Group 1 - Kering shares increased over 8% following the announcement of better-than-expected third-quarter results [1] - The stock has risen 46% year-to-date and has more than doubled since the lows in April [1]

Group 1 - The fashion house's revenue increased by 9% compared to the same period last year, after adjusting for currency movements [1] - There is growing optimism for an upturn in demand for luxury goods within the industry [1]

Core Insights - Kering reported a 10% decline in Q3 2025 revenue to €3.4 billion ($3.94 billion), with a 5% decrease on a comparable basis [1] - For the first nine months of 2025, total revenue was €11 billion, down 14% as reported and 12% on a comparable basis [1] - The performance of Kering's brands varied, with Gucci experiencing a significant decline while some other brands showed resilience [2][3][4] Group Performance - Gucci's revenue fell to €1.3 billion, an 18% drop on a reported basis and 14% on a comparable basis, with direct store sales down 13% and wholesale revenue down 25% [2] - Yves Saint Laurent generated €620 million, down 7% as reported and 4% on a comparable basis [2] - Bottega Veneta posted revenue of €393 million, a 1% decline as reported but a 3% increase on a comparable basis, with retail sales growing by 5% [3] - Other houses recorded €652 million in revenue, down 5% as reported but up 1% on a comparable basis, with stable retail sales and a 5% increase in wholesale revenue [4] Segment Performance - Kering Eyewear and corporate revenue totaled €448 million, an increase of 2% on a reported basis and 6% on a comparable basis, with Kering Eyewear's revenue rising 7% [5] - Kering Beauté recorded a 3% increase in revenue on a comparable basis, driven by new fragrance launches [6] - CEO Luca de Meo noted that while there was a sequential improvement in performance, it remains below market levels [6]

Core Viewpoint - Shares in Kering, the owner of Gucci, experienced a significant increase following the announcement of better-than-expected sales at its flagship brand, indicating a potential turnaround for the company [1] Group 1: Company Performance - Kering reported improved sales figures for Gucci, which exceeded market expectations, contributing to a surge in the company's stock price [1] - The positive sales performance at Gucci has raised optimism among investors regarding a long-awaited turnaround for Kering [1] Group 2: Market Reaction - The surge in Kering's shares reflects increased investor confidence in the luxury brand's recovery and future growth prospects [1]

Core Insights - Ermenegildo Zegna Group reported revenues of €1.33 billion for the first nine months of 2025, reflecting a decrease of 2.3% year-over-year from €1.36 billion in the same period of 2024, with a slight organic decline of 0.4% [2][4] - The third quarter of 2025 saw revenues of €398.2 million, a marginal increase of 0.2% year-over-year and a 3.6% organic growth [2][7] Revenue Performance - The ZEGNA brand generated €819.8 million in the first nine months of 2025, up 1.1% year-over-year, with Q3 growth of 2.0% [8][34] - Thom Browne's revenues fell to €177.4 million, down 19.4% year-over-year, with Q3 revenues of €48.2 million, a decrease of 9.6% [9][34] - TOM FORD FASHION reported revenues of €218.7 million, an increase of 2.2% year-over-year, with Q3 revenues of €66.0 million, up 0.9% [10][34] - Textile revenues decreased to €96.9 million, down 4.6% year-over-year, while other revenues increased by 16.3% to €13.1 million [11][34] Direct-to-Consumer (DTC) Channel - DTC revenues for the group reached €994.7 million in the first nine months of 2025, a growth of 4.3% year-over-year, with Q3 showing a 4.5% increase [13][14] - The ZEGNA brand's DTC revenues grew by 3.6% year-over-year, while Thom Browne and TOM FORD FASHION saw DTC growth of 2.9% and 9.4%, respectively [14][16] Wholesale Channel - Wholesale branded revenues decreased significantly to €221.2 million in the first nine months of 2025, down 24.0% year-over-year, with Q3 revenues of €67.0 million, a decline of 15.5% [19][20] - The decline in wholesale revenues is attributed to a strategic shift towards enhancing the quality of distribution and focusing on the DTC channel [7][19] Geographic Performance - Revenues in the Americas increased by 7.2% year-over-year to €384.1 million, while EMEA revenues decreased by 1.2% to €480.0 million [22][23] - The Greater China Region experienced a significant decline of 14.9% year-over-year, with revenues of €300.5 million [24] Significant Events - The company announced a partnership with Temasek, which acquired a 10% stake in the company through the purchase of treasury shares [27] - Sam Lobban was appointed as the new CEO of Thom Browne, effective September 2, 2025 [28]

Core Viewpoint - Kering's shares rose over 9% following a narrower sales decline and better-than-expected quarterly earnings Group Performance - Kering reported third-quarter sales of 3.42 billion euros ($3.97 billion), reflecting a 5% decline on a comparable basis year-on-year, an improvement from a 15% decline in the second quarter [2][4] - The company had anticipated group sales of 3.31 billion euros for the quarter, indicating a stronger performance than expected [4] Brand Performance - Sales at Gucci, Kering's largest brand, fell 14% year-on-year on a comparable basis to 1.34 billion euros, although smaller brands showed improvements that mitigated the overall impact [3] - The decline in Gucci's sales represented a significant sequential improvement from the previous quarter, where sales had dropped 25% [3][4] Currency Impact - Kering noted that currency fluctuations posed a "significant headwind," contributing to a 5% negative effect on sales [5] Management Commitment - CEO Luca de Meo emphasized the company's commitment to improving performance, stating that the third-quarter results, while better sequentially, were still below market expectations [5]

Core Insights - The company reported a 10% decrease in revenue for the third quarter [1] Group 1 - The revenue decline is part of the company's efforts to build momentum under the leadership of Luca de Meo [1]

Core Insights - Kering is preparing for a turnaround plan under new CEO Luca de Meo, focusing on cost-cutting, debt reduction, and store closures [1][2][4] - The company reported a 10% drop in revenues for Q3, but Gucci's performance showed signs of improvement [2][4] - Kering's organic sales fell 14% in Q3, which was better than the expected 16% decline [3][4] Financial Performance - Group revenues for Kering totaled 3.42 billion euros, a 5% decline in comparable terms, following a 15% drop in the previous quarter [4] - The company has a net debt of 9.5 billion euros as of June [5] - Kering's beauty division was sold to L'Oréal for 4 billion euros, which is expected to help reduce debt [5][9] Strategic Actions - Kering has closed 55 stores this year, with plans for further closures to rationalize its retail network [8] - The company is exploring asset sales and reviewing its portfolio, although the eyewear division remains a core asset [12][13] - De Meo's leadership is expected to bring more radical measures in the upcoming year [8] Market Trends - Kering's performance in North America improved, with retail revenues rising 3% in Q3 [19] - Organic sales in the Asia-Pacific region fell 10%, but there are signs of stabilization in consumer spending in mainland China [20] - Despite challenges in the luxury sector, Kering's share price has increased by 83% since De Meo's appointment [21] Brand Performance - Gucci's organic sales fell 4% in Q3, but there are promising signs of stabilization in leather goods [15][19] - The "other houses" division saw a 1% increase in sales, with jewelry performing particularly well [16] - Gucci's new creative director has generated significant media visibility and engagement, indicating a potential recovery in brand authority [17][18]

Core Insights - Sales at Kering's flagship brand Gucci fell by 14% in the third quarter [1] - Overall group sales decreased by 5% on a like-for-like basis, which was better than market expectations [1] Company Performance - Gucci's sales decline of 14% indicates challenges faced by the brand in the current market environment [1] - The overall group performance, with a 5% decrease in sales, suggests a broader impact on Kering's portfolio [1] Market Expectations - The results surpassed market expectations, indicating that while there are declines, they were not as severe as analysts had predicted [1]

Hermes appointed Grace Wales Bonner as its new creative director of men’s ready-to-wear collections amid a wider creative reshuffle in the luxury industry https://t.co/88emqsYWxI ...