– Sound performance in Retail: + 5.6%
– Strong growth in Luxury Goods: + 19.0%
In the first quarter of 2006, PPR posted revenues of € 4.4 billion, up 7.9% in reported figures and 6.6% on a comparable basis over the first quarter of 2005.
François-Henri Pinault, Chairman and CEO of PPR, stated:
“The Group's performance in the first quarter of 2006 confirms the strong growth dynamics of our businesses. Higher sales in Retail reflect our international expansion and benefit from sustained household consumption in France. In Luxury Goods, once again, all our brands posted strong growth across all markets.”
Retail activities recorded a steady rise in sales throughout the quarter, posting growth of 4.2% on a comparable basis.
The Group also confirmed its leadership in e-commerce with growth of 31.2%.
In France, Retail again delivered an encouraging performance, with a 3.1% increase in sales, on a comparable basis.
Internationally, the Group's Retail companies recorded revenues of € 1.6 billion, up 5.6% over the first quarter of 2005, on a comparable basis.
Including concessions, Printemps stores sales rose by 5.2%, underpinned by ready-towear, accessories and luxury goods. Under IFRS, Printemps revenue growth was 1.0%.
Revenues at Redcats were up 0.4% (excluding the impact of discontinued catalogues).
The dynamic growth in e-commerce continued, particularly in France. Redcats sales in the first quarter were driven by the success of Special Sizes in the US and the Children & Family Division (Vertbaudet).
The year got off to a good start for Fnac, which posted 5.5% growth in sales, thanks mainly to its international businesses (up 10.7%), particularly in Brazil, Spain, Italy and Belgium. Fnac on-line product sales were up 34.0%, driven by the excellent performance of its website fnac.com.
The action plans implemented at Conforama are starting to pay off. The company reported a 4.4% increase in sales, driven by home appliances and by the sharp increase in international revenues.
CFAO reported steady growth in the first quarter of 2006, with a 13.5% increase in sales.
The growth in sales by Gucci Group in the first quarter of 2006 remains very strong. The excellent business performance by all brands resulted in a revenue increase of 18.4% on a comparable basis over the first quarter 2005, when sales were already up significantly.
Gucci Group posted double-digit growth in all geographical areas, including Japan (up 13.6%).
With 17.7% growth, the Gucci brand benefited from excellent sales performance by the 2006 spring-summer ready-to-wear collection. The brand benefited from the boom in sales in the Asia-Pacific region.
Sales by Bottega Veneta again posted very strong growth (up 77.0%), driven both by the development of accessories and ready-to-wear and by the brand's growing profile with clients and the media.
Yves Saint Laurent posted growth of 8.0% in the first quarter, confirming the positive reception given to the collections presented by Stefano Pilati. This growth is illustrated by the 15.5% rise in sales by directly-operated stores.
YSL Beauté reported growth of 0.7% and announced a relaunch plan aimed at significantly improving its competitiveness.
The success of the collections of the other brands Balenciaga, Boucheron, Sergio Rossi, Bedat & Co, Stella McCartney and Alexander McQueen also illustrates the Group's strong creativity and sales performance.