Lojas Renner’s retail sales grew by 4.2 per cent, and by 4.7 per cent in apparel in the third quarter (Q3) of fiscal 2025 (FY25), with combined average growth for Q2 and Q3 which reached 11.5 per cent, 12.5 per cent in apparel.

The company delivered another quarter of solid progress in profitability, and apparel gross margin improved for another consecutive quarter to reach 56.2 per cent, a 0.5 percentage point increase, and a 0.4 percentage point increase in retail. This reflects the relentless pursuit of faster and more flexible fashion execution, supported by a more precise and integrated supply model, resulting in a 1.9 percentage point decrease in the share of aged inventory in sales.

Lojas Renner’s Q3 FY25 retail sales rose 4.2 per cent (4.7 per cent in apparel), with apparel margins improving to 56.2 per cent.
Net income grew 9 per cent to R$279 million (~$53 million), and free cash flow reached R$473 million (~$89.9 million).
Despite weather-related sales impacts, profitability and efficiency improved. Digital sales accounted for 17 per cent.

“Our performance throughout the year demonstrates that the initiatives we’ve implemented to evolve our business model are contributing to our results. While third quarter results reflect the challenges of a distinct climate dynamic compared to 2024, this does not alter our trajectory,” said Fabio Faccio, CEO.

“Autumn temperatures boosted second quarter sales this year, however, this limited the availability of winter items in the third quarter. We thoroughly assessed the risk/return outlook for the upcoming months and opted not to place additional orders which, when combined with our considerable exposure to colder regions, had a temporary impact of approximately 2 to 3 percentage points on our sales. We established a process that incorporates more frequent monitoring and decision checkpoints, minimising the risk of future missed opportunities,” explained Faccio.

Lower sales volumes and the previously scheduled timing of certain operational initiatives resulted in a temporary increase in expenses above sales growth this quarter. However, this does not alter the structural trajectory of annual operational leverage the company initiated in 2024. With the intensive cycle of structural investments in CAPEX and OPEX complete, it is now positioned to drive sales growth with consistent expense dilution. This reinforces the expectation of consistent expense dilution, both due to previous investments—which support a higher level of sales growth—and through cost reduction opportunities, driven by a targeted effort it has already initiated.

Net income increased by 9 per cent to R$279 million (~$53 million), a 16 per cent increase. The trailing twelve-month ROIC reached 14.4 per cent, a 1.7 percentage point improvement, alongside free cash flow generation of R$473 million (~$89.9 million) – the highest in the fashion industry in Brazil.

The digital channel now represents 17 per cent of total sales, driven by the prior years’ investments which will enable continued growth within this channel without compromising the company’s profitability. The integration of online and bricks and mortar operations at Sao Paulo DC resulted in an 8 percentage point increase in share of new inventory within e-commerce sales year-to-date.

“We opened 18 stores year to date advancing toward our goal of 30–37 openings by year-end, with a focus on expanding into new markets. Our new store formats continue to deliver above average performance, positioning us well to scale sustainably across different market environments. We’ve completed 16 store renovations so far this year, with two more scheduled for completion. These renovations and new store openings, together with continued improvements in our digital and omni-channel journey and strengthened fashion execution, have enabled us to expand our active customer base and improve our NPS,” Faccio added.

Fibre2Fashion News Desk (RR)

Brother Internationale Industriemaschinen GmbH, a globally recognized leader in in- dustrial sewing, headquartered in Emmerich am Rhein, today announced the acquisition of the automation division of the long-established Konrad Busche GmbH & Co. KG. This strategic move strengthens Brother’s capabilities in industrial automation and further positions the company as a comprehensive partner for the manufacturing industry.

Brother Internationale Industriemaschinen GmbH has acquired the automation division of Konrad Busche GmbH & Co KG, enhancing its industrial automation capabilities.
The move aligns with Brother’s CS B2027 strategy to expand beyond apparel into non-apparel sectors, particularly automotive, combining global reach with Busche’s automation expertise.

Founded in 1950, Konrad Busche GmbH & Co. KG has long been recognized as a reliable and innovative provider of automation solutions, particularly for the automotive sector. By integrating Busche’s automation business, Brother combines its global experience in industrial manufacturing with Busche’s deep technological expertise in automation.

“This acquisition marks an important milestone in our strategic development,” said Jörg Haan, Managing Director of Brother Internationale Industriemaschinen GmbH. “The combination of Brother’s global presence and Busche’s proven expertise in automation creates significant added value for our customers worldwide.”

Under Brother’s ownership, Busche’s existing technologies and extensive know-how—especially in the automotive sector—will have optimal conditions to continue growing and to jointly set new standards in automation and sewing technology.

This acquisition represents a successful synergy between two trusted companies, which will now collaboratively develop tailored solutions for the manufacturing of tomorrow.

Strategic Background

As part of its mid-term strategy CS B2027 (fiscal years 2025–2027), the Brother Group aims to strengthen profitability and increase long-term corporate value by accelerating the transformation of its business portfolio. In the industrial sewing seg- ment, the Group is particularly focused on expanding the non-apparel sector as a core strategic pillar to generate stable profits and cash flow, with a specific emphasis on automotive applications such as airbags.

Note: The headline, insights, and image of this press release may have been refined by the Fibre2Fashion staff; the rest of the content remains unchanged.

Fibre2Fashion News Desk (HU)

Following the success of its first showroom, staged in Riyadh during the local Fashion Week in October 2025, the Milan-based trade show for cutting-edge fashion, White Milano, with the support of Saudi Arabia’s Ministry of Culture and now also its Ministry of Tourism, has become an official partner of the forthcoming Riyadh Fashion Week, scheduled for October 2026.

“Saudi Arabia’s Ministry of Tourism will in turn partner with White in Riyadh to support efforts to invite buyers and fashion professionals from around the world, with the goal of making Riyadh the epicentre of fashion and a premier tourist destination,” a statement said.
 
The news was announced during a roundtable dedicated to strengthening relations between Italy and Saudi Arabia, held as part of Tourise 2025, the Global Tourism Summit in Riyadh, at which a $113 billion investment plan was unveiled to drive the future of the global tourism ecosystem. Brenda Bellei Bizzi, CEO of M.Seventy, represented White Milano at Tourise, an event also committed to fostering connections between fashion, art, and tourism through innovative projects and global collaborations.

Leading the Italian delegation was Italy’s Minister of Tourism, Daniela Santanchè, who attended alongside numerous leading names of Made in Italy, including Acque e Terme di Fiuggi, Alpemare, Arsenale, Eurobuilding, Ferrovie dello Stato Italiane, ITA Airways, Mangia’s, MSC Crociere, Nicolaus Group, Sicis, Technogym, Venini and, indeed, White Milano.
 
“The meeting underscored the importance of consolidating collaborations between the institutions and the economic and cultural players of the two countries, marking a significant moment of international dialogue and cooperation aimed at promoting relationships, beauty, culture, and creativity as engines of sustainable development and instruments for shared economic and cultural growth,” the statement continued.
 
Riyadh Fashion Week 2026 therefore aims to present itself as a cutting-edge platform where fashion, art, design, and beauty can come together in a shared narrative, generating value for participating brands and for the country’s entire creative and tourism ecosystem. “White Milano will play a leading role,” said Brenda Bellei Bizzi. “Riyadh is undergoing a period of major transformation, and our group aims to support this evolution by establishing a permanent, operational local office to drive the business development of our client companies.”