Kering returns to growth as leather brands improve
Luxury group Kering has reported first-half revenues of €7.22 billion, up 1% on a comparable basis, with its Fashion & Leather Goods division showing signs of improvement during the second quarter.
The division generated revenues of €5.8 billion in the first six months, down 1% year on year on a comparable basis. Kering said performance improved sequentially, with leather goods remaining a key strength for several of its houses.
Bottega Veneta continued to outperform, with Kering highlighting strong performance from its leather goods offer. Balenciaga also identified leather goods as a source of strength during its ongoing brand repositioning.
Gucci, Kering’s largest brand, reported first-half revenues of €2.76 billion, down 5% on a comparable basis. However, the group said the brand showed improved momentum in the second quarter, supported by new product launches including the Borsetto and Paparazzo lines.
Saint Laurent and Brioni also delivered sequential improvements during the quarter.
Commenting on the results, Kering CEO Luca de Meo said: “Kering delivered improved performance in the second quarter, with revenue returning to growth. Across the Group, we are seeing early signs of progress in brand desirability, commercial momentum and operating performance.”
