Kering, the owner of Gucci, is plummeting by around 10 percent on the Paris stock exchange following a report. The company has thus lost nearly half of its market value in a year.
Gucci, which accounts for around two-thirds of Kering's profit, is losing 19 percent of its revenue. The portfolio also includes luxury brands Bottega Veneta and Yves Saint Laurent.
According to Kering, among other things, the demand for classic Gucci handbags has decreased.
Other companies in the luxury segment are also struggling. The French luxury giant LVMH, which owns Louis Vuitton and the champagne brand Moët, presented a report earlier in the week that was worse than what analysts had expected.
