Pronovias launches strategic plan, cuts 25 percent of workforce

Spanish bridalwear business Pronovias Group has announced the launch of a strategic plan through which it has said it will cut around 25 percent of its entire workforce.

Building on a transformation process introduced at the beginning of 2023, the scheme is aimed at boosting the profitability, growth and consolidation of the company, and will begin with a new adjustment programme centred around layoffs that will impact staff at its Barcelona headquarters.

Employees at the location have already been presented with an employment regulation file (ERE), a Spanish process of collective dismissal that will impact up to around 85 of the 332 employees.

In a release, the group said the move was necessary in order to accelerate a new roadmap aimed at ensuring the future of the company, with the goal of building “an operating model appropriate to the characteristics of the current market” and “the capacity to explore all growth opportunities in strategic markets, both new and mature”.

This roadmap, which is to span 2025 to 2027, includes a particular emphasis on the US market, where Pronovias said it aspires to double its current turnover volume. As such, further strategies will be outlined at a later date, and are to include a diversification of its brand portfolio and the introduction of a new distribution strategy designed to improve sales volumes.

This, however, will follow a series of adjustment plans and management restructuring at the firm, for which sales dropped 8.9 percent in the fiscal year of 2023, with an EBITDA of 2.4 million euros. Net losses at the group also reached 98.1 million euros, reflecting the challenges currently faced by the global bridal market that has been struggling since the beginning of the pandemic.