Couture Week Comes to Paris amid Riot Fears

From Schiaparelli's show in July 2022. JULIEN DE ROSA / AFP/File
From Schiaparelli's show in July 2022. JULIEN DE ROSA / AFP/File
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Couture Week Comes to Paris amid Riot Fears

From Schiaparelli's show in July 2022. JULIEN DE ROSA / AFP/File
From Schiaparelli's show in July 2022. JULIEN DE ROSA / AFP/File

The fashion world is on edge as haute couture week kicks off on Monday in Paris, which has seen nights of violent riots over the police killing of a teenager.
French label Celine canceled its menswear show -- scheduled outside the official calendar -- on Sunday due to the riots, with designer Hedi Slimane saying it was "inconsiderate" to hold a fashion show when Paris was "bereaved and bruised".
Hundreds have been arrested across the country as mostly young protesters have torched cars and attacked infrastructure following the death of 17-year-old Nahel M., who was shot dead when he tried to flee a traffic stop on Tuesday.
Violence appeared to be ebbing somewhat in and around the French capital over the weekend, and the haute couture shows -- celebrating the most expensive, tailor-made end of fashion -- were due to go ahead as planned, the French fashion federation told AFP on Sunday.
First up is Schiaparelli, with fashionistas wondering if it can beat the social media meltdown caused by last season's fake animal heads.
The heads, sported by the likes of Kylie Jenner, were another publicity coup for Schiaparelli artistic director Daniel Roseberry, who has overseen a revamp of the brand and attracted the likes of Lady Gaga and Beyonce as clients.
Animal activists seemed unsure what to think.
The US branch of PETA (People for the Ethical Treatment of Animals) called the heads "fabulously innovative", while PETA's French branch said a thought should be spared for the silkworms and sheep "who have really suffered".
Couture week will see first-time appearances by the United States' Thom Browne and France's Charles de Vilmorin alongside regulars like Christian Dior.
De Vilmorin, just 26, will present for his own brand after a short-lived tenure as artistic director of Rochas.
"I'm super happy to have lived through all this and to do my first show," he told AFP in his apartment-workshop last week while finalizing the collection.
Fellow couturier Stephane Rolland is presenting his latest collection, dedicated to legendary singer Maria Callas, at the Opera Garnier.
It will be filmed by veteran French director Claude Lelouch for his next movie.
Rolland said it was vital to merge fashion and other art forms.
"It's very important in our profession. I find that from time to time it lacks a bit of refinement. Money is not everything," he told AFP.



Gucci Owner Kering Drops 12% as Luxury Braces for Tough Winter

The logo of French luxury group Kering is pictured on the day of the Kering General Assembly meeting at the company's headquarters in Paris, France, May 28. (Reuters)
The logo of French luxury group Kering is pictured on the day of the Kering General Assembly meeting at the company's headquarters in Paris, France, May 28. (Reuters)
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Gucci Owner Kering Drops 12% as Luxury Braces for Tough Winter

The logo of French luxury group Kering is pictured on the day of the Kering General Assembly meeting at the company's headquarters in Paris, France, May 28. (Reuters)
The logo of French luxury group Kering is pictured on the day of the Kering General Assembly meeting at the company's headquarters in Paris, France, May 28. (Reuters)

Shares in Gucci owner Kering tumbled 12% on Friday after the group reported further sales declines, but said it would stick with CEO Luca de Meo's turnaround plan and accelerate store closures, aiming for 125 by year-end.

The recovery long promised by luxury brands seems nowhere in sight, as the expansion of war ‌in the Middle ‌East, along with China's tax crackdown on ‌the ⁠wealthy, piled further ⁠pressure on the world's biggest luxury conglomerates in the third quarter, and executives buckled in for a tough winter.

Riots in Paris, leaving Louis Vuitton shop windows smashed and electric-bike bonfires near luxury shopping hub Place Vendome, threw into sharp relief the political risk faced by luxury brands not just abroad but also ⁠at home.

Shares in LVMH and Hermes were ‌also down 1% to 1.5% on ‌Friday, as crude prices hit their highest level since early May, worsening ‌the squeeze on households that has curbed consumers' ability to ‌splurge on handbags and clothes.

Gucci's decline has continued despite de Meo's plan to make the brand's prices more enticing to middle-class consumers and creative director Demna's new collections hitting stores.

"The progress made on ‌improving brand desirability remains in its very early stages," JPMorgan analyst Chiara Battistini said in a ⁠note. Gucci ⁠sales improved in wholesale, but were down 6% overall as fewer shoppers visited its stores.

While Kering struggles to execute a turnaround against a weak economic backdrop, even high-end Hermes is showing signs of slowing, with its ready-to-wear division falling 2% in the third quarter due to weak Chinese demand. Overall, Hermes reported its weakest quarterly sales growth since 2020.

Across the sector, valuations have taken a beating as investors reassess future growth prospects. After a 40% slide in share price since January 1, Hermes' valuation is its lowest since 2014, while LVMH's is at a 10-year low.


UK's Debenhams Returns to Profit after Five Years, Expects Further Cost Cuts

FILE PHOTO: Debenhams logo is seen on smartphone in front of a displayed Boohoo logo in this illustration taken January 25, 2021. REUTERS/Dado Ruvic/Illustration/File Photo
FILE PHOTO: Debenhams logo is seen on smartphone in front of a displayed Boohoo logo in this illustration taken January 25, 2021. REUTERS/Dado Ruvic/Illustration/File Photo
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UK's Debenhams Returns to Profit after Five Years, Expects Further Cost Cuts

FILE PHOTO: Debenhams logo is seen on smartphone in front of a displayed Boohoo logo in this illustration taken January 25, 2021. REUTERS/Dado Ruvic/Illustration/File Photo
FILE PHOTO: Debenhams logo is seen on smartphone in front of a displayed Boohoo logo in this illustration taken January 25, 2021. REUTERS/Dado Ruvic/Illustration/File Photo

British fashion ‌retailer Debenhams , also known as boohoo, reported a profit for the first time in five years on Friday and expects further cost cuts as a turnaround plan gathers pace, said Reuters.

Here are some more details:

-The company reported pretax profit of £28.3 million ($37.89 million) for the six ‌months ended August ‌31, compared to a ‌loss ⁠of £17.9 million a year ⁠ago, its first profit before tax since August 2021.

-Expects to reduce costs related to depreciation, lease and interest in fiscal year 2028, while a new financial ⁠facility should further cut costs.

-Debt ‌to be ‌negligible by the end of the ‌year thanks to the disposal of ‌Sheffield automation and lease assignment and sale of Nasty Gal brand, the retailer said.

-The company reported steady growth ‌in September and reiterated its previous annual forecast of gross merchandise value (GMV) ⁠growth ⁠and adjusted core profit no less than £59 million.

-It expects to deliver more than £100 million in profit before tax in the medium term and become a multi-billion-pound GMV business.

-The group's turnaround plan has been focused on streamlining its operations to tackle mounting debt and slow demand at its youth brands.

 


Gucci's Sales Drop 5% in 3rd Quarter as Weak Chinese Demand Dampens Turnaround Hopes

FILE PHOTO: A model presents a creation from the Gucci Spring/Summer 2027 collection during Fashion Week in Milan, Italy, September 25, 2026. REUTERS/Claudia Greco/File Photo
FILE PHOTO: A model presents a creation from the Gucci Spring/Summer 2027 collection during Fashion Week in Milan, Italy, September 25, 2026. REUTERS/Claudia Greco/File Photo
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Gucci's Sales Drop 5% in 3rd Quarter as Weak Chinese Demand Dampens Turnaround Hopes

FILE PHOTO: A model presents a creation from the Gucci Spring/Summer 2027 collection during Fashion Week in Milan, Italy, September 25, 2026. REUTERS/Claudia Greco/File Photo
FILE PHOTO: A model presents a creation from the Gucci Spring/Summer 2027 collection during Fashion Week in Milan, Italy, September 25, 2026. REUTERS/Claudia Greco/File Photo

Kering on Thursday said sales at its flagship label Gucci fell by 6% in the third quarter, in line with market expectations, as low store traffic in China weighed on the Italian brand's performance, Reuters reported.

Sales at Gucci, which accounts for roughly half of group profits, were down to €1.29 billion ($1.44 billion) in the quarter, Kering said, while total group ⁠revenues fell by ⁠1% when adjusted for currency swings.

Asked by journalists on a call if returning to overall growth was still the aim for Kering this year, finance chief Armelle Poulou declined ⁠to comment, pointing to the publication of full-year results.

Store footfall remains the main problem at Gucci, whose sales have been declining for more than three straight years. Revenues from the brand's own store network were down 9%, Kering said, while wholesale and licensing revenues were up.

Lower-than-expected quarterly sales at peers ⁠LVMH and ⁠Hermes, and signs of cooling demand in the US have added to investors' concerns around Kering's turnaround.

"We keep on carrying out our plan with the utmost discipline,” Poulou said, adding the group has so far reduced its retail network by 105 stores and was targeting 125 closures by the end of the year.