PPR Has an ‘Excellent’ 2011

French luxury and retail company, PPR, said Thursday that its 2011 revenue rose 11.1 percent, year-over-year, to 12.2 billion euros ($15.86 billion).

The Paris-based company—whose brands include Gucci, Bottega Veneta, Yves Saint Laurent, Alexander McQueen, Balenciaga, Brioni, Stella McCartney, Boucheron and Girard-Perregaux—reported that its recurring operating income rose 16.9 percent to 1.6 billion euros ($2.08 billion) and its recurring net income, group share, surged 26.4 percent to 1.05 billion euros ($1.36 billion). Net income, group share, rose 2.3 percent to 986 million euros ($1.3 billion).

“PPR’s results for 2011 are excellent,” said François-Henri Pinault, PPR chairman and CEO. “Our Luxury and Sport & Lifestyle brands command leading positions in the fastest-growing segments of the apparel and accessories market and are well placed to respond to and anticipate new consumer trends in both mature markets and emerging countries. The transformation of PPR into a more cohesive, integrated group will make us stronger and enable us to fully exploit the huge growth potential of each of our brands. In the uncertain economic climate of early 2012, the core strengths underpinning PPR’s robust 2011 results will continue to propel our performance this year. PPR is confident that 2012 will be another year of sustained revenue growth and improvements in our operating and financial performances.”

The company divides its operation into three division: Luxury (Gucci, Bottega Veneta, Yves Saint Laurent, Alexander McQueen, Balenciaga, Brioni (acquired in January), Stella McCartney, Boucheron, Girard-Perregaux, JeanRichard, Sergio Rossi); Sports & Lifestyle (Puma, Volcom, Cobra, and Electric); Fnac, the French books and music retailer; and Redcats, a fashion and home group of companies that PPR is selling.

Luxury division revenue rose 22.6 percent to 4.9 billion euros ($6.36 billion). Gucci revenue rose 17.9 percent to 3.14 billion euros ($4.08 billion), Bottega Veneta revenue surged 33.7 percent to 682.6 million euros ($887.1 million), and Yves Saint Laurent revenue increased 31.4 percent to 353.7 million euros ($459.6 million).

Puma revenue rose 11.2 percent to 3.01 billion euros ($3.91 billion) for the year. Fnac sales were down 3.2 percent to 4.16 billion euros ($5.4 billion).

FT Luxury Summit Dates, Location Announced

A scene from the 2010 FT Business of Luxury Summit in Los Angeles.

Economic issues will be the focus of the next FT Business of Luxury Summit, which will be held on 5-7 June 2011 at the Beau Rivage Palace in Lausanne, Switzerland.

Hosted by the Financial Times, the summit will bring together senior luxury executives, corporate decision makers and financiers from around the world. This exclusive event, now in its seventh year, attracts some 400 attendees and is regarded by the luxury industry as one of the premier thought-leadership forums for business leaders. Speakers will include:

* Jean-Claude Biver, CEO, Hublot SA
* Gavyn Davies, chairman, Fulcrum Asset Management
* Isabelle Guichot, president & CEO, Balenciaga
* Frederick Lukoff, president & CEO, Stella McCartney
* Marigay McKee, Fashion & Beauty director, Harrods Ltd
* Marc Puig, chairman & CEO, Puig
* Martin Wolf, CBE, chief economics commentator, Financial Times

The 2011 Summit will focus on the key economic issues facing the luxury industry today, including managing currency movements, costs, pricing and anti-counterfeiting—plus an assessment of the revival of mergers and acquisitions.

Attendees will have an opportunity to gain incisive market intelligence from industry peers, join debates and hear the results of specially commissioned consumer spending research.

For more information and to register, visit www.ftbusinessofluxury.com. There’s a discount of €300 for registrations received before March 11.