Shares of Kering (KER.FR), which is responsible for brands such as Gucci and Yves Saint Laurent, are down 5% today after Q1 results fell short of expectations. Gucci sales fell 25% in the first quarter. Efforts to revive Kering SA’s biggest brand have shown no signs of turning around amid a difficult period for the luxury goods industry.
“We believe 2025 will be another painful transition year for Gucci,” analysts at Cit wrote in a note. Remember, the brand accounts for almost 60% of the company’s total profits.
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Create account Try a demo Download mobile app Download mobile appSelected Quarterly Results:
- Gucci like-for-like revenue -25%, estimated -23.6%
- Yves Saint Laurent like-for-like revenue -9%, estimated -8.03%
- Bottega Veneta like-for-like revenue +4%, estimated +7.71%
- Other Fashion Houses like-for-like revenue -11%, estimated -7.18%
- Eyewear and Corporate like-for-like revenue +3%, estimated +5.84%
- Revenue €3.88bn, -14% y/y, estimated €4.09bn
- Gucci revenue €1.57bn, -24% y/y, estimated €1.62bn
- Yves Saint Laurent revenue €679m, -8.2% y/y, estimated €690.7m EUR
- Bottega Veneta revenues EUR 405m, +4.4% y/y, estimated EUR 423.2m
- Other House revenues EUR 733m, -11% y/y, estimated EUR 775.8m
- Eyewear and corporate revenues EUR 558m, +4.1% y/y, estimated EUR 574.4m
Kering is “planning cautiously” for Q2 and continues to expect a double-digit revenue decline for the group; it still believes the second half of the year should be better than the first half.
Kering (KER.FR) shares are trading at their lowest levels since 2015. Source: xStation
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