Kering saw strong sales in its jewelry and watch divisions in 2024, even as a “difficult year” for the group led to a downturn in other segments.
Sales at Kering’s “other houses” category — which includes jewelry and watches as well as other fashion products — slipped 8% on a reported basis to EUR 3.22 billion ($3.32 billion), the French luxury conglomerate said Tuesday. Revenue at stores that were open a year earlier fell 7%. However, lower revenue from the segment’s Alexander McQueen fashion brand largely contributed to the downturn in the division, while sales of jewelry performed better, primarily in the fourth quarter, Kering noted.
“Jewelry houses continued to make progress, with a particularly healthy performance at Boucheron,” the owner of high-fashion houses Gucci and Yves Saint Laurent noted. Kering’s other jewelry brands include Pomellato and Qeelin.
Revenue from other houses slipped 4% year on year in the fourth quarter to EUR 818 million ($844 million). That figure is an improvement from the previous quarter, when sales were down 15% year on year.
Group sales fell 12% in 2024 on a reported basis and at stores open a year earlier to EUR 17.19 billion ($17.74 billion). Profit for the full year plunged 62% to EUR 1.13 billion ($1.17 billion).
“In an economic and geopolitical environment that remains uncertain, Kering continues to deploy its strategy with the aim of achieving a profitable long-term growth trajectory,” the company noted. “The group is stepping up the initiatives needed to support the development and growth of its houses, while implementing with determination the actions required to increase its efficiency.”
Image: A Boucheron store in Paris. (Shutterstock)
Source : Rapaport
