Kering (French: [kɛːʁiŋ]) is a French-based multinational corporation specializing in luxury goods. It owns the brands Gucci, Balenciaga, Bottega Veneta, Yves Saint Laurent, Creed and Alexander McQueen.

Kering
FormerlyPinault S.A.
Pinault-Printemps-Redoute
PPR
Company typePublic (Société Anonyme)
Euronext ParisKER
CAC 40 Component
ISINFR0000121485 Edit this on Wikidata
IndustryLuxury
Founded1962; 62 years ago (1962)
FounderFrançois Pinault
Headquarters40 rue de Sèvres, Paris 7e, France
Key people
François-Henri Pinault
(Chairman and CEO)
ProductsLuxury goods
Revenue€19.6 billion (2023)
€4.7 billion (2023)
€3.0 billion (2023)
Total assets€41.367 billion (2023)
Total equity€41.367 billion (2023)
Number of employees
49,000 (2023)
Subsidiaries
Websitekering.com
Footnotes / references
[1]

The timber-trading company Pinault S.A. was founded in 1962, by François Pinault. After the company was quoted on Euronext Paris in 1988, it became the retail conglomerate Pinault-Printemps-Redoute (PPR) in 1994, and the luxury group Kering in 2013. The group has been a constituent of the CAC 40 since 1995. François-Henri Pinault has been president and CEO of Kering since 2005. In 2023, the group's revenue reached €19.6 billion.

History

Retail

In 1962, François Pinault opened the Établissements Pinault in Brittany (France) specialized in timber trading. The company became Pinault S.A.. In 1988, Pinault S.A. was listed on the Paris Stock Exchange.[2]

In 1989, Pinault S.A. purchased 20% of CFAO, a French distribution conglomerate active throughout Africa. In 1990, Pinault S.A. and CFAO merged, and François Pinault became head of the newly formed group. This accelerated its acquisitions in the retail sector: Conforama (French furniture retailer) in 1991, Printemps (department stores in France) in 1992, which also owned 54% of La Redoute (French mail-order shopping retailer), and Fnac (French bookstore, multimedia and electronics retailer) in 1994. To align with its new activities, the group was renamed Pinault-Printemps-Redoute in 1994.[2]

In 1999, Pinault-Printemps-Redoute purchased a controlling 42% stake of the Gucci group for $3 billion and 100% of Yves Saint Laurent.[3][4][5] After Gucci, Pinault-Printemps-Redoute acquired Boucheron (2000), Bottega Veneta (2001), Balenciaga (2001), and signed partnerships with Alexander McQueen and Stella McCartney.[6] In 2004, Pinault-Printemps-Redoute reached a 99.4% ownership of Gucci.[7]

Luxury

In 2003, François Pinault handed over the helm of Artémis, the family holding company that controlled Pinault-Printemps-Redoute to his son François-Henri. In 2005, François-Henri Pinault became president and CEO of Pinault-Printemps-Redoute, succeeding Serge Weinberg.[8] The group officially changed its name to PPR.[9] and continued acquiring luxury brands: The Sowind Group (owner of Girard-Perregaux) and Brioni (2011),[10] the Pomellato Group (Pomellato and Dodo, 2012),[11] Qeelin (2012),[12] Christopher Kane (2013),[13] Ulysse Nardin (2014).[14] To further this strategy, PPR offloaded its retail assets: Le Printemps (2006),[15] Conforama (2011),[16] CFAO (2012),[17] Fnac (2012), and La Redoute (2013).[18] PPR also developed a Sport & Lifestyle portfolio with the acquisition of Puma (2007),[8] Cobra Golf (2010),[19] and Volcom (2011).[20] Cobra and Volcom have since then been divested and Kering only holds a minority share in Puma.

In March 2013, PPR changed its name to Kering.[21]

In December 2014, Alessandro Michele, a 12-year accessories designer at Gucci, was named PPR's creative director. In 2015, Kering named a new creative director, Anthony Vaccarello, to renew the brand's props.[22] In October 2015, Kering named Georgian-born designer Demna Gvasalia as creative director of Balenciaga.[23] Kering appointed Daniel Lee as creative designer of Bottega Veneta in June 2018.[24]

In 2014, Kering hired Roberto Vedovotto to launch its own eyewear manufacturing division, Kering Eyewear, and pilot its development.[25] In March 2017, Richemont partnered with Kering Eyewear to produce Cartier, Alaïa, and Montblanc eyewear.[26] In September 2019, Kering Eyewear opened a 15,000 square-metre logistics centre near Padua, Italy, with an annual output capacity of five million eyewear units.[27] In March 2022, it was announced Kering Eyewear had acquired the Hawaiian eyewear brand Maui Jim.[28] In March 2018, Kering agreed to sell its shares of Stella McCartney back to its eponymous owner.[29] Kering spun off the brand Puma in 2018[30] and sold Volcom the following year. In 2021, Kering led a $216-million investment round in the luxury resale website Vestiaire Collective[31] and acquired 100% stake in the Danish luxury eyewear manufacturer Lindberg.[32] In January 2022, the group announced its intention to sell its watches division, namely the brands Girard-Perregaux and Ulysse Nardin.[33]

In October 2023, Kering announced that third quarter revenue was down 13%.[34] Pinault blamed this decline on the turnover of leadership in both business and creative aspects at multiple brands, as well as challenging macroeconomic conditions decreasing 'aspirational' consumer spending. [35]

Activities

Description

Kering's headquarters are located in the former Hopital Laennec in the 7th arrondissement of Paris. The parent holding company of Kering is Groupe Artémis. In 2023, Kering made 19.6 billion euros in revenue. The group has 46,000 employees and 1,381 stores.[1] On 24 January 2022 Kering announced the sale of its entire stake of GIRARD-PERREGAUX and ULYSSE NARDIN to their current management [1] [2].[citation needed]

Brands

BrandAcquisition YearCountry
Gucci1999Italy
Yves Saint Laurent1999France
Boucheron2000France
Bottega Veneta2001Italy
Balenciaga2001Spain
Alexander McQueen2001United Kingdom
Puma2007Germany
Brioni2011Italy
Girard-Perregaux (Former)2011Switzerland
JeanRichard2011Switzerland
Qeelin2012China
Pomellato2012Italy
Dodo2012Italy
Ulysse Nardin (Former)2014Switzerland
Lindberg2021[36]Denmark
Maui Jim2022United States
Creed2023[37]United Kingdom / France
Valentino (30%)[38]2023Italy

Financial data

Results (in € millions)
Year2006200720082009201020112012201320142015201620172018201920202023
Sales17 93117 76120 20116 52511 00812 2279 7369 74810 03711 58412 38515 47813 665.215 883.313 100.219 566
EBITDA1 5402 0962 1401 7901 6491 9112 0671 7501 6471 8862 9483 943.84 778.34 574.2
Net results6801 0589249859659861 04850528.96968141 7863 714.93 211.51 972.22 983
Net debt3 4616 1215 5104 3674 0003 3952 4913 4434 6794 3713 049
Market data
Years2007200820092010201120122016201720182019
Number of shares (in millions)128128.4126.5126.8127126.2126.2126.3126.3126.3
Market capitalizations (in millions of euros)14089589710 66115 09314 03417 76426,93549 62863,20373,899
Number of daily transactions692 0221 116 420701 105453 415385 265317 960
  • Date of IPO: 25 October 1988, Second Marché
  • Shares listed on the Euronext Paris
  • Member of the CAC 40 index since 9 February 1995
  • Nominal value = euro
  • Main shareholders: Artémis 40.8%

From 2016 to 2021, Kering's share price has increased by 352%.[39] In September 2018, Kering joined the STOXX Europe 50 index.[40] In November 2018, the group announced the share repurchase of 1% of its share capital.[41] In 2019, Kering paid a settlement of 1.25 billion euros ($1.4 billion) to the Italian tax authorities.[42][43] In 2021, the group repurchased 650,000 of its shares to cancel half of them and allocate the other half to its employees.[44]

Kering Foundation

The Kering Foundation (previously known as PPR Corporate Foundation for Women's Dignity and Rights) is a foundation created and financed by Kering since 2009. The Board of Directors is under the chairmanship of François-Henri Pinault and is made up of 16 members, meeting twice a year.

Social entrepreneurs sponsorship

Each year, three social entrepreneurs are selected for the economic viability and the social added value of their projects in favor of women, their families and communities. Each selected project proposer is awarded 15 000 euros, and also receives personal and business sponsoring as well as guidance from a Kering staff member.

  • 2010
    • Sakina M’Sa, founder of the Trevo atelier in Paris
    • Maria-Teresa Leal, founder of the COOPA-ROCA, a women's cooperative in a Rio's favela in Brazil
    • Anne Roos-Weil, co-founder of the Pesinet association, fighting against infant mortality in Mali.
  • 2012[45]
    • Sophia Klumpp and Paul Grinvalds, for their social enterprise AFRIPads, encouraging the educational and vocational integration of girls in Uganda through offering washable sanitary pads. This project is sponsored by a Human Resources manager of Bottega Veneta, on communications and human resources strategies.
    • Delphine Kohler, for her organisation Filles du Facteur, supporting the empowerment of Burkinabian women through the production of crocheted accessories made from recycled plastic bags. This project will benefit from the guidance of a manager of Kering Strategy, on brand positioning and distribution strategy.
    • Miriam Espinoza and Patricia Marihuen, for the association Relmu Witral, preserving the traditional skills of the Mapuche women weavers in Chile. This project is supported by the Retail manager of Volcom, who will provide help and guidance with the redefinition of the product offer and marketing strategy.
  • 2018[46]
    • Beijing Yuanzhong Gender Development Center from China.
    • Callisto, from United States.
    • Chayn, from the United Kingdom.
    • Colori Vivi, from Italy.
    • du Pain & des Roses, from France.
    • GENDES, A.C. from Mexico.
    • Rebuild, Unite and Nurture, from China.

Awareness raising programs

The foundation supports initiatives fostering public information and awareness about violence against women and women's empowerment (education, training, professional integration, Income Generating Activities, etc.) for both Kering employees and the lay public. For example, the foundation has supported the movie, Desert Flower, for its release in 2010 in France:[47] the movie is based on the true story of Waris Dirie, who was born in the Somali desert and who suffered excision before becoming an international top model.

Other projects

In 2012 the three winners are Alia Ruby Blade, Stargazing and The Supreme Price.[48]

Awards

In 2023, Kering won the Biodiversity and Water Award at the CNMI Sustainable Fashion Awards for its regenerative practices.[49][50]

See also

References

External links