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According to the group itself, the Kering giant’s revenues have fallen by 15.4% in the first quarter of 2020. The losses are due to Covid-19, but have not affected all brands of the conglomerate equally.
The luxury group Kering has announced that its revenues have fallen by 15.4% in the first quarter of 2020, directly linking the decline to the impact of the coronavirus. The most affected has been Gucci, while Bottega Veneta has grown.
Kering had a turnover of approximately $17.15 billion in 2019, with Gucci contributing $10.42 billion of that total. Now, the tables have turned. Kering has said that Gucci has been particularly affected by the pandemic, contributing only $1.96 billion in the first quarter of 2020, down 23.2% from the same time last year.
Kering says Gucci had a strong start to the year, but as the pandemic spread, revenues dropped significantly. In contrast, Bottega Veneta saw its revenue increase by 8.5%, resulting in sales of $297.11 million in the first quarter of 2020.
Kering’s CEO, François-Henri Pinault, remains positive and assures that the group’s fashion houses will emerge from this period of uncertainty.