Kering announced a growth in revenue of 3.1% for Q3, beating analysts’ estimates of 2.8%, with sales of Puma and Saint Laurent brands also exceeding the market’s expectations.

Benefitting from the fresh leadership of creative and image director, Hedi Slimane, Saint Laurent reported a strong sales increase of 37% on a reported basis, and 27% on a comparable basis. Slimane’s bags and leather jackets, sold at around €1,150 and €3,200 a piece, helped Saint Laurent become one of the industry’s fastest-growing brands.

Gucci, Kering’s largest brand, reported a drop in sales of 0.4% for the period. It follows a 4.6% gain in the previous quarter, when sales rebounded after discounts of as much as 50% in China on old merchandise, so the brand is seen to be involved in a successful transition.

According to Kering, footwear sales are driving Puma’s growth and the brand’s revamp remains on track.

“I look ahead to the final three months of the year with confidence in our brands’ development potential and in the group’s ability to maintain its growth trajectory”, said Kering’s Chief Executive Officer, Francois-Henri Pinault.

Kering’s third-quarter sales reached €2.9 billion.

The luxury industry was dealt a blow last week after Burberry Group Plc said its profit will probably decline for a second straight year. Read more here.

Source: Bloomberg Business