Kering sees 23% "rapid pace" rise in Q3 revenues
French luxury group Kering has reported Q3 group revenue of £4.48 billion (€5.14 billion), up 23% as reported and up 14% on a comparable basis to 2021 Q3 results.
Revenue in the directly operated store network continued to grow at a "rapid pace", up 19% on a comparable basis, with all regions seeing growth.
Western Europe (+74%) and Japan (+31%) achieved "particularly outstanding performances", according to Kering. North America saw minor growth (+1%). AsiaPacific saw robust sales (+7%), despite the impact of COVID-19 restrictions in Mainland China.
In the third quarter, Gucci’s revenue totalled £2.25 billion (€2.581 billion), up 18% as reported and 9% on a comparable basis. Sales generated in directly operated stores grew 9% on a comparable basis.
The group said momentum remained very strong in Western Europe, supported by both local customers and tourists, particularly from the US. Conversely, this factor weighed activity in North America itself.
In Japan, revenue rose sharply. Performance in Mainland China was mixed, impacting sales in Asia-Pacific, where overall trends "posted a notable improvement".
Yves Saint Laurent
Yves Saint Laurent saw revenue of €916 million, up 40% as reported and up 30% on a comparable basis. Sales in directly operated stores rose sharply, up 38% on a comparable basis, driven by all product categories.
Revenue in Western Europe more than doubled relative to the third quarter of 2021 due to the resumption of tourism and the group's desirability with local customers. The group confirmed that "all other geographical zones saw strong growth".
Bottega Veneta’s revenue totalled €437 billion in the third quarter, up 20% as reported and up 14% on a comparable basis. Growth was driven by sales in directly operated stores, up 20% on a comparable basis, reflecting the reception of Matthieu Blazy’s first collection.
In the third quarter, revenue from Kering’s other houses totalled €995 million, an increase of 17% as reported and 13% on a comparable basis. Revenue from directly operated stores grew sharply, up 43% on a comparable basis.
Sales at Balenciaga and Alexander McQueen were "particularly buoyant" across all product categories. Brioni continued its rebound.
Kering Eyewear and Corporate
Third-quarter revenue from Kering Eyewear and corporate amounted to €253 million. Kering Eyewear achieved total sales of €246 million, up 23% on a comparable basis. Growth was sustained across all regions and distribution channels, with "significant contributions from Gucci and Cartier" and sharp growth in all brands.
François-Henri Pinault, Kering Chairman and Chief Executive Officer, commented: “Kering’s solid performances in the third quarter underscore the strength of the Group and the pertinence of our strategy. We delivered sharp top-line growth, both versus last year and from pre-pandemic levels. Our ongoing focus on the exclusivity of our brands and on the quality of their distribution are yielding very positive results and reinforce their positioning in their key markets.
“In an increasingly complex environment, we maintain the required flexibility to support our profitability and sustain our investments in the long-term outlook of all our Houses, Gucci first and foremost. We are as confident as ever in the potential and prospects of the Group.”