OTB Sales, Profit Slide as China and Europe Drag

OTB Group revenue and profit dropped in 2025, dragged down by China and Europe, the Italian fashion group that owns Diesel, Jil Sander and Maison Margiela said on Tuesday.

Revenue at constant exchange rates fell 4.8 percent to €1.7 billion ($2.01 billion) the company said. Earnings before interest, taxes, depreciation and amortisation declined 14 percent to €237.3 million, after dropping 21 percent, year on year, in 2024.

Last year will likely be remembered as “one of the most challenging years for the fashion sector,” OTB chief executive Ubaldo Minelli said in a statement.

The two and half year slowdown in the fashion industry has hit aspirational luxury brands particularly hard, including Diesel, the backbone of the OTB group. With 2026 expected to also be difficult for mid-range fashion brands, OTB is likely to continue to face strong headwinds. Analysts forecast revenue growth for luxury companies up 4 to 5 percent this year, but much of the rise is expected to come from the upper echelons of the industry that caters to wealthier clients who are more immune to economic volatility.

Like many peers, OTB is seeking to reignite enthusiasm around its brands by appointing new designers. Maison Margiela, Jil Sander and Marni, also owned by the group, all got new creative direction last year.

OTB sales through wholesale channels dropped 15 percent while direct retail sales shed 2.6 percent.

The group, which does not detail financial results by brand, said sales at Maison Margiela grew fastest, up 8.4 percent while profitability improved at Diesel with the brand posting its best result in a decade.

OTB subsidiary Staff International and Italian label Dsquared2 recently resolved a dispute over a licensing agreement and have signed a long-term renewal.

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