Gucci owner Kering flags China virus uncertainties after strong fourth-quarter
Kering (PRTP.PA) on Wednesday said the coronavirus health scare in China could heighten uncertainties for the luxury goods market, as the Gucci owner posted higher-than-expected sales for the fourth quarter of 2019.
A woman walks past a Gucci advertising poster as shoppers and anti-government protesters gather at New Town Plaza in Sha Tin, Hong Kong. (REUTERS / File photo / MANILA BULLETIN)
Kering’s revenues rose 13.8% to 4.36 billion euros ($4.76 billion) in the October to December period, up 11.4% on a like-for-like basis, which strips out currency changes and acquisitions.
Analysts had expected like-for-like sales to grow closer to 10.9%, according to a consensus forecast cited by Bank of America.
The group said the coronavirus epidemic, which has particularly affected its key Chinese market, could have an impact on “consumption trends and tourism flows, and their ability to affect economic growth.”