Kering on Wednesday shared its half-year financial results , revealing that its revenues fell 11% in the six months ending June 30. The group’s sales decline can largely be attributed to poor performance at Gucci , which accounts for roughly half of the group’s sales and two-thirds of its profit. The brand’s revenues were down 20% (or 18% on a currency-adjusted basis) at €4.
09 billion EUR. Kering has attempted to revamp the label over the last year, with the appointment of CEO Jean-François Palus and creative director Sabato de Sarno , whose more minimal design aesthetic has struggled to increase consumer demand amid a luxury slowdown. Saint Laurent , meanwhile, saw revenues fall by 9% (or 7% on a currency-adjusted basis) to €1.
4 billion EUR, and the conglomerate’s “Other Houses” division, which primarily includes Balenciaga and Alexander McQueen , was down 7% (or 6% on a currency-adjusted basis) to €1.7 billion EUR. Bottega Veneta’s revenues were flat when compared to the same period last year.
Kering experienced a significant decrease in Asia-Pacific during the first half of this year. In the region, excluding Japan, the group’s revenues were down 22% at €2.9 billion EUR.
In Western Europe, the company’s sales decreased by 7% to reach €2.55 billion EUR, and in North America, revenues fell by 9% to hit €2.1 billion EUR.
Japan’s sales, however, increased by 8% “mainly because of price differentials.” “Considering the uncertainties weigh.