Kering's FY20 revenue drops 17.5% to €13,100 mn

17 Feb '21

2 min read

Pic: Shutterstock

Kering SA, a French global luxury group, posted 17.5 per cent revenue decline to €13,100.2 million in its full fiscal 2020 that ended on December 31, 2020, compared to the revenue of €15,883.5 million in the previous fiscal. However, group’s online sales continued to grow with 67.5 per cent rise during FY20 accounting to 13 per cent of total retail sales.

“In a year of disruption, Kering demonstrated remarkable resilience and agility. We achieved a solid top-line recovery in the second half, we protected our margins while continuing to invest in our houses and growth platforms, our cash flow generation remained elevated, and we further strengthened the group’s financial structure,” François-Henri Pinault, chairman and chief executive officer, said in a press release.

Gross margin for FY20 came down to €9,509.6 million (FY19: €11,775.0 million). Company’s operating income for the period slipped to €3,298.2 million (€4,609.8 million). Net income attributable to the group for the year stood at €2,150.4 million (€2,333.8 million).

Gucci’s revenue during FY20 slipped 22.7 per cent to €7,440.6 million (€9,628.4 million). Online sales of the brand continued to enjoy fast paced growth, up nearly 70 per cent for the year.

Yves Saint Laurent revenue plunged 14.9 per cent to € 1,744.4 million (€2,049.1 million). Online sales for the brand surged 80 per cent while wholesale revenue dropped 13.7 per cent during FY20.

Bottega Veneta’s revenue grew 3.7 per cent to € 1,210.3 million (€1,167.6 million). While, other houses revenue fell 10.1 per cent to € 2,281.3 million (€2,537.5 million).

“More than ever, I am convinced that our strategy and business model are perfectly in sync with the current and future trends of the Luxury universe. We are emerging from the crisis stronger and better positioned to leverage the rebound. We invest in all our brands to maximise their potential, and to resume our profitable growth journey,” Pinault said.

Fibre2Fashion News Desk (JL)

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