×
68 065
Fashion Jobs
LULULEMON
Assistant Manager, Operations | San Marcos Premium Outlet
Permanent · San Marcos
LULULEMON
Assistant Manager, Operations | Scottsdale Quarter
Permanent · Scottsdale
LULULEMON
Assistant Manager, Operations | Broughton st (Savannah, ga)
Permanent · Savannah
GAP
General Manager - Topanga Plaza
Permanent · Los Angeles
ADIDAS
Senior Finance Analyst
Permanent · Portland
ADIDAS
Key Account Manager - Macy's
Permanent · New York
MACY'S
Asset Protection Detective, Bay Fair - Full Time
Permanent · San Leandro
MACY'S
Asset Protection Detective, North Point - Full Time
Permanent · Alpharetta
MACY'S
Asset Protection Detective, Santa Rosa Plaza - Full Time
Permanent · Santa Rosa
MACY'S
Asset Protection Detective, West Covina - Full Time
Permanent · West Covina
MACY'S
Asset Protection Captain, Sunrise - Full Time
Permanent · Citrus Heights
MACY'S
Asset Protection Detective, Center City - Full Time
Permanent · Philadelphia
MACY'S
Asset Protection Detective, Kaahumanu Center - Full Time
Permanent · Kahului
MACY'S
Asset Protection Detective, Lakeside - Full Time
Permanent · Metairie
MACY'S
Manager, Asset Protection Multi-Store
Permanent · Maplewood
MACY'S
Asset Protection Security Guard, Metro Center - Full Time
Permanent · Washington
MACY'S
Senior Manager Omni Operations
Permanent · Chicago
MACY'S
Manager, Merchandise Execution
Permanent · Santa Clara
MACY'S
Manager, Merchandise Execution
Permanent · Santa Clara
MACY'S
Manager, Merchandise Execution
Permanent · San Jose
ROSS STORES
Store Protection Specialist
Permanent · Burbank
ROSS STORES
Store Protection Specialist
Permanent · Union City
By
Reuters API
Published
Oct 19, 2021
Reading time
2 minutes
Share
Download
Download the article
Print
Click here to print
Text size
aA+ aA-

Asia curbs sales growth at Kering's fashion brand Gucci

By
Reuters API
Published
Oct 19, 2021

French luxury group Kering's star fashion brand Gucci grew sales by just 3.8% in the third quarter, missing analyst expectations as the pace of recovery from COVID-19 slowed down sharply, particularly in Asia, following a bumper second quarter.


Gucci Spring 2021 - Photo: Courtesy of Gucci



Luxury goods groups have bounced back strongly from the fallout of the health emergency, lifted by pent-up demand for high-end wares as lockdowns ease across the world and consumers return to socialising.

However, shopping by travelling tourists - a key source of revenue for the sector - remains well below pre-pandemic levels.

Overall sales at Kering rose by 12.2% on a comparable basis, which strips out the effect of acquisitions and currency fluctuations, a touch above an analyst consensus forecast for an 11% increase.

The group flagged a strong performance in the United States and improving sales in western Europe but a resurgence of COVID-19 cases in late July and August weighed on revenue in the key Asia-Pacific region, where Gucci sales were down 3%.

The label, which accounts for more than half of annual sales, has been losing steam compared to some rivals after years of stellar growth, becoming the main focus for investors.

Analysts had expected revenue at Gucci to rise by 9% in the three months to end-September after an 86% surge in the previous quarter. By comparison, LVMH's fashion and leather goods division, home to Louis Vuitton and Dior, posted a 24% increase in third-quarter sales.

Kering's finance chief, Jean-Marc Duplaix, told reporters the group expected Gucci's growth to accelerate in the fourth quarter after its new Aria collection, which includes a broader array of products than previous collections, hit stores in late September.

"We expect a very intense end of the year," he said, noting the collection had been well received in markets around the world.

He added the group was looking to support the brand with investments in events, communication, stores and recruitment, efforts that would hit the brand's margin growth in the second half.

Sales of smaller fashion labels Yves Saint Laurent and Bottega Veneta grew briskly over the quarter, led by double-digit growth in North America and Europe, while their performances were also more muted in the Asia-Pacific region.

Asia has been a key growth driver for the luxury sector, in particular China which is being closely watched by luxury investors concerned that government measures aimed at reducing the wealth gap and slower economic growth could dampen appetite for high-end goods.

© Thomson Reuters 2022 All rights reserved.