I Bought Kering
Owner of Gucci and Balenciaga
Introduction
Kering SA is a French based luxury goods holding company that owns brands like Gucci, Balenciaga, Saint Laurent, Bottega Veneta, and Alexander McQueen. Kering is the second largest luxury company after Louis Vuitton and it sells products like handbags, shoes, clothing items, jewelry, and sunglasses.
Dividends
Kering, being a French company, pays semi-annual dividends, which tend to fluctuate with earning. US companies usually pay dividends quarterly, while European companies often pay once or twice a year. Another big difference between the dividend policy of US and European companies, is the level of commitment. If an American company initiates dividends then the investors will expect consistent, steady increase in payout, and no dividend cuts, until something really bad happens. Many European companies, on the other hand, might increase, decrease or cut the dividend year by year as earnings fluctuate. This is perfectly normal.
The average annual growth rate of the dividends from 2012 to 2023, was 11.2%, which is quite good.
