Kering Sales Slump for 11th Quarter as Gucci Struggles Persist

French luxury giant Kering continues to face a severe downturn as its sales have fallen for the eleventh consecutive quarter, primarily due to a 40% slump in Gucci's sales since 2021. In response, the group has announced plans to complete a full structural reset by the end of this year, aimed at restoring financial discipline and operational efficiency. The new recovery strategy focuses on refreshing creative direction and product lineups to regain market momentum. Despite these initiatives, analysts remain concerned about the stock's valuation, which trades at 38x forward earnings amid persistent operational struggles. These declining figures put immense pressure on management to deliver on long-term growth objectives while navigating broader structural challenges in the luxury sector. Consequently, the outlook remains mixed as the market monitors the implementation of the group's overhaul and its impact on profit margins.