The footwear and accessories conglomerate recorded full year 2022 gross revenues of 5.2 billion reais ($1.01 billion), a 43.5 percent increase from the previous year. Adjusted net revenues grew by 44.8 percent year on year, reaching 4.23 billion reais ($822.3 million).
Despite challenging conditions in Brazil’s consumer sector, Arezzo & Co largely attributes its positive results to strengthening its omnichannel strategy, which helped grow the registered customer base to 5.3 million clients, up 21.5 percent from 2021. E-commerce grew 33.4 percent over the previous year to 1.1 billion reais ($211.5 million) representing 23.3 percent of sales.
Adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) for 2022 was 657 million reais ($127 million), up 43.1 percent from 2021.
The company attributed some of the growth to its lifestyle arm AR&Co and the expansion of its international business. The former, which comprises brands Carol Bassi, streetwear brand BAW and Reserva, reached 1.2 billion reais ($233 million) in sales in 2022, up 55.7 percent from the previous year.
In line with its expansion plans, Arezzo&Co acquired a 65% majority share in Milan-based luxury footwear brand Paris Texas last week. In January, the company acquired Vicenza, one of Brazil’s largest independent shoe brands.
Meanwhile, Arezzo & Co’s US operations in 2022 registered 490 million reais ($95 million) in gross revenue, representing growth of almost 41 percent versus 2021.
The conglomerate’s brand portfolio includes brands Arezzo, Schutz, Anacapri, Alexandre Birman, Fiever, Alme and a distribution license for Vans, as well as the operations of the ZZ Mall marketplace and the resale platform Troc.
The Brazilian footwear and accessories conglomerate has paid 130 million Brazilian reais ($25 million) to acquire a 65 percent share in the Milan-based shoe brand, signalling the company’s plans to continue expanding its global footprint.