A woman walks past a shop of fashion house Gucci in Paris, France, April 17, 2025. ABDUL SABOOR / REUTERS
Shares in the French fashion groups Kering and Hermès plunged on Wednesday, April 15, after both reported sales that missed analyst expectations, in part due to the Middle East war, which has hit business in a key region.
At around 10 am, Kering stock was off 10.1% at €251.80 on the Paris stock exchange, while Hermès fell 10.5% to €1,601.
Kering's first-quarter revenues were down three percent at comparable currency rates, dragged down again by its flagship Gucci brand, where sales dropped eight percent. While that was an improvement from the 10% slide seen in the last quarter of 2025, analysts had pencilled in a decline of just six to seven percent.
The performance puts more pressure on Kering's new chief Luca de Meo, installed last year with the mandate of reviving Gucci under its Georgian creative director Demna. De Meo is hosting a widely anticipated strategic presentation in Florence, Italy, on Thursday dubbed the "ReconKering."
