Retail in Asia


Kering reports 2022 group revenue up despite a mixed fourth quarter

Presenting its 2022 full-year results on February 15, Kering disclosed its group revenue exceeded EUR 20 billion in 2022, up 15 percent as reported and 9 percent on a comparable basis despite a mixed fourth quarter for many of its brands. 

Revenue from directly operated retail networks, including e-commerce sites, rose 10 percent in 2022, driven in particular by Japan and Western Europe. Gucci remains Kering’s top performer, bringing in EUR 10.5 billion, while Yves Saint Laurent and Bottega Veneta also posted an increase in revenue, rising 31 percent and 16 percent, respectively. 

SEE ALSO: Raffaella Cornaggia appointed chief executive officer of Kering Beauté

Gucci, which is weathering a transition under new creative director Sabato De Sarno, reported a 14 percent revenue drop in the fourth quarter due to challenges in Mainland China amid the pandemic. But a solid showing across the rest of the year brought the luxury house’s year-end revenue up 8 percent. 

Revenue from Kering’s other luxury houses, including Balenciaga, Alexander McQueen, and Brioni, amounted to EUR 3.9 billion, an increase of 18 percent. Sales for these houses rose 27 percent, boosted by Kering’s directly operated retail network, while wholesale revenue fell 6 percent. Kering’s eyewear division, which includes Lindberg and the recently acquired Maui Jim, surpassed the billion-euro mark to deliver more than 2.5 times its income in 2021.

In spite of higher operating income in 2022, sales performances “were not uniformly up to our ambitions and potential,” said François-Henri Pinault, Kering’s chairman and CEO. Still, he added, “Beyond the challenges some of our Houses faced, notably towards the end of the year, we are convinced that we are pursuing the right strategy for the long term. In an environment that remains uncertain, I have no doubt that 2023 will be another year of success for our Houses and of growth for our Group.”

Last year saw notable movements within Kering, such as the appointment of Gianfilippo Testa as CEO of Alexander McQueen in March, and Alessandro Michele’s departure from Gucci in November. Earlier this year, Kering announced the appointment of De Sarno as Gucci’s new creative director and Raffaella Cornaggia as CEO of Kering Beauté.