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Stefano Gabbana, the co-founder of Italian luxury fashion house Dolce & Gabbana, has stepped down as chair of the business, marking a notable shift at a time when the company is contending with rising debt levels and a challenging global market for luxury goods.
According to company filings, Gabbana informed the group of his decision in December, with the transition taking effect on 1 January.
He has been succeeded in the role by chief executive Alfonso Dolce, the brother of co-founder Domenico Dolce, consolidating leadership responsibilities as the brand navigates a period of financial and strategic recalibration.
And Stefano Cantino has been appointed Co-CEO of Dolce & Gabbana amid a major leadership shake-up at the Italian fashion house. Cantino will work alongside CEO Alfonso Dolce.
The leadership change comes against the backdrop of mounting financial pressure. Dolce & Gabbana is reported to be carrying debt of approximately £391 million, a figure that has drawn increased scrutiny as the broader luxury sector experiences a slowdown. Once buoyed by resilient demand, particularly from Chinese consumers, the global luxury market has been hit by a global downturn in luxury demand.
While Gabbana is stepping back from formal governance responsibilities, he is not exiting the business. He will remain closely involved in its creative direction, continuing the longstanding partnership with Domenico Dolce that has defined the brand’s identity for four decades.
Founded in Milan in 1985, Dolce & Gabbana rose rapidly through the ranks of international fashion in the late 1980s and early 1990s. The duo’s creative collaboration has been central to Dolce & Gabbana’s success, blending Mediterranean influences with a bold aesthetic that helped the label stand out in an increasingly crowded luxury landscape.
Its signature style — characterized by its tailoring, Sicilian-inspired motifs and a celebration of Italian heritage — resonated with a global audience and celebrity endorsements also played a critical role in amplifying its profile, most notably when pop superstar Madonna commissioned the designers to create costumes for her 1993 Girlie Show tour.
Over the years, the company has navigated both industry shifts and reputational challenges, maintaining its position as a recognizable force in luxury fashion.
In recent times, Dolce & Gabbana has sought to diversify its revenue streams beyond its core fashion offering. The company has expanded into adjacent lifestyle categories, including homeware and hospitality, in an effort to capture a greater share of luxury consumer spending.
This strategy mirrored a broader trend within the luxury sector, with brands increasingly positioning themselves as lifestyle ecosystems rather than purely fashion labels, from the retail offer to travel and destinations.
A model walks the runway during the Dolce&Gabbana collection show at Milan's Fashion Week Men's Fall/Winter 2025-2026 in Milan. (Photo by PIERO CRUCIATTI/AFP via Getty Images)
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Yet diversification alone may not be sufficient to offset near-term financial pressures. Reports earlier this year indicated that Dolce & Gabbana had appointed a financial advisor and entered discussions with creditors regarding its debt obligations. The company has declined to comment in detail, stating only that negotiations with banks are ongoing.
Now the appointment of Alfonso Dolce as chair suggests a move toward tighter alignment between executive management and board oversight. As chief executive, he has already been responsible for steering the company’s operational strategy and his expanded role may facilitate more streamlined decision-making as the business works through its financial challenges.
In a brief statement, the company described Gabbana’s departure from the chair position as part of a “natural evolution” of its governance structure.
It added: “These resignations have no impact whatsoever on the creative activities carried out by Stefano Gabbana on behalf of the group.”
For Dolce & Gabbana, the coming years are likely to hinge on its ability to balance creative continuity with fiscal discipline. The enduring influence of its founders on the brand’s aesthetic provides a degree of stability in terms of identity, even as leadership responsibilities evolve.
For now, Stefano Gabbana’s continued involvement in the creative side of the business ensures that the brand’s core DNA remains intact. But his departure from the chair role signals recognition that, in today’s luxury landscape, creative vision must be matched by robust financial management.
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