Q1 is a market test
Business of Fashion framed the upcoming Q1 earnings from LVMH, Kering and Hermès as a ‘turnaround test’ that will show whether recent corrective moves are restoring demand. The piece contrasted that backdrop with Brunello Cucinelli, which reportedly posted a sales beat, illustrating that some propositions are already showing resilience. That divergence raises the stakes for campaign planning: houses will need clearer product narratives if they’re to convince cautious buyers. (businessoffashion.com)
Luxury’s next reality check lands in three dates: LVMH Moët Hennessy Louis Vuitton reports first-quarter 2026 revenue on April 13, Kering reports on April 13, and Hermès reports on April 15. Those updates arrive four days after Brunello Cucinelli said its own first-quarter revenue reached €369.1 million, up 8.1% at current exchange rates and 14.0% at constant exchange rates. (lvmh.com) (kering.com) (finance.hermes.com) (investor.brunellocucinelli.com) That gap is why this quarter matters. One luxury house just posted growth across the Americas, Europe, and Asia, while the biggest French groups are coming into earnings after a year of resets, management promises, and weaker demand in key categories. (investor.brunellocucinelli.com) (businessoffashion.com) (kering.com) Kering is the clearest turnaround case. In its 2025 results, the group said revenue fell 12% on a comparable basis to €14.6 billion, and new chief executive Luca de Meo said the job for 2026 is to build a “leaner, faster Kering” after a year of brand repositioning and margin pressure. (kering.com) The hardest part of that repair job is Gucci. Kering’s 2025 results said Gucci revenue fell 21% on a comparable basis, which means one brand is still dragging the whole group while management tries to refresh product, stores, and pace. (kering.com) LVMH Moët Hennessy Louis Vuitton is bigger and more diversified, but it is not walking into April with clean momentum either. LVMH said 2025 revenue was €80.8 billion, down 1% organically, and its Fashion and Leather Goods division showed improved trends in the second half rather than a full rebound. (lvmh.com 1) (lvmh.com 2) Hermès is the outlier investors keep measuring everyone else against. Hermès said 2025 revenue reached €16.0 billion, up 9% at constant exchange rates, with recurring operating income of €6.6 billion, and it is still talking about “desirability” and artisanal supply rather than a turnaround plan. (assets-finance.hermes.com) (finance.hermes.com) Brunello Cucinelli’s numbers show what resilience looks like in this market. The company said first-quarter 2026 retail revenue grew 20.1% at constant exchange rates, the Americas grew 20.3%, and Asia grew 17.8%, which suggests shoppers are still spending when the brand offer feels specific enough. (investor.brunellocucinelli.com) That is the real test inside these April earnings. Luxury groups spent 2025 cutting exposure to weak channels, tightening distribution, changing creative direction, and talking up product elevation, and first-quarter 2026 is where investors find out whether those moves changed what customers actually bought. (businessoffashion.com) (kering.com) (lvmh.com) If LVMH Moët Hennessy Louis Vuitton and Kering show only slight improvement while Hermès and Brunello Cucinelli keep pulling ahead, the message will be blunt: luxury demand did not disappear, but it got pickier. In that market, a logo is not enough, and a house needs a product story sharp enough to survive a customer who is buying fewer things at higher prices. (finance.hermes.com) (investor.brunellocucinelli.com) (businessoffashion.com)
