Luxury Sales Soften
- LVMH reported just 1% organic growth in Q1 2026 while its fashion and leather goods division fell 2%. - Gucci’s weak performance contributed to a sharp market reaction, with Kering shares falling about 9.3% and Gucci revenue down 14.3%. - Moncler was an outlier, reporting Q1 revenue of €880.6 million, up 6% (12% at constant currency), highlighting uneven luxury demand (nssmag.com).
Luxury’s biggest names started 2026 with weaker sales, and the split inside the sector is getting wider. LVMH posted 1% organic growth in the first quarter, while its core fashion and leather goods business slipped 2%. (lvmh.com) LVMH said first-quarter revenue reached €19.1 billion on April 13, 2026. The group pointed to a “global environment” hit by the conflict in the Middle East, while fashion and leather goods remained down against a tough comparison with Japan-driven tourist spending a year earlier. (lvmh.com), (lvmh.com) Kering reported first-quarter revenue of €3.568 billion on April 14, 2026, down 6% as reported but stable on a comparable basis. Gucci, still the group’s biggest brand, fell 14.3% as reported to €1.35 billion, or 8% on a comparable basis. (kering.com), (kering.com) Investors reacted fast. Kering shares dropped 9.3% to €254 in Paris after the results, while Women’s Wear Daily reported the market read management’s message as a sign that Gucci’s recovery will take time. (wwd.com), (europeanbusinessmagazine.com) The slowdown follows a longer comedown from the post-pandemic luxury boom. LVMH said its 2025 fashion and leather goods business had already declined, with 2024 boosted by tourist shopping in Japan after the yen weakened. (lvmh.com), (lvmh.com) Kering came into 2026 after a harder 2025. The group said full-year 2025 revenue fell 13% as reported, and it told investors in February that 2026 would need both a return to growth and a margin rebuild. (kering.com) Not every luxury company is seeing the same demand curve. Moncler Group reported first-quarter revenue of €880.6 million, up 6% at current exchange rates and 12% at constant exchange rates, compared with €829.0 million a year earlier. (monclergroup.com) Moncler said its namesake brand brought in €766.5 million in the quarter, with direct-to-consumer sales up 14% at constant exchange rates. The company said that growth came despite “ongoing market volatility” and a high comparison base from early 2025. (monclergroup.com), (monclergroup.com) The gap now is less about whether luxury is growing than where it is growing, and for whom. LVMH and Kering are still large enough to set the tone for Europe’s sector, but Moncler’s quarter showed that shoppers are not pulling back evenly across brands, channels, or regions. (lvmh.com), (kering.com), (monclergroup.com)
