Benetton has been facing intense competition from other fast-fashion brands such as Zara in recent years. The United Colours of Benetton, one of the most well-known and loved brands of the 1980s and 1990s, is facing a revamp. According to Reuters, the company is looking to make some major restructuring changes in the near future, to try and curb losses.
The company made a net loss of some €230 million in 2023, a sharp fall from 2022's net loss of €81 million. The figures include impairments, meaning a reduction in the value or amount of a company asset, which are substantial. One of the biggest changes expected to happen is that current Benetton CEO Massimo Renon will step down.
The company's shareholders are likely to announce this formally at their upcoming June meeting. Renon has been widely blamed for the losses by group chairman and Benetton co-founder, Luciano Benetton, who will also be stepping down in June, having been at the helm since 2018. Renon has previous experience working at Safilo, Marcolin and Luxottica.
Benetton's holding company Edizione, is likely to finance the restructuring with a cash infusion of around €260 million, with the parent company also highlighting it is planning to keep a closer eye on the group from here on. Regarding Renon, Luciano Benetton, who is also the co-founder of the group told Corriere della Sera: "I trusted him and I was wrong. I was betrayed in the truest sense of the word.
"A few months ago, I realised that something was .
