{
    "success": true,
    "data": {
        "id": 1679592,
        "msgid": "luxury-fashion-shares-plunge-hermes-drops-double-digits-due-to-middle-east-conflict-1776257478",
        "date": "2026-04-15 19:10:00",
        "title": "Luxury Fashion Shares Plunge, Herm\u00e8s Drops Double Digits Due to Middle East Conflict",
        "author": "",
        "source": "VIVA",
        "tags": "bisnis",
        "topic": "Business",
        "summary": "Luxury fashion companies saw their shares weaken significantly on 15 April 2026, following disappointing first-quarter results impacted by the ongoing Middle East conflict, which reduced tourist flows and wholesale sales. Herm\u00e8s reported \u20ac4.1 billion in sales but faced a 14% share drop, while Kering, owner of Gucci, recorded a 6% revenue decline to \u20ac3.57 billion, with Gucci sales falling 8%. The sector's challenges come after a post-pandemic boom, amid weakening consumer demand in key markets like China, prompting scrutiny of Kering's upcoming recovery strategies.",
        "content": "<p>Jakarta, VIVA \u2013 Shares in top-tier luxury fashion companies uniformly\nweakened during Wednesday\u2019s trading session on 15 April 2026. The slump\nin luxury goods issuers followed disappointing first-quarter 2026\nperformance reports, particularly sales declines amid the unresolved\nMiddle East conflict.<\/p>\n<p>The impact was evident in Herm\u00e8s shares, which corrected by 14%.\nPressure also dragged down shares of other fashion issuers within the\nLVMH group, such as Burberry, Christian Dior, LVMH, and Moncler, which\nwere recorded on the Stoxx 600 index as weakening between 2% and 3%.<\/p>\n<p>Herm\u00e8s reported sales of \u20ac4.1 billion in the first quarter of 2026.\nThe company observed a decline in tourists linked to the geopolitical\ntensions in the Middle East.<\/p>\n<p>\u201cDespite the slowdown in tourist flows related to the situation in\nthe Middle East, group store sales increased by 7%. However, wholesale\nactivity was significantly affected by the drop in sales to concession\nstores, particularly in the Middle East and airports,\u201d said Herm\u00e8s\nmanagement, quoted from CNBC International on Wednesday, 15 April\n2026.<\/p>\n<p>Meanwhile, Kering also posted performance below market expectations.\nFirst-quarter revenue was recorded at \u20ac3.57 billion, down 6%\nyear-on-year. The greatest pressure came from its flagship brand, Gucci,\nwhich reported sales plunging 8% or more than analysts\u2019 estimates.<\/p>\n<p>The French luxury fashion giant Kering, which owns Gucci, Saint\nLaurent, and Balenciaga, booked an 11% sales decline in the first\nquarter of 2026, despite recording growth in the first two months of the\nyear. The Middle East contributes about 5% of the company\u2019s total retail\nrevenue with 79 operating stores.<\/p>\n<p>\u201cGucci remains our top priority. A comprehensive transformation is\nunderway, with decisive steps on the customer side, distribution, and\nespecially product offerings,\u201d said Kering CEO Luca de Meo.<\/p>\n<p>Pressure on the luxury fashion sector occurred after a period of\nrapid growth that ended in 2022. The surge in demand during the pandemic\nonce drove price increases, but subsequently led to weakening consumer\npurchasing power, especially in major markets like China.<\/p>\n<p>Amid global uncertainty and unrelenting geopolitical conflicts,\nmarket players are now watching the recovery strategies that Kering will\noutline at its upcoming Capital Markets Day.<\/p>",
        "url": "https:\/\/jawawa.id\/newsitem\/luxury-fashion-shares-plunge-hermes-drops-double-digits-due-to-middle-east-conflict-1776257478",
        "image": ""
    },
    "sponsor": "Okusi Associates",
    "sponsor_url": "https:\/\/okusiassociates.com"
}