Dive Brief:
- Kering has named Cédric Charbit as CEO of Saint Laurent and Gianfranco Gianangeli as CEO of Balenciaga, according to a Monday press release. Both executive appointments are effective Jan. 2, 2025.
- Charbit began at Kering in 2012 as product strategy director of Saint Laurent, and became CEO of Balenciaga in 2016. He succeeds Francesca Bellettini. Gianangeli was previously chief commercial officer of Saint Laurent and succeeds Charbit.
- All Kering brand CEOs report Bellettini, who will subsequently be in charge of development at all Kering’s fashion, leather goods and jewelry houses, per the release. She became Kering’s deputy CEO last year while still serving as Saint Laurent CEO and president.
Dive Insight:
Kering has been struggling against dismal revenues at several of its top fashion houses.
In its Q3 earnings report, released last month, Gucci reported a year-over-year revenue decline of 26%, while Saint Laurent revenue was down 13% and revenue from the company’s other houses, including Balenciaga and Alexander McQueen, was down a combined 15%.
Meanwhile, Kering’s overall third quarter revenue for fiscal 2024 was down 15% for the quarter, and the company projected a full-year 2024 operating income drop of more than 47% year over year.
The declines mirror the larger luxury slowdown that’s been negatively impacting earnings at rival companies including LVMH and Richemont.
François-Henri Pinault, Kering’s chairman and CEO said in Monday’s release that the company’s executive changes, including last year’s appointment of Jean-Marc Duplaix as the company’s deputy CEO and chief operating officer, would serve to further reinforce the organization.
“We have the right leadership team in place to address current industry challenges and set the pace for long-term growth,” Pinault said.
Before joining Kering, Charbit was deputy chief executive at LVMH-owned fashion house Pucci, and prior to that, he was deputy director and general merchandising manager at luxury retailer Printemps, per the release.
Gianangeli began working at Kering-owned Bottega Veneta in 2006, per the release. In 2011, he became associate international director at Prada, and in 2013 he joined LVMH-owned Givenchy as global retail director. In 2017 became owner and CEO of Gianangeli Knitwear Factory, and in 2020, he was named CEO of OTB-owned Maison Margiela.
“Having had the privilege of knowing and working closely with both Cédric and Gianfranco for many years, I have no doubts they are the best choices to take the helm of Saint Laurent and Balenciaga,” Bellettini said in the release. “I am certain they will excel in their new roles, guiding their respective Houses toward even greater success.”
Morningstar analyst Jelena Sokolova said it’s a positive that Belletini will no longer need to combine the dual roles of CEO of Saint Laurent and deputy CEO of the group in charge of brands.
“I thought it was too much responsibility for one person, especially given the headwinds that many of the brands in the group are facing (most notably Gucci) and tough macroeconomic environment,” Sokolova said in emailed comments. “The change presents more reporting clarity which I think is good.”
Sokolova also said Charbit in particular was a solid internal candidate for Saint Laurent.
“[He] has strong experience with growing Balenciaga into one of the group’s largest brands by revenue since 2016 (2022 controversy notwithstanding),” Sokolova said.
