Kering's Q1 Revenue Up 2% Driven by Direct Sales Growth
Kering reported first-quarter revenue of €5,077 million, a 2% increase as reported and 1% on a comparable basis. Growth was primarily driven by the directly operated store network.
Luxury group Kering announced first-quarter revenue reached €5,077 million, up 2% as reported and 1% on a comparable basis. The company noted an improvement in trends throughout the period.
Revenue from the directly operated store network, including e-commerce, rose 4% on a comparable basis. This growth was supported by strong momentum in Western Europe and Japan, while the Chinese market showed gradual recovery. North American sales declined. Wholesale revenue decreased by 10% as houses continued to reduce their wholesale share.
Gucci's revenue increased 1% to €2,616 million, with direct sales up 1%. Yves Saint Laurent saw an 8% comparable increase to €806 million, and Bottega Veneta's revenue remained stable at €395 million.
Kering Eyewear reported an 11% comparable increase in revenue to €433 million. The "Other Houses" category, including Balenciaga and Alexander McQueen, reported a 9% decrease in revenue, though direct sales were up 7%.
Chairman and CEO François-Henri Pinault described the performance as mixed but encouraging, stating that initiatives to enhance brand desirability and profile are laying the groundwork for sustained growth.