Photo: AP/Eugene Hoshiko
Luxury conglomerate, PPR, owner of brands like Gucci, Yves Saint Laurent and Bottega Veneta, saw massive sales growth in the division that sells its upscale products.But the clincher: That growth was fuelled by sales in Western Europe, which accounts for a third of the company’s overall revenues.
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Sales increased nearly 18 per cent on a comparable basis at the luxury unit, to €1.46 billion.
Gucci, the division’s largest contributor to revenue with 390 locations, saw euro-area sales top increases in North American and the Asia Pacific, gaining 10 per cent during the first three months of 2012.
“PPR delivered a highly satisfactory performance overall in the first quarter of 2012,” PPR Chief François-Henri Pinault said. “Our Luxury brands once again reported strong growth in all geographic areas, while our Sport & Lifestyle brands continued to move ahead.”
Even with austerity programs in place in Italy, the company said Gucci was able to drive single-digit growth on substantial demand.
The company, which is dwarfed by larger rival LVMH Moët Hennessy Louis Vuitton, broke out the individual contributors to its gains.