FLORENCE, Italy — Salvatore Ferragamo SpA shares declined the most in almost five months after the Italian luxury shoemaker reported an unexpected drop in third-quarter sales, sparking concern it will need to offer discounts to clear inventory in the run-up to Christmas.

Revenue declined 6.2 percent at constant exchange rates in the three months through September, the Florence-based company said late Monday. Analysts expected sales to be unchanged from the year-earlier period. Wholesale revenue fell 19 percent. The shares fell as much as 7 percent in Milan, the most since June 27.

The results don’t bode well for the holiday season, as Ferragamo said it’s being “prudent” with its full-year outlook with luxury demand cooling. The maker of $1,590 pumps may struggle in the fourth quarter after a 16 percent increase in inventory and given its reliance on US departments stores, said Rogerio Fujimori, an analyst at RBC Capital Markets in London.

“Since third-quarter sales were below plan, inventories at the end of September were quite high, which should mean heightened markdown activity in the fourth quarter,” Fujimori wrote in a note.

By Thomas Mulier; editor: Matthew Boyle.