Gucci sales fall 6% as the novelty of Demna's first collections fades; Kering revenue flat

French luxury group Kering said after the market close on Thursday, 22 October, that third-quarter revenue was flat at reported exchange rates at €3.35 billion, a 1% comparable decline, WWD reported. That was slightly better than the 1.3% fall analysts expected.

Gucci misses

Gucci, the group’s main profit engine, posted a 6% drop at constant exchange rates, worse than the 5.4% decline forecast, after a 2% fall in the second quarter. Kering said the effect of newness was weaker than when creative director Demna’s first designs reached stores; store traffic remained the main constraint, though conversion and average prices improved. Fashion and leather goods overall fell 3%, while jewellery rose 11% and eyewear 4%.

Guidance kept

“The recovery of Gucci remains our defining priority,” chief executive Luca de Meo said. Kering confirmed it still aims to improve its recurring operating margin in 2026. It has yet to name successors to Anthony Vaccarello at Saint Laurent and Seán McGirr at Alexander McQueen.