PARIS—Kering Eyewear, part of the global luxury group Kering, has reported revenue of €914 million in the first half of 2024, up 5 percent as reported and up 6 percent on a comparable basis. In the second quarter, Kering Eyewear's sales rose by 3 percent both on a comparable basis and as reported, driven by solid progression of the brands in its portfolio, the Group said. Overall, revenue from the Kering Eyewear and Corporate segment amounted to €1.1 billion for the first half of 2024, mainly attributable to activities of Kering Eyewear and Kering Beauté, the latter including the sales of Creed. Kering Group reported total revenue at €9.0 billion for the first half of 2024, down 11 percent both as reported and on a comparable basis. In the second quarter of 2024, revenue totaled €4.5 billion, also down 11 percent as reported and on a comparable basis. The decline in revenue as reported includes a negative currency effect of 1 percent and a positive scope effect of 1 percent from the consolidation of Creed, the Group stated.

“In a challenging market environment, which adds pressure on our top line and profitability, we are working assiduously to create the conditions for a return to growth," said François-Henri Pinault, Kering Group chairman and chief executive officer. "Our Houses pursue their investments to enrich their offer, intensify the impact of their communications, and reinforce the exclusivity of their distribution. We make certain that every one of these investments creates value for the long term. While the current context might impact the pace of our execution, our determination and confidence are stronger than ever.”

From the Group’s directly operated retail network, sales fell 12 percent on a comparable basis in the second quarter, which was affected by lower store traffic, the Group said, stating that trends in various regions in the second quarter remained broadly in line with the first quarter, apart from a sequential improvement in Japan and a deceleration in Asia-Pacific. Wholesale and Other revenue fell 6 percent on a comparable basis, as the Group continued to enhance the exclusivity of its Houses’ distribution. 

In the first half of 2024, the Group reported that Gucci's revenue was down  €4.1 billion, a 20 percent decrease as reported and 18 percent decrease on a comparable basis. Yves Saint Laurent's revenue in the first half of 2024 was €1.4 billion, down 9 percent as reported and down 7 percent on a comparable basis. Bottega Veneta reported a record first half, with revenue of €836 million, unchanged as reported and up 3 percent on a comparable basis. The Other Houses' revenue in the first half of 2024 was €1.7 billion, down 7 percent as reported and down 6 percent on a comparable basis. 

In the long term, the Group stated, “Kering invests in the development of its Houses, so that they continuously strengthen their desirability and the exclusivity of their distribution, strike a perfect balance between creative innovation and timelessness, and achieve the highest standards in terms of quality, sustainability, and experience for their customers. In an environment of ongoing economic and geopolitical uncertainty, Kering will continue to execute on its strategy and vision, in pursuit of two key ambitions: to maintain a trajectory of long-term profitable growth, and to confirm its status as one of the most influential groups in the luxury industry.”

With this in mind, along with the uncertainties expected in luxury demand following the slowdown recorded in the first half of 2024, Kering Group stated that its recurring operating income in the second half of 2024 could be down by approximately 30 percent compared with the second half of 2023. This is based on the scope of consolidation and exchange rates at the time of first-half 2024 reporting. The Group states that it “prioritizes expenses and initiatives supporting the long-term development and growth of its houses, while pursuing with determination the actions required in the current situation to optimize its cost structure.”