Kering Q1 Report 2024
“Kering’s performance worsened considerably in the first quarter. While we had anticipated a challenging start to the year, sluggish market conditions, notably in China, and the strategic repositioning of certain of our Houses, starting with Gucci, exacerbated downward pressures on our topline. In view of this revenue decline, together with our firm determination to continue investing selectively in the long-term appeal and distinctiveness of our brands, we now expect to deliver sharply lower operating profit in the first half of this year. All of us are working tirelessly to see Kering through the current challenges and rebuild a solid platform for enduring growth.”
Highlights
- Revenue from the directly operated retail network fell 11% on a comparable basis, as a result of lower store traffic. Trends in Western Europe, North America and Japan were in line with those of the fourth quarter of 2023, while a sharper decline was recorded in Asia- Pacific.
- Revenue in the Wholesale and Other segment was down 7% on a comparable basis, as the Group continues to strengthen the exclusivity of its Houses’ distribution.