Paris – Shares of Gucci owner Kering tumbled on Wednesday after the French luxury giant issued a profit warning following slumping sales at its flagship brand.
Kering shares sank by 8.5 percent to 320.55 euros ($342.65) after the Paris stock exchange opened, hitting its lowest level in six years.
The group’s stock price has dropped by almost 20 percent since the start of the year.
Kering said Tuesday that its sales fell by 11 percent in the first quarter, citing tough market conditions, particularly in China, a major consumer of luxury goods.
The company warned that it expects its operating income to fall by between 40 to 45 percent in the first half of the year.
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Source: AFP
Picture: Pixabay
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