Italian luxury group Salvatore Ferragamo reported on Tuesday a 2% decline in Q4 revenue at constant exchange rates, as weak demand in Europe and the Middle East, coupled with a significant slump in wholesale sales, weighed on performance. The company posted preliminary Q4 revenue of 282 million euros ($295 million), broadly in line with analyst expectations. While direct-to-consumer sales rose 6% in the quarter, wholesale revenue plummeted nearly one-third compared to the same period last year. Sales declined 11% in Europe and the Middle East and fell 2.3% in Asia-Pacific, offsetting modest growth of 2% in North America.

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