PARIS – French accessible luxury group SMCP reported third quarter sales of 291.4 million euros, down 2 percent on an organic basis from a year earlier. Continued growth in the Americas and across the rest of Europe and the Middle East failed to offset weaker demand in its home country, while continued sluggishness in Asia took its toll there.
“In the third quarter, the group delivered a resilient performance despite a challenging consumer environment across certain geographies. We are particularly pleased by the continued growth in America and EMEA, achieved against demanding comparison bases,” SMCP chief executive officer Isabelle Guichot said in a statement.
The news sent shares sliding 10.5 percent in morning trading.
Performance in France was impacted in the third quarter by “weak consumer demand notably due to unusual weather conditions, and unfavorable perimeter effects” that will ease in the fourth quarter, she added. Mainland China continues to be a “difficult backdrop.”
However, Guichot noted that the company is sticking to its full-price strategy, reducing its average discount rate by two percentage points compared with 2025. She added that was tightened across all regions.
The parent company of Sandro, Maje, Claudie Pierlot and men’s brand Fursac said sales fell 1 percent on a reported basis in the three months to Sept. 30.
France was the biggest source of weakness, with organic sales down 9.7 percent in the quarter. The company attributed the performance to subdued consumer demand, in part due to the extreme heatwaves that hit the country over the summer, as well as the ongoing impact of the closure of its concessions at troubled department store BHV.
It pulled out of the department store’s network last November when then-owner Société des Grands Magasins struck a deal with Chinese ultra-fast-fashion brand Shein to host its first physical store, prompting political and social opposition.
By contrast, the Europe and Middle East region outside of France saw an uptick of 2.5 percent on an organic basis, while the Americas rose 4.3 percent, supported by like-for-like growth in the United States, the company said.
It has also invested heavily in the region, opening stores of its flagship brand Sandro in Chile, Mexico and Argentina last year, as part of its regional strategy shift to offset post-pandemic closures in China. Stores in Paraguay and Uruguay are also in the works.
Asia-Pacific sales declined 3.3 percent on an organic basis. Momentum in Hong Kong, Taiwan, Macau and Singapore partly offset the ongoing slowdown in mainland China.
Looking at the numbers by brand, Sandro was flat with zero growth or loss on an organic basis, while Maje was down 2.4 percent. The company does not break out sales at Claudie Pierlot and Fursac, instead reporting them as a group, which showed sales down a steep 9.5 percent combined.
Guichot said the group remains focused on strengthening brand desirability, as evidenced in its presentations during Paris Fashion Week, which saw its three women’s brands focus on heritage and upscaling materials.
Guichot confirmed the group’s 2026 targets, assuming no further significant deterioration in trading conditions in France in the coming weeks, following a weekend of protests and political unrest.
The results come as SMCP is up for sale, with a 51 percent stake up for grabs in a process launched a year ago, following the conclusion of a long-running legal drama over missing shares linked to former controlling shareholder European TopSoho.
The sales process was launched by Lazard in November 2025, following the return of a 15.5 percent stake to European TopSoho that August after a Singapore court ruling.
Any buyer acquiring more than 30 percent of the company may be required to make a public offer for the remaining shares under French law, but no progress on the sale has been reported.