Kering: Q3 revenue remains stable as jewelry and eyewear offset Gucci contraction

French luxury group Kering released its revenue results for the third quarter of 2026 on October 22, 2026, generating 3.35 billion euros (3.76 billion dollars). The total represents a stable performance on a reported basis and a 1 percent decline on a comparable basis year-over-year. Performance was supported by a positive currency effect of one percentage point.

In the first nine months of 2026, group revenue reached 10.57 billion euros, representing a 2 percent decline on a reported basis and remaining stable on a comparable basis.

The company continued to streamline its retail distribution footprint across all regions. During the first nine months of the year, Kering closed 128 stores and opened 23 stores, completing 105 net store closures. This total surpassed its initial full-year target of 100 net closures ahead of schedule. The group now plans at least 125 net store closures for the full year 2026.

"Third-quarter revenue reflects the phasing we anticipated, in a softer macroeconomic environment," stated Kering chief executive officer Luca de Meo. "The recovery of Gucci remains our defining priority."

Fashion and leather goods segment impacted by retail soft demand

The Kering Fashion & Leather Goods division reported revenue of 2.74 billion euros in the third quarter of 2026, falling 1 percent on a reported basis and 3 percent on a comparable basis. Sales across the directly operated retail network, including e-commerce, dropped 3 percent on a comparable basis. Wholesale and other revenues for the division grew 4 percent on a comparable basis.

Italian fashion house Gucci recorded third-quarter revenue of 1.29 billion euros, a decrease of 4 percent as reported and 6 percent on a comparable basis. Retail sales for Gucci dropped 9 percent on a comparable basis, impacted by lower store traffic in Mainland China and Japan. Wholesale revenue for the brand climbed 45 percent on a comparable basis to 120 million euros, benefiting from an order-book rebound against a low comparison base.

Excluding Gucci, directly operated retail sales across the fashion and leather division grew 2 percent on a comparable basis. French fashion house Saint Laurent recorded sustained growth in Western Europe and North America. Italian brand Bottega Veneta outperformed across key regional markets, driven by leather goods momentum and diversification into ready-to-wear. French brand Balenciaga showed resilience in leather goods, while Italian tailor Brioni maintained strong growth through its bespoke services. British house Alexander McQueen continued its strategic repositioning by streamlining its retail footprint.

Jewelry and eyewear divisions deliver double-digit momentum

Kering Jewelry delivered revenue of 239 million euros, reflecting a 12 percent increase as reported and an 11 percent rise on a comparable basis. Retail network sales grew 18 percent on a comparable basis. French jeweler Boucheron generated sustained sales in South Korea and Japan, while Italian brand Pomellato experienced momentum in Japan.

Kering Eyewear recorded revenue of 373 million euros, up 6 percent on a reported basis and 4 percent on a comparable basis. Growth was supported by regional commercial expansion, the 40th anniversary of Danish brand Lindberg, and the launch of the autumn/winter 2026 collection from Hawaiian eyewear brand Maui Jim. Revenue for corporate and other activities fell 5 percent on a reported basis to 27 million euros, though Italian porcelain maker Ginori 1735 achieved double-digit growth.

Looking ahead, Kering confirmed its financial outlook to improve its recurring operating margin for the full year 2026. The company plans to achieve this through ongoing cost-efficiency measures while maintaining investment in brand desirability.