FinancialsApr 13, 2023
LVMH Talks Tiffany Flagship Reopening, Makes Another AcquisitionFinancialsApr 26, 2023
Kering’s Jewelry Brands Shine as Gucci Recovers
Boucheron had a “remarkable” first quarter while Pomellato posted solid growth.
Pictured here is the “New Maharani Necklace,” set with a 4.08-carat cushion-cut diamond, as well as diamonds and rock crystal, in 18-karat white gold from Kering-owned Boucheron’s “New Maharajahs” high jewelry collection. Kering’s jewelry brands put on an “outstanding” performance in Q1 2023, said the company.
Paris—Kering posted muted first-quarter results as its star brand, Gucci, continues its recovery.
However, its jewelry houses, which include Boucheron and Pomellato, had an “outstanding” quarter, said the company.
Kering’s overall performance stood in contrast to rival luxury titan LVMH’s strong start to the year, with revenue up double digits.
Here are four important takeaways from Kering’s most recent earnings report.
Q1 sales faltered as Gucci revenue lagged.
Kering posted first-quarter revenue of €5.08 billion ($5.57 billion), up 2 percent year-over-year.
Sales for Gucci, a top-performing brand for the luxury conglomerate, posted a modest increase of just under 1 percent.
Revenue from Kering’s directly operated stores, which includes its e-commerce sites, was up 4 percent year-over-year on a comparable basis, driven by a strong performance in Western Europe and Japan.
Wholesale sales and other revenue fell 10 percent as Kering reduces wholesale in its distribution system.
“Kering’s performance in the first quarter remained mixed, as we had anticipated,” said CEO François-Henri Pinault in a statement.
“As we work to augment the desirability of our brands and raise their profile in key markets, we are encouraged by the gradual improvement in activity month after month during the period. A host of initiatives undertaken by all our Houses to enhance their appeal and exclusivity lays the foundations for sustained, profitable growth.”
The company did not provide financial guidance for the year ahead.
Jewelry sales shined brightly.
The company’s jewelry brands fall into its “other houses” division, alongside Alexander McQueen and Balenciaga.
Its jewelry portfolio consists of Boucheron, Pomellato, DoDo, and Qeelin.
For the first quarter, revenue in the division totaled €890 million ($976 million), down 9 percent year-over-year.
Jewelry sales, however, increased by double digits, said Kering.
“Boucheron once again posted an excellent quarter, fueled by sales in its stunning high jewelry collection as well as from the house’s well-established jewelry lines,” said Chief Financial Officer Jean-Marc Duplaix on an earnings call Tuesday afternoon.
Pomellato saw “robust growth” in Western Europe, Japan, and the Asia Pacific region.
“Qeelin took full advantage of the reopening of the Chinese market,” he said, noting the brand recently launched a bridal collection.
Sales in the overall division in Kering’s directly operated retail network rose 7 percent on a comparable basis.
Wholesale revenue sank 32 percent due to the streamlining of its wholesale distribution.
Related stories will be right here …
However, its jewelry houses, which include Boucheron and Pomellato, had an “outstanding” quarter, said the company.
Kering’s overall performance stood in contrast to rival luxury titan LVMH’s strong start to the year, with revenue up double digits.
Here are four important takeaways from Kering’s most recent earnings report.
Q1 sales faltered as Gucci revenue lagged.
Kering posted first-quarter revenue of €5.08 billion ($5.57 billion), up 2 percent year-over-year.
Sales for Gucci, a top-performing brand for the luxury conglomerate, posted a modest increase of just under 1 percent.
Revenue from Kering’s directly operated stores, which includes its e-commerce sites, was up 4 percent year-over-year on a comparable basis, driven by a strong performance in Western Europe and Japan.
Wholesale sales and other revenue fell 10 percent as Kering reduces wholesale in its distribution system.
“Kering’s performance in the first quarter remained mixed, as we had anticipated,” said CEO François-Henri Pinault in a statement.
“As we work to augment the desirability of our brands and raise their profile in key markets, we are encouraged by the gradual improvement in activity month after month during the period. A host of initiatives undertaken by all our Houses to enhance their appeal and exclusivity lays the foundations for sustained, profitable growth.”
The company did not provide financial guidance for the year ahead.
Jewelry sales shined brightly.
The company’s jewelry brands fall into its “other houses” division, alongside Alexander McQueen and Balenciaga.
Its jewelry portfolio consists of Boucheron, Pomellato, DoDo, and Qeelin.
For the first quarter, revenue in the division totaled €890 million ($976 million), down 9 percent year-over-year.
Jewelry sales, however, increased by double digits, said Kering.
“Boucheron once again posted an excellent quarter, fueled by sales in its stunning high jewelry collection as well as from the house’s well-established jewelry lines,” said Chief Financial Officer Jean-Marc Duplaix on an earnings call Tuesday afternoon.
Pomellato saw “robust growth” in Western Europe, Japan, and the Asia Pacific region.
“Qeelin took full advantage of the reopening of the Chinese market,” he said, noting the brand recently launched a bridal collection.
Sales in the overall division in Kering’s directly operated retail network rose 7 percent on a comparable basis.
Wholesale revenue sank 32 percent due to the streamlining of its wholesale distribution.
Kering will continue to invest in Gucci.
The slight rise in sales for Gucci in Q1 may signal a slow recovery for the brand after it struggled in the fourth quarter, with sales falling by double digits due to the COVID-19 situation in China.
The brand also lost its creative director, Alessandro Michele, who departed at the end of last year, recently replaced by Sabato de Sarno.
“Q1 has not changed our views on Gucci because at the end of the day, we have invested a lot in Gucci already. We will continue to invest,” said Duplaix.
“The work we are doing at Gucci is a journey, not a race, and we don’t expect it to pay off in the very short term,” he added.
“But we are extremely heartened by our progress to date, by the drive of all the teams and by the reaction in the market.”
Gucci recently opened a Gucci Salon on Los Angeles’ famed Melrose Place.
The luxury destination, described by the brand as “a transformative, creative space,” isn’t open to the public, but instead will serve high-end clients by appointment only, with more spaces to follow throughout the year.
Last week, the European Commission conducted an inspection of Gucci’s Italian premises as part of a preliminary investigation into the fashion sector in multiple countries under E.U. antitrust rules. Kering is fully cooperating with the investigation, said the company.
Sales in North America slipped amid U.S. market weakness.
Kering’s sales in North America fell 18 percent year-over-year in the first quarter.
Duplaix, the company’s CFO, attributed the decline in part to a weaker performance in the United States, a trend also noted in Q4.
While in-store foot traffic was up, he said that doesn’t always translate into sales.
Notably, there was weakness in demand from “aspirational clients,” Duplaix said.
“There is still potential to continue to grow in the U.S.,” he said, noting it’s an important luxury market, even more so than in previous years.
North America was Kering’s third-largest market by revenue percentage in the first quarter, accounting for 21 percent of total revenue, down from 27 percent in Q1 2022.
Japan saw the strongest growth with quarterly revenue up 30 percent followed by Western Europe at 15 percent, then Asia Pacific at 10 percent.
Sales in the rest of the world slipped 1 percent.
Kering operated 1,673 stores as of Q1, adding a net 14 stores in the quarter.
More on Financials
The Latest
MajorsJan 02, 2026
Marc Metrick Out as CEO of Saks Global Executive Chairman Richard Baker will take over the role as rumors swirl that a bankruptcy filing is imminent for the troubled retailer.
Events & AwardsJan 02, 2026
Jan Mohr, Couture’s ‘North Star,’ Dies at 71Mohr had just retired in June after more than two decades as Couture’s retailer liaison.
SourcingJan 02, 2026
IDCA Elects New President, Board of DirectorsShekhar Shah of Real Gems Inc. will serve as president of the Indian Diamond & Colorstone Association in 2026.
Brought to you by
Impacting Tomorrow TodayHow Jewelers of America’s 20 Under 40 are leading to ensure a brighter future for the jewelry industry.
CollectionsJan 02, 2026
Lalaounis’ 2026 Good Luck Charm Speaks to ResilienceThis year’s good luck charm features the mythical horse Pegasus, and is our first Piece of the Week of the new year.
Weekly QuizDec 23, 2025
This Week’s QuizTest your jewelry news knowledge by answering these questions.
EditorsDec 31, 2025
The Top 5 Stories of 2025Articles about crime, engagement rings, and a necklace worn in the World Series generated the most interest among readers.
MajorsDec 30, 2025
Becka Johnson Kibby to Lead Edge Retail AcademyAs part of the leadership transition, Sherry Smith will take on the role of vice president of coaching strategy and development.
Brought to you by
Roseco Releases New Full-Line CatalogRoseco’s 704-page catalog showcases new lab-grown diamonds, findings, tools & more—available in print or interactive digital editions.
SourcingDec 30, 2025
India Chosen as KP Chair for 2026It marks the third time the country has headed the Kimberley Process. Ghana will serve as vice chair.
WatchesDec 30, 2025
Bulova, Stetson Collab on Watches With Western FlairThe new Bulova x Stetson designs highlight two animals often associated with the American West—the bison and the Texas Longhorn.
CollectionsDec 30, 2025
Rahaminov Diamonds Pops Up in FloridaIts residency at Yamron Jewelers will run through May 2026.
IndependentsDec 29, 2025
In Memoriam: Industry Friends We Lost in 2025From influential executives to innovative designers, we pay tribute to the people we said goodbye to this year.
MajorsDec 29, 2025
Tanishq Opens New Stores in Florida, VirginiaThe retailer is expanding into areas with large Indian and South Asian populations.
MajorsDec 29, 2025
Nanis Opens First Flagship Store The Italian brand has opened its first flagship amid the peaks of the Dolomites in Madonna di Campiglio, Italy.
SourcingDec 29, 2025
‘Unearthed: Raw Beauty’ Exhibition Opens at LA MuseumThe new curation at the Natural History Museum of Los Angeles County showcases rare gem and mineral specimens in their uncut, natural state.
CrimeDec 24, 2025
LA Jewelry District Couple Pleads Guilty to Hiding Millions from IRSThe couple pleaded guilty to concealing at least $127 million in cash transactions at its precious metals businesses.
SurveysDec 24, 2025
Consumer Confidence Falls Again in DecemberConsumers shared concerns about prices, inflation, tariffs, trade, and politics in the survey’s write-in response section.
AuctionsDec 24, 2025
Bonhams to Open New U.S. Flagship in NYCIn February 2026, the auction house will move its headquarters to the former Steinway Hall, a neoclassical landmark on Billionaires’ Row.
Events & AwardsDec 24, 2025
NYC Jewelry, Antique, & Object Show Announces Winter EventThe new show will take place Jan. 23-25, 2026.
SourcingDec 23, 2025
Mining Titan Brian Gilbertson Dies at 82The former BHP Billiton leader and Gemfields chairman is remembered for his influential leadership throughout his 50-year mining career.
Events & AwardsDec 23, 2025
Bulgari Reimagines Costume Designers Guild AwardThe LVMH-owned brand has partnered with the costume design union to revamp its award for 2026.
MajorsDec 23, 2025
Kering to Acquire Stake in Raselli Franco GroupThe luxury titan inked a deal to acquire an initial minority stake in the jewelry manufacturer with a pathway to full ownership by 2032.
MajorsDec 23, 2025
For Future Reference Vintage Enters Bloomingdale’sThe company’s curation of unsigned vintage and estate jewelry debuted at the Bloomingdale’s in Costa Mesa, California.
CrimeDec 22, 2025
Customs Seizes Hundreds of Fake Rolex, Cartier WatchesIn the recent multi-shipment seizure, CBP also found counterfeit Audemars Piguet, Moncler, and Chrome Hearts items.
EditorsDec 22, 2025
How Helzberg Is Reimagining Its StoresHelzberg’s Chief Retail Officer Mitch Maggart shared details about its tests of a new store concept rooted in an elevated luxury experience.
Recorded WebinarsDec 22, 2025
2025 Jewelry Rewind: Looking Back on an Eventful Year Jewelers of America execs and National Jeweler editors discuss tariffs, the sky-high gold price, and the engagement that broke the internet.
MajorsDec 19, 2025
MadaLuxe Group Acquires Ippolita The luxury goods company said founder Ippolita Rostagno will remain at the brand’s helm.
