Retail news that keeps industry pros in the know
Retail Brew delivers the latest retail industry news and insights surrounding marketing, DTC, and e-commerce to keep leaders and decision-makers up to date.
Knock, knock—it’s your weekly Retail Brew fashion dispatch, featuring an array of news you may have missed. This week, one fast fashion retailer’s profits soar, while a legendary designer is returning to Pitti Uomo after 31 years.
Shein profits more than double
A recent Financial Times report revealed that fast fashion retailer Shein’s 2023 profits more than doubled YoY to more than $2 billion.The report, based on information from sources close to the company, known worldwide for its cheap and trendy fashions, found that the company earned $45 billion in gross merchandise value last year. The news comes as the retailer awaits IPO approval.
Why this matters: Despite a range of accusations leveled against it, Shein remains popular among US consumers. The Singapore-headquartered retailer has garnered criticism for allegedly copying designers’ work, as well as for labor abuses and unsustainable practices. While the company denies these allegations, bipartisan US lawmakers pushed the SEC to investigate the accusations of the “mistreatment of Uyghurs,” a marginalized group in China.
Calvin Klein owner expects revenue drop
PVH Corp, which owns the Tommy Hilfiger and Calvin Klein brands, released its full-year sales guidance, which fell short of analysts’ expectations. The retailer expects profits to fall 6%–7% this year, it said, after which its share price dropped 23%.
Why this matters: The retailer has blamed the disappointing results on the sale of its women’s intimates business as well as a challenging macroeconomic climate in Europe. Still, it’s hardly the biggest underperformer in fashion or luxury this year or in 2023. Brands from Kering to Burberry have seen profits drop as inflation tightens its hold on consumers, who are pulling back on spending.
Paul Smith returns to Pitti Uomo
British designer Paul Smith is making a comeback at Italian trade show Pitti Uomo after 31 years. Smith, who first showcased his collection at the Florence event back in 1993, will present his Spring/Summer 2025 collection at the iconic trade fair in June.
Why this matters: Started in 1972, Pitti Uomo remains one of the most important platforms for showcasing menswear, where top designers such as Raf Simons, Jonathan Anderson, Yohji Yamamoto, Jean Paul Gaultier, Jil Sander, and Vivienne Westwood have presented their collections. Often called the “menswear mecca,” the twice-yearly event attracts about 30,000 people in the menswear industry, including buyers, journalists, and exhibitors.