Gucci continues to struggle, and the conflict in the Middle East isn’t helping its recovery. In the first quarter of 2026, the brand’s sales totaled 1.35 billion euros, falling short of analysts’ forecasts of 1.37 billion. Revenue for parent company Kering was down 6% at constant exchange rates, but stable on a comparable basis, compared to the same period last year, thanks to jewelry and eyewear.

A profound transformation

“Gucci remains our top priority”, began Luca de Meo, CEO of Kering. With regards to Gucci, De Meo said, “a profound transformation is underway, with decisive actions in terms of customer base, distribution, and, above all, product offerings. We have redefined the product architecture and strengthened our focus on categories, with new collections set to be rolled out in stores throughout the year. The first quarter of 2026 marked steady progress, thanks to rapid and targeted execution”.

Gucci continues to struggle

Data shows that Gucci’s revenue for the first quarter of 2026 amounted to €1.35 billion, equal to a decline of 8% on a comparable basis and 14% at constant exchange rates compared to the same period in 2025. Direct-to-consumer sales declined by 9% on a comparable basis, marking the eleventh consecutive quarterly decline. According to Kering’s CFO, Armelle Poulou, the brand saw some improvement in the “key Chinese market”, although it remains in negative territory. There was also a significant improvement in the U.S., the group’s CFO continued, without providing further details.

Kering “Stabilizes”

Kering’s first-quarter 2026 revenue totaled 3.568 billion, down 6% at constant exchange rates and stable on a comparable basis. “The group’s revenue has stabilized, marking an important first step in our recovery and a further improvement compared to the previous quarter”, said de Meo. “This performance reflects the first tangible effects of our actions, despite a difficult geopolitical environment”, concluded the CEO of the French group.

The Fashion & Leather Goods Division

Revenue for the newly formed Fashion & Leather Goods division was 2.852 billion, down 9% at constant exchange rates and -3% on a comparable basis, representing an improvement over the previous quarter. The company specified that “Saint Laurent, Bottega Veneta, Balenciaga, and Brioni recorded year-over-year growth in the quarter”.