Core Viewpoint - Kering anticipates a return to growth despite reporting another quarter of sales declines, with Gucci underperforming in the new CEO's first quarter [1][2] Group 1: Financial Performance - Kering's fourth-quarter sales fell 3% on a comparable basis to 3.9 billion euros ($4.64 billion), slightly exceeding FactSet estimates [1] - Gucci experienced a 10% decline on a comparable basis in the quarter, which was also slightly better than consensus expectations [2] - In 2025, Kering's sales decreased by 10% to 14.7 billion euros, with recurring operating income down 33% year-on-year and operating margin declining to 11.1% due to weaker sales [2] Group 2: Leadership and Future Outlook - CEO Luca de Meo acknowledged that 2025 did not reflect Kering's full potential, indicating a need for improvement [2] - Following the earnings report, Kering's shares surged over 13% shortly after the market opened, reflecting investor optimism about future growth [1]

Gucci sales were down 16% on year. In the previous three months, the label's sales fell 18%. ...

Gucci sales fell in the final months of last year as Kering struggles to revive its biggest brand https://t.co/lxgmpB3PZn ...

Kering reported a slightly smaller-than-expected drop in fourth-quarter sales on Tuesday, as new CEO Luca de Meo battles to stabilise the Gucci owner. ...

Core Insights - Kering's 2025 financial results show a significant decline in revenue and operating income, with a reported revenue of €14.7 billion, down 13% year-over-year, and a recurring operating income of €1.6 billion, down 33% from 2024 [1][6][7]. Financial Performance - Revenue for 2025 was €14,675 million, a decrease of 13% as reported and 10% on a comparable basis [1][6]. - Recurring operating income was €1,631 million, down 33% from €2,440 million in 2024, resulting in a recurring operating margin of 11.1%, down from 14.5% [2][6][8]. - Recurring net income attributable to the Group was €532 million, a decline of 56% from €1,206 million in 2024 [2][8]. - Free cash flow from operations was €4.4 billion, with a decrease of 35% to €2.3 billion when excluding real estate deals [7][27]. Segment Performance - Gucci's revenue fell to €5.99 billion, down 22% as reported and 19% on a comparable basis, with a recurring operating income of €966 million [9][11][13]. - Yves Saint Laurent generated €2.64 billion in revenue, down 8% as reported and 6% on a comparable basis, maintaining a recurring operating margin of 20% [14][16]. - Bottega Veneta's revenue was stable at €1.7 billion, up 3% on a comparable basis, with a recurring operating income of €267 million [17][19]. - Revenue from Other Houses was €2.9 billion, down 10% as reported and 6% on a comparable basis, with a recurring operating income of -€112 million [20][22]. Strategic Developments - Kering announced a strategic partnership with L'Oréal for the sale of Kering Beauté, which will be classified as discontinued operations [5][50]. - The company plans to present a roadmap for growth and margin improvement during the Capital Markets Day on April 16, 2026 [3][30]. Dividend Information - The Board of Directors proposed an ordinary dividend of €3.00 per share and an exceptional dividend of €1.00 per share related to the Kering Beauté sale [2][28].

Core Insights - Kering's 2025 financial results show a significant decline in revenue and operating income, with a reported revenue of €14.7 billion, down 13% year-over-year, and a recurring operating income of €1.6 billion, down 33% from 2024 [2][7][8]. Financial Performance - Revenue for 2025 was €14,675 million, reflecting a 13% decrease as reported and a 10% decrease on a comparable basis [2][8]. - Recurring operating income was €1,631 million, representing a 33% decline from €2,440 million in 2024, with a recurring operating margin of 11.1% compared to 14.5% in 2024 [7][8][10]. - Recurring net income attributable to the Group was €532 million, down 56% from €1,206 million in 2024 [9][26]. - Free cash flow from operations was €4.4 billion, with a decrease of 35% to €2.3 billion when excluding real estate deals [27]. Segment Performance - Gucci's revenue was €5.99 billion, down 22% as reported and 19% on a comparable basis, with a recurring operating income of €966 million [11][13]. - Yves Saint Laurent generated €2.64 billion in revenue, down 8% as reported and 6% on a comparable basis, maintaining a recurring operating margin of 20% [14][16]. - Bottega Veneta's revenue was stable at €1.7 billion, up 3% on a comparable basis, with a recurring operating income of €267 million [17][19]. - Revenue from Other Houses was €2.9 billion, down 10% as reported and 6% on a comparable basis, with a recurring operating income of -€112 million [20][22]. - Kering Eyewear and Corporate segment revenue was €1.6 billion, up 1% as reported and 3% on a comparable basis, with a recurring operating income of €252 million [23][24]. Strategic Outlook - Kering aims to return to growth and improve margins in 2026, focusing on enhancing brand desirability and operational efficiency [4][30]. - A roadmap for this transformation will be presented during the Capital Markets Day on April 16, 2026 [4][30]. Dividend Proposal - The Board of Directors proposed an ordinary dividend of €3.00 per share and an exceptional dividend of €1.00 per share related to the sale of Kering Beauté [3][28].

Market Outlook - The market is expected to experience volatility for the next several months due to ongoing policy changes and uncertainty surrounding the Federal Reserve's actions [2][3][4] - Despite the volatility, the consumer remains resilient, and the labor market shows strength, indicating that a recession may not be imminent [6][7] - Earnings for the S&P 500 are projected to remain strong, suggesting a stock pickers market where individual company performance will be crucial [7][8] Consumer Behavior - The high-end consumer market, particularly brands like LVMH, continues to thrive, driven by international buyers and sustained spending [10][11][13] - The middle segment of the economy has been negatively impacted, but high-end goods are still in demand, indicating a K-shaped economic recovery [10][11] - Interest rates may influence consumer spending patterns, with potential for increased buying activity if rates decrease [12] Company Insights - Alphabet is viewed as a strong investment opportunity, particularly due to its vertical integration in AI, which sets it apart from competitors [15][16] - Cybersecurity companies like CrowdStrike and Fortinet are expected to benefit from the growing need for advanced security solutions as AI technology expands [17][18] - The overall market for cybersecurity is anticipated to grow, driven by the necessity for enhanced security measures [18][19]

Bernard Arnault appointed his son Antoine to LVMH’s executive committee, another strong sign that he intends for his children to play an important role in the future of the luxury goods conglomerate https://t.co/o6WjiTxzql ...

Core Viewpoint - Tapestry, Inc. has received a "Buy" rating from BTIG with a new price target of $175, indicating positive investor sentiment despite mixed actions from other investors [1][6]. Investment Actions - Thrivent Financial for Lutherans has reduced its investment in Tapestry by selling 31,329 shares, representing a 43.3% decrease in their holdings, leaving them with 40,966 shares valued at approximately $4.6 million [2]. - Keybank National Association OH has increased its stake in Tapestry by 14.8%, acquiring an additional 5,952 shares, bringing their total holdings to 46,066 shares valued at around $5.2 million [3]. - The National Pension Service has purchased a new stake in Tapestry valued at approximately $608,000 during the third quarter, indicating growing interest from institutional investors [4]. Stock Performance - Tapestry's stock price is currently $152.10, reflecting a 6.22% increase, with fluctuations between $144.38 and $153.10 today, and a 52-week high of $153.13 and a low of $58.39 [5]. - The market capitalization of Tapestry stands at approximately $31.13 billion, with a trading volume of 3,250,077 shares today [5].

Core Viewpoint - Tapestry, Inc. (NYSE:TPR) has shown significant stock performance, with shares increasing by 89% over the past year and 17.8% year-to-date, indicating strong market confidence in the company [1]. Financial Performance - UBS raised Tapestry's share price target to $125 from $123 while maintaining a Neutral rating, anticipating that the upcoming second-quarter results will exceed analyst earnings per share forecasts [1]. - Wells Fargo subsequently increased Tapestry's share price target to $165 from $142 and maintained an Overweight rating, citing strong growth from the Coach brand, which saw a revenue increase of 25% [1]. Brand Performance - The Coach brand under Tapestry has been highlighted for its remarkable performance, with analysts noting that it has exceeded expectations in recent quarters [1]. - Jim Cramer praised the revitalization of the Coach brand and the leadership of Tapestry's CEO, emphasizing the company's remarkable achievements [2].