STORY: Kering shares fell as much as 9% in early trade on Wednesday (April 24) - hitting their lowest level in over 6 years.
That's after the French luxury goods company warned it expected profits to plunge as much as 45% over the first half.
Kering reported late on Tuesday that first-quarter sales declined 10%...
As shoppers curbed spending on products from its star label Gucci, reflecting a wider slowdown in luxury buying.
In the all-important Chinese market, a property crisis and high youth unemployment have weighed on shoppers' appetite for high-end fashion.
The company said it does not expect much improvement in the second quarter.
So far this year, Kering's share price has lost around a fifth of its value.
Its dive on Wednesday marks the biggest one day drop since March 20.
Which was a day after Kering warned Q1 sales would fall, dashing hopes it had stemmed a sales decline at Gucci.
The century-old Italian fashion house, which accounts for half of group sales and two-thirds of profit, is undergoing an overhaul.
And, with new Gucci products becoming more available later in the year, the company is positive about a recovery in the second half.
Kering's performance dragged down shares in some peers, including Britain's Burberry.
French rivals LVMH and Hermes recovered from early drops, however, with the pair seen as among the strongest players in the luxury sector.
