KERING SLOW DOWN

According to Kering’s third quarter sales figures, the group’s turnover fell by 13% at published exchange rates and by 9% on an underlying basis, to 4.46 billion euros.

Kering’s revenue is in line with analysts’ estimates, most of whom had already lowered their expectations for the quarter and their stock price targets.

Gucci, Kering’s largest brand, reported revenue of €2.22 billion, down 14% on a reported basis and 7% on an underlying basis. Bottega fell 13 percent and Yves Saint Laurent 16 percent.

François-Henri Pinault, said that beyond the difficult macroeconomic conditions and the slowdown in demand in the luxury industry, “our third quarter turnover reflects the impact of our decision to further raise our brands and our distribution”.

“Managing our homes in the current market environment and regaining our position and influence” with the organization put in place by Kering in July. Following the acquisition of Creed last week, one of the world’s most distinguished fine fragrance houses has joined our family, propelling our beauty ambitions.

The cyclical slowdown in consumer demand has led Kering to make a number of changes, including a management restructuring.