Gucci owner Kering's Q3 revenue flat amid reduced store traffic

Overview

• France luxury goods group's Q3 2026 revenue stable as reported, down 1% on a comparable basis

• Gucci Q3 revenue declined 4% as reported, 6% on a comparable basis

• Kering Jewelry Q3 revenue grew 12% as reported, 11% on a comparable basis

Outlook

• Kering confirms objective of improving recurring operating margin in 2026

• Company says short-term revenue trends remain impacted by a challenging macroeconomic environment

• Kering says recovery at Gucci is gradually taking shape

Result Drivers

• LOWER TRAFFIC - Co said reduced store traffic was the main constraint on Q3 revenue

• GUCCI COMPARISON BASE - Gucci Q3 revenue decline attributed to tougher comparison base and less pronounced newness effect

• JEWELRY DEMAND - Kering Jewelry Q3 growth driven by strong demand for iconic collections and momentum in Japan and South Korea

Company press release:

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 6 "strong buy" or "buy", 16 "hold" and 5 "sell" or "strong sell"

• The average consensus recommendation for the apparel & accessories retailers peer group is "buy."

• Wall Street's median 12-month price target for Kering SA is €260.00, about 20.2% above its October 21 closing price of €216.25

• The stock recently traded at 24 times the next 12-month earnings vs. a P/E of 30 three months ago

Reuters Recommended Reads

• Oct 22 - Prada shows resilience in tough luxury market, hot weather weighs on shop traffic

• Oct 22 - Hermes revenue growth slows as Chinese consumers cut spending on accessories

• Oct 21 - Moncler reports flat Q3 revenue, held back by weaker tourist spending in Europe

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)