A negative currency effect of around one percentage point weighed on second-quarter reported revenue. Sales from Kering’s directly operated retail network increased 2% on a comparable basis in Q2, while wholesale and other revenues rose 3%. For the first half, retail sales were flat on a comparable basis and wholesale and other revenues increased 5%.
The Group reported recurring operating income of €921 million for the first half, with a recurring operating margin of 12.8%. Net income attributable to the Group totalled €189 million, while net debt fell by €4.7 billion since the end of 2025 to €3.3 billion.
Kering Fashion & Leather Goods
Kering Fashion & Leather Goods generated €2.95 billion in second-quarter revenue, down 1% as reported and flat on a comparable basis. The Group said the division continued its sequential improvement, with Saint Laurent, Bottega Veneta and Brioni all accelerating compared with the first quarter. Bottega Veneta’s performance was supported by leather goods, while leather goods also remained a source of strength at Balenciaga. First-half revenue for the division reached €5.8 billion, down 5% as reported and 1% on a comparable basis.
Gucci’s strength
Gucci reported €1.41 billion in second-quarter revenue, down 3% as reported and 2% on a comparable basis. Comparable retail sales declined 2%, representing a seven-percentage-point improvement from the first quarter and Gucci’s strongest sequential acceleration in several quarters. The brand said new collections gained traction, supported by the launch of the Borsetto and Paparazzo lines, while the Gucci Core show in New York strengthened brand momentum. North America remained the key growth driver, with Western Europe and Asia-Pacific showing early signs of recovery. Wholesale and other revenues increased 5% on a comparable basis.
For the first half, Gucci generated €2.76 billion in revenue, down 9% as reported and 5% on a comparable basis. Recurring operating income reached €468 million, with a recurring operating margin of 17%, up one percentage point year-on-year.
Strategic developments
During the quarter, Kering launched the Kering Accademia per le Eccellenze to strengthen luxury craftsmanship training, unveiled its ReconKering transformation plan and announced a strategic partnership with ICCF, including a minority investment to support the international expansion of ICICLE. The Group also appointed Gianfranco D’Attis as Chief Executive Officer of Alexander McQueen and Romain Spitzer as Chief Executive Officer of Bottega Veneta. In addition, Gucci and L’Oréal signed a new 50-year exclusive beauty licence agreement, due to take effect in mid-2027.
