Kering revenue smashes £6bn despite slowdown in Gucci sales

Kering Gucci
// Kering revenue up 15.3% to £6.8bn in the 6 months to June 30
// Gucci’s sales grew 16.3% over the period, compared with a 37% growth last year
// Shares fell by 8% in early trading

Kering has reported a rise in first-half revenues despite a slowdown in Gucci’s sales growth.

Revenues in the parent company of luxury retailers such as Yves Saint Laurent and Gucci rose 15.3 per cent to €7.6 billion (£6.80 billion) in the six months to June 30 on a comparable basis.

Gucci’s sales grew by 16.3 per cent over the period, compared with a 37 per cent comparable sales growth in 2018.

The Italian luxury brand’s sales account for over half of Kering’s revenues.

Sales at Yves Saint Laurent rose 16.6 per cent while at Bottega Veneta sales fell 3.8 per cent.

Balenciaga and Alexander McQueen saw the strongest growth, with an overall sales rise of 20.3 per cent.

“We created an additional €1.2 billion (£1.07 billion) in revenue in the six months, and our operating margin reached a record 29.5 per cent,” Kering chairman and chief executive, François-Henri Pinault said.

“Our strategy is clearly paying off.”

Shares fell by eight per cent in early trading, which Kering said was its worst trading day since last October.

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