Regulatory heat in Italy underscores the need for responsible youth marketing.

The company expects a challenging operating environment due to geopolitical tensions and volatility.

Young shoppers, especially in China, drove better-than-expected Q3 sales—but sustaining the buzz won’t be easy.

As the market for personal luxury goods emerges from a prolonged period of recalibration, growth hinges on fostering innovation and engagement with core consumers across the globe.

A string of solid earnings from Kering, Prada, LVMH, and Hermès could be a sign of a broader sector turnaround. All four companies cited improving conditions in the US and China, the two largest markets for luxury goods. A recovery in China would be a particular relief, as brands have struggled to engage consumers worried about the country’s property crisis and other economic challenges.

LVMH is reportedly exploring a sale of its 50% stake in Fenty Beauty, according to Reuters. The move comes on the heels of Kering selling its beauty unit to L’Oréal for €4 billion ($4.3 billion)—suggesting that, after years of aggressive expansion, the two luxury conglomerates are taking a more targeted approach to growth. The market for beauty—particularly cosmetics—is showing signs of softening, which could explain LVMH’s desire to sell. But it’s more likely that LVMH is attempting to raise cash ahead of a potential bid for Armani

LVMH unexpectedly returned to growth in Q3 following two quarters of contraction. The company's burst of momentum is a positive sign for the luxury industry, which has otherwise had a difficult year as consumers worldwide rethink spending amid considerable uncertainty. But to keep it going, LVMH will have to deliver freshness and creativity.

Ralph Lauren posted higher-than-expected quarterly results and raised its full-year revenue outlook, though it warned that tariffs could pressure consumer spending in the second half. Amid economic uncertainty, Ralph Lauren’s performance highlights the resilience of brands that sit at the intersection of aspiration and accessibility. The company appears better positioned than some of its luxury peers to weather volatility. Its quarterly results offer a blueprint for its retail peers, showing the value of a diversified supply chain and brand equity over aggressive discounting and heavy dependence on a single market.

The luxury sector is facing a “challenging” and “somewhat unprecedented” environment, Prada Group chairman Patrizio Bertelli said—causing even once-hot brands like the company’s namesake label to lose momentum. Luxury companies for the most part view the current downturn as a cyclical blip in an otherwise robust industry. But the prolonged slump is revealing structural challenges—namely, heavier reliance on American and Chinese consumers, as well as a tendency to lean on price hikes rather than innovation to drive sales.

Snacks maker Mars said it plans to invest an additional $2 billion in US manufacturing through next year to build new facilities and upgrade existing ones in wake of the Trump administration’s tariffs. Tariffs are leading some businesses to boost their US footprint, and we may see more investment announcements. But a key consideration is whether these expansion announcements will represent substantive, job-creating initiatives, or if they are largely symbolic moves designed to support the US government’s current messaging around American manufacturing.

LVMH’s sales fell more than expected in Q2 in yet another sign of trouble for the luxury industry. 2025 is shaping up to be another difficult year for the luxury industry—and not only because of tariffs. While the duties are certainly hitting consumer sentiment and buying power, limited innovation and a perceived lack of value are diminishing luxury’s appeal, even among shoppers who can afford it.

A trade war between two of the world’s largest consumer markets would cause significant disruption for consumers, retailers, and brands in Europe.

2025 could be another tough year for luxury companies: LVMH’s rough Q1 reveals considerable challenges as US spending drops.

Prada nears €1.5 billion deal to acquire Versace: The move would give the luxury company broader appeal as spending cools.

LVMH takes action following a tepid Q4: The company is shaking up Dior’s creative team alongside moves meant to cut costs and increase cultural relevance.

LVMH beat analysts’ middling expectations in Q4: But the company’s 1% growth suggests the luxury sector may take some time to bounce back.

Luxury brands are grappling with downturns in the US and China, the largest markets for personal luxury goods, and will have to seize opportunities for growth from new markets and product innovation.

Mytheresa knows what luxury shoppers want: The luxury ecommerce retailer grew sales by 7.6%, bucking the global luxury slowdown.

Uniqlo, Ikea join luxury companies’ real estate spending spree: The two retailers snapped up prime space on Fifth Avenue to lock in their spots in a busy retail corridor.

Hermès’ strong Q3 performance makes it a luxury outlier: The company’s double-digit growth was in stark contrast to Kering’s slump, as weak global demand weighed on sales.