Kering Sales Hold Flat as Gucci Slips and Jewelry Climbs 12 Percent

Kering reported third quarter revenue of 3,345 million euros on 22 October, stable on a reported basis and down 1% on a comparable basis. The headline number looks calm. Underneath it, the group is telling two very different stories at once.

One is Gucci, still the largest House in the portfolio and still shrinking. The other is everything else, where Saint Laurent, Bottega Veneta, Brioni, Kering Jewelry and Kering Eyewear are carrying the momentum. For anyone who follows the business of luxury, the gap between those two stories is the real news.

The numbers in brief

Kering Fashion and Leather Goods brought in 2,743 million euros, down 1% as reported and 3% on a comparable basis. Gucci accounted for 1,291 million euros of that total, down 4% as reported and 6% on a comparable basis.

Kering Jewelry rose 12% to 239 million euros, and Kering Eyewear rose 6% to 373 million euros. Over the first nine months of the year, the group generated 10,565 million euros, down 2% as reported and flat on a comparable basis.

By channel, sales in the directly operated stores, including e commerce, fell 3% on a comparable basis, while wholesale and other revenues rose 3%. Kering said traffic remained the main constraint, while conversion, average price and average ticket held up across most Houses.

Gucci's long repair

Kering's statement called the recovery of Gucci the group's defining priority. The House's own retail sales fell 9% on a comparable basis in the quarter. North America was its most resilient market, while lower traffic weighed on Asia Pacific, particularly mainland China, and on Japan.

There were signs of work in progress. Kering said conversion, average price and average ticket improved further at Gucci as new collections rolled out, with handbags at the front of the effort and ready to wear and shoes still key areas of focus. Gucci's wholesale revenue rose 45% on a comparable basis to 120 million euros, which the group linked to a low comparison base and order book effects.

Investors were not reassured. Kering's American Depositary Receipts fell 11% after the update, according to Reuters.

Where the momentum sits

Excluding Gucci, retail sales in Fashion and Leather Goods rose 2%. Saint Laurent grew on the strength of North America and Western Europe and strong engagement from its most valuable clients. Bottega Veneta again outperformed across key markets, helped by leather goods and new product introductions, and Brioni kept growing on the strength of its bespoke offer.

Jewelry was the standout. Boucheron kept its strong pace, helped by its Quatre and Serpent Bohème collections and good results in Japan and South Korea, and Pomellato built momentum in Japan. Sales in the jewelry division's own stores rose 18%.

Balenciaga held up in leather goods, while its ready to wear and shoes remained challenged. Alexander McQueen continued a repositioning built around British tailoring.

Fewer stores, sharper focus

Kering is also shrinking its footprint on purpose. It completed 105 net store closures in the first nine months of 2026, made up of 128 closures and 23 openings, which already beats its full year goal of 100. The group now plans at least 125 net closures for the year.

For a luxury group, closing stores is not only about cost. Fewer, better locations can protect the sense of scarcity and service that justifies high prices, especially when traffic is weak.

What it means for luxury

The quarter shows how much a single House can shape a group's results. Kering's other brands are growing, but Gucci is still large enough to hold the total flat.

It also shows where clients are spending. Jewelry, bespoke tailoring and focused leather goods are winning, which fits a wider pattern of buyers favouring lasting pieces over passing trends.

The next test is the fourth quarter, the most important selling season of the year. Watch Gucci's retail numbers first. If its new collections start to bring shoppers back through the door, the rest of the portfolio is already in a position to make the recovery count.