Kering Group, the parent company of luxury brands such as Gucci, Saint Laurent, and Bottega Veneta, reported a 13% decline in revenue in the third quarter of 2023, as it grappled with challenging macroeconomic conditions and softening demand across the luxury industry.

Revenue came in at €4.5 billion, down from €5.2 billion in the same period a year ago. On a comparable basis, revenue was down 9%, including a 6% negative exchange-rate effect and a 2% positive impact from the acquisition of Maui Jim.

The Group's directly operated retail network saw revenue fall 6% on a comparable basis, reflecting lower traffic and contrasted performances across regions. Wholesale and Other revenue fell sharply (down 20% on a comparable basis), due in particular to the Group's ongoing efforts to tighten its control over distribution.

In the first nine months of the year, the Group generated revenue of €14.6 billion.

In a statement, Chairman and Chief Executive Officer François-Henri Pinault said that the Group's revenue performance in the third quarter reflected the impact of its decisions to further elevate its brands and their distribution. He also said that the organization put in place in July will enable the Group to strengthen the steering of its Houses in the current market environment and to reclaim its positions and influence.

Pinault also noted the acquisition of Creed, one of the world's most distinguished high fragrance houses, which was completed last week. He said that this acquisition propels the Group's ambitions in beauty onto the next stage.