Gucci sales rise 17% to send Kering shares to 15-year-high

French luxury group Kering's stock has soared to its highest price in 15 years after Gucci posted a 17% increase in sales in its third quarter earnings.

As well as Gucci, Kering also boasts brands such as Puma and Yves St.Lauren.

Gucci's increase in third quarter sales was better than the 10% gain expected by analysts. The luxury brand accounts for more than 60% of Kering's operating profit.

Gucci has been revitalised under the influence of new creative director Alessandro Michele, who was appointed in January last year.

Luxury goods sales growth has been slow in recent months in general, but Gucci appears to have bucked the trend under Michele's influence.

Some of Kering's brands did suffer during the third quarter however, such as Bottega Veneta which was adversely affected by weak tourism in Western Europe, with sales dropping 10.9%.

When asked if the turn around in fortunes was sustainable for Gucci, Kering's finance director saw room for further growth.

"We have a plan for Gucci and we are not at the end of the plan yet," Jean-Marc Duplaix said.