Economic news
Kering posts 11% drop in Q2 sales, sees weak second half
2024.07.24 12:14
PARIS (Reuters) – Kering (EPA:) reported a bigger-than-expected drop in second-quarter sales and forecast a weak second half, as the French luxury group struggles to revive its key label Gucci and worries grow about a prolonged downturn in high-end spending.
Sales at the French luxury group which owns labels Gucci, Boucheron and Balenciaga, fell to 4.5 billion euros ($4.9 billion), an 11% drop on an organic basis, which strips out currency effects and acquisitions.
The figure was below analyst expectations for a 9% drop, according to a Visible Alpha consensus.
It also said second-half operating income could fall by around 30%, following a 42% drop in the first half.
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