FinancialsApr 17, 2024
LVMH’s Q1 Jewelry Sales Fall 5%FinancialsApr 24, 2024
Kering’s Jewelry Brands a Bright Spot in Tough Q1
The luxury titan posted declining sales, weighed down by Gucci’s poor performance.
Necklaces from Kering-owned Pomellato’s new “Pom Pom Dot” collection. Kering posted an 11 percent year-over-year drop in sales in Q1, though Pomellato and Boucheron had a solid quarter.
Paris—Kering posted declining sales in the first quarter as its star brand Gucci continues to struggle.
The luxury titan reported first-quarter revenue of €4.5 billion ($4.8 billion), down 11 percent year-over-year (10 percent on a comparable basis).
The company had warned investors in a preliminary results announcement in March about its expected revenue drop, attributing it to a steep sales drop at Gucci.
The brand performed poorly, particularly in the Asia-Pacific region, with first-quarter revenue falling 21 percent (18 percent on a comparable basis).
“Kering’s performance worsened considerably in the first quarter,” said Kering CEO François-Henri Pinault.
“While we had anticipated a challenging start to the year, sluggish market conditions, notably in China, and the strategic repositioning of certain of our houses, starting with Gucci, exacerbated downward pressures on our topline.”
However, its jewelry houses, which include Boucheron and Pomellato, put on a strong performance, said Kering, with revenue up double digits in the quarter.
The company’s jewelry brands fall into its “other houses” division, alongside Alexander McQueen and Balenciaga.
For the first quarter, revenue in the division totaled €824 million ($882 million), down 7 percent year-over-year (6 percent on a comparable basis).
Boucheron and Pomellato performed especially well in the Asia-Pacific region and Japan, said Kering Chief Financial Officer Armelle Poulou on the company’s earnings call Tuesday afternoon.
Boucheron led the charge as it celebrated the 20th anniversary of its “Quatre” collection, while Pomellato debuted its “Pom Pom Dot” reversible jewels collection.
Qeelin continued to expand its presence, opening four stores.
Related stories will be right here …
The luxury titan reported first-quarter revenue of €4.5 billion ($4.8 billion), down 11 percent year-over-year (10 percent on a comparable basis).
The company had warned investors in a preliminary results announcement in March about its expected revenue drop, attributing it to a steep sales drop at Gucci.
The brand performed poorly, particularly in the Asia-Pacific region, with first-quarter revenue falling 21 percent (18 percent on a comparable basis).
“Kering’s performance worsened considerably in the first quarter,” said Kering CEO François-Henri Pinault.
“While we had anticipated a challenging start to the year, sluggish market conditions, notably in China, and the strategic repositioning of certain of our houses, starting with Gucci, exacerbated downward pressures on our topline.”
However, its jewelry houses, which include Boucheron and Pomellato, put on a strong performance, said Kering, with revenue up double digits in the quarter.
The company’s jewelry brands fall into its “other houses” division, alongside Alexander McQueen and Balenciaga.
For the first quarter, revenue in the division totaled €824 million ($882 million), down 7 percent year-over-year (6 percent on a comparable basis).
Boucheron and Pomellato performed especially well in the Asia-Pacific region and Japan, said Kering Chief Financial Officer Armelle Poulou on the company’s earnings call Tuesday afternoon.
Boucheron led the charge as it celebrated the 20th anniversary of its “Quatre” collection, while Pomellato debuted its “Pom Pom Dot” reversible jewels collection.
Qeelin continued to expand its presence, opening four stores.
Revenue from Kering’s directly operated stores, which includes its e-commerce sites, was down 11 percent year-over-year on a comparable basis, impacted by lower foot traffic.
Revenue in the wholesale and “other” segment was down 7 percent on a comparable basis, as the company streamlines its distribution.
Looking at its performance by region, Kering’s sales in North America fell 11 percent year-over-year in the first quarter.
North America was Kering’s third-largest market by revenue percentage in the first quarter, accounting for 22 percent of total revenue, up from 21 percent in Q1 2023.
Japan saw the strongest growth with quarterly revenue up 16 percent.
The Asia-Pacific region saw the steepest decline, down 19 percent, which Kering attributed to “challenging, volatile market conditions.”
Sales in Western Europe were down 9 percent.
Kering operated 1,781 stores as of Q1, up from 1,771 at the end of the previous fiscal year.
Looking to the year ahead, the company expects it will continue to struggle in the first half.
“The first half of the year is proving even tougher than we expected,” said Poulou.
Kering will continue to invest in its brands, she said, but will be more selective and demanding about a return on investment.
The company is expecting a sharp drop in first-half profit, forecasting a decline of 40 to 45 percent in first-half operating income.
“All of us are working tirelessly to see Kering through the current challenges and rebuild a solid platform for enduring growth,” said Pinault.
FinancialsMar 27, 2024
Movado’s Full-Year Sales Sink 11%
FinancialsMar 20, 2024
Signet’s Q4 Same-Store Sales Sink 10% More on Financials
The Latest
SourcingJul 30, 2026
De Beers Sale in ‘Final, Most Challenging’ Phase, Anglo CEO SaysThe goal is for the De Beers sale to be finished by the second half of 2026, with the subsequent approvals process expected to take a year.
Policies & IssuesJul 30, 2026
JA Heads Back to Washington as New Wave of Tariffs Takes Effect David Bonaparte, along with Tim Haake and Ronnie VanderLinden, continue to lobby for tariff exemptions for diamonds, gemstones, and pearls.
SurveysJul 30, 2026
Consumer Confidence Slips in JulySurvey respondents were concerned about the rising prices of food and groceries as well as unemployment.
Brought to you by
Why More Jewelry Retailers Are Hosting Turnkey Estate Buying EventsRetailers are seeking new ways to attract customers, increase traffic, and create revenue – Estate buying events are a popular solution.
Events & AwardsJul 30, 2026
Vicenzaoro Releases 2026 Education LineupThe trade show, slated for Sept. 4-8 in Vicenza, Italy, will feature sessions on trends, AI, gemology, and manufacturing.
Weekly QuizJul 23, 2026
This Week’s QuizTest your jewelry news knowledge by answering these questions.
Events & AwardsJul 30, 2026
Hillsborough Show Moves to New Location for 2026The public shopping event featuring art, jewelry, watches, and rare collectibles, will take place in Santa Clara, California, this fall.
EditorsJul 29, 2026
Q&A: The Past and Future of Angola’s Diamond Industry Endiama Commercial Director Elton Escrivão knows people have a lot of misperceptions about Angola. He wants to change that.
Brought to you by
Wedding Band Trends 2026: Personalization Takes Center StageColored gemstones, artisan finishes, mixed metals, and meaningful details are shaping demand in bridal jewelry.
MajorsJul 29, 2026
Kevin Reilly Retires After 39 Years in the Jewelry Industry Reilly has been with PGI USA for the last 20 years, leading partnership development and professional education.
Events & AwardsJul 29, 2026
Lauren Harwell Godfrey Designs a Flag for ArkansasShe was one of more than 120 American designers who created flags for the “United Flags of Fashion” project led by CFDA and Vogue.
ColumnistsJul 28, 2026
Peter Smith: Why Your Job Postings May Be Working Against You Smith reveals the method The Retail Smiths use to help retailers and vendors write better job postings.
CollectionsJul 28, 2026
Lionheart’s New Collection Unites Spiritual Iconography“Sacred Heart” features symbols like crosses, angel wings, the Star of David, and the evil eye as a representation of coexistence.
Events & AwardsJul 28, 2026
The Edge Funding 2 Scholarships Via 24 Karat Club SEUS The scholarships will go to early-career professionals looking to study gemology, bench work and jewelry design, or store operations.
SurveysJul 27, 2026
Jewelry Leads Luxury Market Amid Stabilization, Bain SaysBain & Company delved into the trends shaping the luxury market, the impact of AI, and more in its recent study.
SourcingJul 27, 2026
‘Rubies’ Goes on Display at Harvard MuseumThe exhibition reveals the gemology, geology, and cultural history of the iconic red gemstone.
Policies & IssuesJul 24, 2026
New Trump Tariffs: What They Mean for Jewelry The new sweeping slate of tariffs impacts 60 countries, including India, China, Thailand, Hong Kong, and the United Arab Emirates.
TrendsJul 24, 2026
Amanda’s Style File: Ode to ‘The Odyssey’From coin pendants to diamond shields, these old world-inspired jewels are the perfect accessory for an epic journey.
TrendsJul 24, 2026
Courtney Leidy’s Silk Cord Pendants Center Unexpected Pairings Our Piece of the Week pairs a checkerboard-cut amethyst with an ivy green silk cord.
PodcastsJul 23, 2026
Episode 7: Reinhold Jewelers on the Power of RelationshipsMildred Marcano Abrams and Yael Reinhold join the podcast to talk community connections, holiday plans, and preserving Reinhold’s legacy.
SourcingJul 23, 2026
De Beers’ Production Jumps 88 Percent in Q2 Production also was up in the first half of 2026 but is expected to “substantially” decrease in H2 as two key mines undergo maintenance.
CollectionsJul 23, 2026
Silvia Furmanovich’s New Collection Travels Back to the 1920s“Art Deco” fuses ancestral techniques, rare materials, and modern perspectives as a tribute to the optimism and curiosity of the movement.
IndependentsJul 23, 2026
Sissy's Log Cabin Opens Casino StoreThe jeweler’s newest store is inside Arkansas’ Saracen Casino Resort.
WatchesJul 23, 2026
Movado Inks Licensing Deal With Kate Spade New YorkThe watch company will design, manufacture, and distribute Kate Spade New York watches.
Policies & IssuesJul 22, 2026
Trump to Put 50% Tariff on Canadian Goods The higher tax is set to go into effect in August and will apply to loose polished diamonds as well as precious and base metals jewelry.
CollectionsJul 22, 2026
Monica Rich Kosann’s High Jewelry Is FruitfulThe “Enchanted Garden” series features a cherry, lemon, and pear that each hold a little secret inside.
IndependentsJul 22, 2026
Liljenquist Beckstead Opens Rolex New BoutiqueIt’s located in Tysons Galleria, an upscale shopping center in the Washington, D.C., metro area.
Events & AwardsJul 22, 2026
NY Now Returns in August Under New OwnershipThe show, recently acquired by Rockview Management Group, will be held at New York City’s Javits Center from Aug. 2-4.
