A ray of sunshine, in a still cloudy sky, was enough to give a boost to Kering shares which this morning on the stock exchange soared above +10%. The luxury giant reported a drop in turnover in the fourth quarter, but not as strong as expected and with a slight improvement in the last month, while the new CEO Luca de Meo launches its plan to relaunch the group and stabilize the flagship brand Gucci.
Kering enters the 2026 With the goal of returning to growth and improving margins, the group states in a statement. "In a still uncertain macroeconomic environment, the group is placing operational excellence at its core, supporting each Maison in implementing more effective and sustainable strategies, in addition to providing the operational support needed to accelerate their development path."
On the occasion of the Capital Markets Day on April 16 next will be illustrated in detail roadmap who will lead the next phase of Kering's transformation to relaunch growth, with clearly defined strategies for each House, a more effective organization and rigorous financial discipline, said de Meo.
At the Stock Exchange Paris The shares gained almost 12% to 280 euros after reaching a high in the morning at 297 euros. The group's shares are increased by about 50% compared to last June, when de Meo's appointment was announced. However, the stock has been trading at rock bottom on the Paris stock exchange for nearly five months. Since the beginning of the year, it has lost about 14%, partly due to Donald Trump's threats of tariffs against French luxury groups during the crisis over Greenland's autonomy.
Revenues fell, but less than expected. A thorn in Gucci's side.
In the first quarter under the leadership of'former number one of Renault, the group reported revenues for 3,9 billion euros, down 3% on an annual basis at constant exchange rates but better than the expected decline of 5%. The spotlight is on Gucci performance which remains weak, with sales down 10%, marking the tenth consecutive quarter of contraction, although better than the 12% decline estimated by analysts. Gucci, which represents 41% of revenue of the group, showed sales 2025 to 6 billion, in 22% decrease At current exchange rates and down 19% on a comparable basis. In the fourth quarter, revenue totaled €1,622 billion, a decline of 16% at current exchange rates and 10% on a comparable basis. Recurring operating income was €966 million, representing a 16,1% margin on sales.
The CFO Armelle Poulou reported a improvement towards the end of the year in “almost all regions”, supported by the launch of new products and a recovery in leather goods sales, adding that 2025 allows for “lay the foundation for future recovery".
De Meo: We've laid the foundations for a new chapter
" 2025 performance does not reflect the true potential of the Group" he said of Meo. “In the second half of the year we adopted decisive measures: through the strengthening of the financial structure, the containment of costs and strategic choices that place the foundation for our next chapter. Now, at the start of the year, all teams are committed to helping create a leaner, faster group, improving brand positioning and sales, restoring margins, and strengthening cash generation to ensure sustainable, long-term value creation.”
In the whole financial year 2025 The French luxury group recorded revenues of €14,7 billion (-13% at current exchange rates, -10% on a comparable basis) with direct sales (retail, including e-commerce), equal to 76% of total sales, down 11% on a comparable basis, and indirect sales (wholesale), equal to 24% of total sales, down 7% on a comparable basis. Difficulties also emerge in margini: Annual operating profit fell to 1,63 billion euros, less than a third of the 2022 level. Profitability fell to 11% for the group and 16% for Gucci, far from pre-crisis levels.
Il operating cash flow, excluding real estate disposals, fell 35% to €2,3 billion. Due to uncertain demand, Kering has reduced its retail network by 75 stores in 2025 and plans further closures. At the end of December 2025, the group had a total of 1.719 directly operated stores. In terms of geographic sales, Western Europe accounts for 30%, Asia Pacific 29%, North America 24%, Japan 8%, and the rest of the world 9%.
Jewelry and glasses are growing
Saint Laurent posted sales Net operating income amounted to €2,6 billion, down 8% at current exchange rates and 6% on a comparable basis. Sales for the fourth quarter of 2025 amounted to €735 million (down 5% at current exchange rates, unchanged on a comparable basis). For the full year, recurring operating income was €529 million, representing a 20% margin on sales.
Sales of Bottega Veneta They were stable at current exchange rates (+3% at constant exchange rates) at €1,7 billion for the full year, while in the fourth quarter alone they amounted to €467 million (-3% at current exchange rates, +3% on a comparable basis). Recurring operating income for 2025 was €267 million, representing 15,6% of sales.
Le Jewelry house have recorded an expansion: Boucheron achieved double-digit growth, Pomellato has maintained a constant trajectory, Dodo has accelerated and Qeelin continued to demonstrate a solid performance. The area's recurring operating result for 2025 was negative at -112 million euros.
In 2025 the sales of Kering Eyewear They amounted to €1,6 billion, up 1% at current exchange rates and 3% on a comparable basis. Kering Eyewear's recurring operating income was €252 million, representing 15,8% of sales.
Kering proposes an ordinary dividend of 3 euros and an extraordinary dividend of 1 euro
Il free cash flow operating revenue reached 4,4 billion, including 2,11 billion from real estate sales in Paris, New York, and Tokyo. Excluding real estate transactions, free cash flow was €2,29 billion, down 35%. net debt has decreased 8 billion from the 10,5 billion recorded at the end of 2024.
The Kering board of directors has decided to propose to theassembly annual of the 28st May next, which will be called to approve the budget for the financial year ending on 31 December 2025, the payment of a ordinary dividend in cash of 3 euros per share, says a note recalling that a provisional ordinary dividend of 1,25 euros per share was already paid on January 15th. Therefore, subject to shareholder approval, the balance of the ordinary dividend, equal to 1,75 euros per share, will be paid on June 4th, with an ex-dividend date of June 2nd. A extraordinary dividend of one euro per share, linked to the sale of Kering beauté to the colossus L'Oréal for 4 billion, transaction announced in October and expected to be completed in the first half of 2026.
