of 11 November 2022, will remain in office for a period of three years until the approval of the financial statements for the year ended 31 December 2025.
The members of the Board of Statutory Auditors of the Company are indicated in the table below.
Name and Surname | Office | |
Luigi Caccia | Chairman of the Board of Statutory | |
Auditors | ||
Antonia Maria Fiorella | Statutory Auditor | |
Turba | ||
Luca Castoldi | Statutory Auditor |
Andrea Sormani
Alternate Auditor
Cristina Pivotto
Alternate Auditor
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INDEPENDENT AUDITORS
Deloitte & Touche S.p.A., appointed by the shareholders' meeting on 11 November 2022 for the financial years 2022-2024.
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GROUP STRUCTURE
Below is a graphical representation of the Group, with an indication of the equity investments held in the subsidiaries and investees.
Gentili Mosconi S.p.A. controls 98% of Emme S.r.l., a company acquired in 2015, a long-established company specialising in the printing of top-quality textiles that builds on expertise, tradition and technological innovation. The remaining 2% is equally divided between Francesco Gentili and Patrizia Mosconi.
Gentili Mosconi S.p.A. controls 70% of Tintoria Comacina S.r.l., a company acquired in March 2024, a company with more than 40 years of history specialising in the dyeing and finishing of classic silk fabrics such as silk crepe, satin and chiffon; blends with cashmere and wool; and lurex, cottons and nylon. The remaining 30% is divided between the previous shareholders, founder Angelmaria Bianchi and Paolo Maggienga, who have retained a minority share - 10% and 20% respectively - guaranteeing perfect continuity in terms of management.
The Company also holds 100% of Gentili Mosconi New York Inc., a US company that owns the showroom located in New York, in the 7th Street area known as the fashion district, today one of the most iconic areas in the world of creativity and innovation in the fashion sector, and 15% of the capital of Elle.A.Ci.Ti, a company based in Lurate Caccivio (CO), which is a chemical, physical and ecological analysis laboratory.
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SUMMARY OF THE GROUP'S RESULTS
(Amounts in thousands of Euro) | |||
30.06.2024 | 30.06.2023 | 31.12.2023 | |
Revenues from sales and services | 22.719 | 27.254 | 50.529 |
Costs of sales | (10.798) | (13.753) | (25.364) |
Industrial margin | 11.921 | 13.501 | 25.165 |
Operating Costs | (9.152) | (8.089) | (16.523) |
EBITDA | 2.769 | 5.412 | 8.642 |
For a better understanding of the Group's performance, in order to correctly compare it with the previous year and with future years, the following transactions were identified, the effects of which we intend to neutralise through alternative adjusted performance indicators:
- In the first half of 2023 following the listing on the regulated Euronext Growth Milan market of Borsa Italiana:
- the capitalisation of consultancy costs incurred in connection with the transaction for Euro 2.692 thousand under Intangible Assets and the corresponding amortisation charge of Euro 449 thousand
- payment of a bonus equal to one gross month's salary to all Group employees in the amount of Euro 598 accounted for in Personnel Costs. This bonus was deferred for Euro 297 thousand for the remaining six months of the current year.
- In the first half of 2024 related to the listing on the regulated Euronext Growth Milan market of Borsa Italiana:
- the amortisation of consulting costs incurred for the listing on the regulated market Euronext Growth Milan of Borsa Italiana amounting to Euro 449 thousand;
- the accrued portion of the tax credit on capitalised charges related to the listing recognised in the amount of Euro 467 thousand deferred on the basis of the useful life of the same in the amount of Euro 390 thousand
The following table shows the reconciliation of the Gentili Mosconi Group's consolidated profit for the period and Adjusted EBIT and Adjusted EBITDA for the six months ended 30 June 2024, compared to the same parameters of the Group for the six months ended 30 June 2023:
(Amounts in thousands of Euro)
30.06.2024 | 30.06.2023 | Var. | % |
Consolidated profit (loss) for the period
Income taxes for the year, current, deferred and prepaid
exchange rates gains and losses Interest and other financial charges Income from equity investments Other financial income
1.430 | 3.084 | -1.654 | -54% |
663 | 1.136 | -473 | -42% |
-89 | 33 | -123 | (<100%) |
79 | 41 | 37 | 90% |
- | - | - | |
-315 | -121 | -194 | >100% |
EBIT | 1.767 | 4.173 | -2.406 | -58% |
Costs and revenues ancillary to the listing | 372 | 750 | -378 | (>100%) |
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Adjusted EBIT | 2.139 | 4.923 | -2.785 | -57% |
Write-downs of receivables included in current assets and cash and cash equivalents
Depreciation of tangible fixed assets and intangible fixed assets
35 | 37 | -2 | -6% |
519 | 433 | 86 | 20% |
Other provisions | 0 | 19 | -19 | -100% |
Adjusted EBITDA | 2.692 | 5.412 | -2.720 | -50% |
Therefore, for the purposes of a correct comparison, the table below summarises the most significant results adjusted for the effect of these transactions.
(Amounts in thousands of Euro) | |||
30.06.2024 | 30.06.2023 | 31.12.2023 | |
Revenues from sales and services | 22.719 | 27.254 | 50.529 |
Industrial margin | 11.921 | 13.501 | 25.165 |
Industrial margin as a % of revenues from sales | 52,5% | 49,5% | 49,8% |
and services | |||
Adjusted EBITDA | 2.692 | 5.412 | 9.073 |
Adjusted EBITDA Margin | 11,9% | 19,9% | 18,0% |
Adjusted EBIT | 2.139 | 4.923 | 8.070 |
Adjusted EBIT Margin | 9,4% | 18,1% | 16,0% |
Profit for the year / period | 1.430 | 3.084 | 5.235 |
Profit for the year / period as a % of revenues from | 6,3% | 11,3% | 10,4% |
sales and services | |||
Net Financial Indebtedness | (14.912) | (15.989) | (17.142) |
Cash generation | 637 | 1.765 | 5.761 |
Cash conversion rate | 24,8% | 32,6% | 63,5% |
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MAIN STOCK MARKET INDICATORS
Official price at the beginning of trading (7 February 2023) in Euro 3.75
Minimum price as at 5 August 2024 in Euro 2.40
Maximum price as at 20 April 2023 in Euro 3.90
Stock market capitalisation at the start of trading (7 February 2023) in Euro 71,250,000 No. of shares making up the share capital as at 7 February 2023 19,000,000
No. of outstanding shares (free float) 4,800,000
The market performance of the Gentili Mosconi share since the listing date of 7 February 2023 is shown below.
STOCK PERFORMANCE CHART
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Report on Operations for the year ended 30 June 2024
1. GROUP ACTIVITIES
Gentili Mosconi S.p.A. was founded in Como in 1988 by Francesco Gentili and Patrizia Mosconi with passion and a spirit of research. From the very start of their business, and thanks to the exclusivity, refinement and creativity inherent in their products, they have succeeded in qualifying Gentili Mosconi as a "Made in Italy" icon in a particularly refined and sophisticated market that is the world of haute couture. The Group is headquartered in Casnate con Bernate (CO), has two production sites in Fino Mornasco (CO) and Casnate con Bernate (CO), three warehouses in Como and Casnate con Bernate (CO) and two showrooms in Como and New York.
Gentili Mosconi is an international reference point within the luxury fabrics and accessories creation and production industry, boasting some of the most iconic and representative players in the national and international luxury and haute couture world among its customers.
The Group's objective is to establish itself as a critical partner capable of translating customers' ideas and needs into products and accessories with customised and exclusive designs and prints, distinguishing itself through the careful study of its own creations and its highly technical ability to create high-end products in such a way as to meet the expectations of a particularly quality-conscious clientele such as the one the Group caters for.
With its expertise and ability to operate as an innovative handicraft company, Gentili Mosconi is able to combine the tradition and creativity of craftsmanship in conjunction with the latest technologies, thus guaranteeing the creation of high quality products while offering flexibility within its production chain in close collaboration with its customers and suppliers.
In addition, the Group offers its customers' stylists access to a huge archive of textiles and accessories with proprietary prints, and to a remarkably valuable library of books, fabric collections and fashion creations collected over the years all over the world thanks to Francesco Gentili's passion.
The Company's archive currently has about 90,000 drawings on paper, about 2,200 drawings on fabric, 830 accessories and vintage clothes and over 38,000 digital Company files, while the library now contains over 5,000 books, of which 1,513 date back to the 19th century.
History
Gentili Mosconi was established in 1988 in Como as a company specialising in the production of textile accessories for men and women, such as scarves, ties and foulards, characterised by original embroidery, yarn-dyed and fil coupé, differing in this from the classic silk prints of the Lake Como area.
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In 1990, it moved from the centre of Como to its current location in Casnate con Bernate, where it continued to produce scarves, moving away from tie-making and expanding its production by introducing clothing fabrics.
In 1999, it specialised in the production of fabrics for mainly women's clothing.
"Gentili Mosconi Home" was founded in 2005 on the initiative and drive of Patrizia Mosconi, producing textile products for yachts and home furnishings.
In 2010, the design office was incorporated into the company's operations.
In 2011, the first corporate Archive was inaugurated. It collects the Group's entire know-how in an organic, capillary and easily accessible manner, gathering a unique collection of fabrics and designs that the design office uses to develop textile projects.
In 2012, Gentili Mosconi inaugurated the first completely eco-sustainable plant, i.e. powered by geothermal and photovoltaic energy, which represents the first facility of its kind in the Como area; the same year saw the inauguration of the archive library with its rich collection of fabric patterns.
Between 2015 and 2016, Gentili Mosconi acquired Emme, a company specialising in high-quality textile printing, and a minority stake in Elle.A.Ci.Ti., a textile chemical analysis laboratory founded in 2015.
In 2017, the Gentili Mosconi Home showroom was opened in the prestigious premises of an old brickworks dating back to the 1800s located in via Pannilani 59, Como (CO).
In 2019, the New York showroom was opened for the purpose of managing distribution in the United States.
In 2021, Gentili Mosconi published its first sustainability report.
In 2022, it further developed the Home division with the expansion of its customer base.
In 2023, Gentili Mosconi completed its listing on the Euronext Growth Milan market.
In February 2024, Gentili Mosconi established the Gentili Mosconi Foundation ETS with the aim of pursuing and preserving the Made in Italy textile tradition while encouraging and promoting Italian textile culture in its various expressions, in art as well as in fashion design, supporting the creativity of young talents
In March 2024, Gentili Mosconi acquired Tintoria Comacina, a company specialising in the dyeing and finishing of classic silk fabrics such as crepe silk, satin and chiffon; blends with cashmere and wool; and lurex, cottons and nylon.
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