Kering (KER) Q1 2026 earnings summary

Executive summary

• Q1 2026 revenue totaled €3,568 million, down 6% reported and stable year-on-year on a comparable basis, reflecting stabilization amid challenging macro and geopolitical conditions.

• North America delivered strong growth, while Western Europe and Asia Pacific faced headwinds; Middle East performance deteriorated due to regional conflict.

• Nearly all Houses achieved growth, with jewelry delivering a particularly strong contribution; Gucci remains the top priority with a comprehensive turnaround underway.

• Major strategic moves included the creation of Kering Jewelry, a €4 billion disposal of Kering Beauté, and real estate refinancing to enhance financial flexibility.

• Several strategic transactions and continued distribution optimization were completed, strengthening the balance sheet.

Financial highlights

• Group revenue: €3,568 million, down 6% reported, stable on a comparable basis year-over-year, with sequential improvement from Q4.

• Fashion & Leather Goods revenue: €2,852 million, down 9% reported, 3% comparable; Gucci revenue: €1,347 million, down 14% reported, 8% comparable.

• Jewelry revenue: €269 million, up 14% reported, 22% comparable, with strong growth in Japan and Asia-Pacific.

• Eyewear revenue: €489 million, up 3% reported, 7% comparable; strongest quarter ever, driven by new launches and strong execution.

• Retail (71% of revenue) down 2% comparable; e-commerce up 6% year-on-year, now 12% of retail sales; wholesale and other revenue up 6% comparable, driven by eyewear.

Outlook and guidance

• Gradual, sequential improvement expected through 2026, with the objective to return to growth and improve margins for all brands except Alexander McQueen.

• Full-year 2026 guidance targets positive organic growth and margin expansion across brands, excluding McQueen.

• Focus remains on agility and flawless execution, equipping each House with sharper, more sustainable brand strategies.

• OpEx expected to remain flat, with efficiency gains supporting margin stability or slight improvement.

• Detailed strategic roadmap to be presented at Capital Markets Day.