Italy remains central to Kering's plans, with the French luxury group having no intention of moving production out of the country, Chief Executive Luca de Meo said on Wednesday.
Kering (KER.PA) is executing a turnaround, restoring its balance sheet, reducing retail footprint, and stabilizing Gucci's sales declines. Operational leverage is the key upside driver, with management cutting costs, rationalizing inventory, and focusing on store productivity to outpace consensus earnings recovery. Jewelry and eyewear segments are gaining traction, diversifying profit sources beyond Gucci, while cash flow and net debt have improved materially.
Kering remains a Hold as Q2 2026 showed meaningful improvement but not a full recovery, especially at Gucci. PPRUF's group revenue returned to growth after twelve quarters, with Gucci's decline narrowing, yet traffic and mainland China remain weak. Management expects roughly flat group growth in Q3; Gucci's new collections show promise, but Q3 is pivotal for confirming a turnaround.
| Textiles, Apparel & Luxury Goods Industry | Consumer Discretionary Sector | Luca de Meo CEO | XFRA Exchange | 492089107 CUSIP |
| FR Country | 43,731 Employees | 1 Jun 2026 Last Dividend | - Last Split | - IPO Date |
Kering SA, originally founded in 1963 and headquartered in Paris, France, stands as a beacon in the luxury goods industry, managing an impressive portfolio of top-tier fashion, leather goods, and jewelry brands. With its global reach extending across France, the Asia-Pacific region, Western Europe, North America, and Japan, Kering SA showcases a strong international presence. The company has undergone significant transformation throughout its history, notably changing its name from PPR SA to Kering SA in June 2013, reflecting its evolution and refined focus on luxury and high-end products. Kering SA's growth and success are built on its commitment to creativity, innovation, and sustainable development within the luxury sector.
Among the illustrious brands under Kering SA's umbrella are Gucci, Saint Laurent, Bottega Veneta, Balenciaga, Alexander McQueen, Brioni, Boucheron, Pomellato, DoDo, Qeelin, Ginori 1735, Kering Beauté, and Kering Eyewear. Each brand maintains its unique identity and heritage while benefiting from Kering SA's expertise in global brand development and market expansion.