Giorgio Armani, the trend-setting Italian fashion group, reported a 14.6 per cent fall in profits in 2008 in spite of a slight rise in revenues and the opening of 50 new stores, as its owner reflected on a “difficult” year for the industry.

The group, whose founder and sole shareholder, Giorgio Armani, is regarded as the doyen of Italian fashion designers, had consolidated revenues of €1.6bn and Ebitda of €303m, representing a margin of 18.7 per cent.