Gucci Sales Drop as Kering Label Struggles to Revive Demand (2)

Gucci sales tumbled in the first quarter as efforts to revive Kering SA’s biggest brand again failed to yield signs of a turnaround amid a tough period for the luxury-goods industry.

Sales dropped 25% at Gucci on a comparable basis, Paris-based Kering said late Wednesday, a slightly bigger fall than analysts were expecting.

The shares declined as much as 6.9% early Thursday in Paris. Kering has lost about half its market value in the past year, a worse performance than rivals LVMH Moët Hennessy Louis Vuitton, SE Hermes International SCAand Richemont.