Hermes posts “remarkable” half-year results

France
Published:  28 August, 2015

Hermes published its operating income for the first half of the year showing a 20% increase, thanks to strong demand in Japan, the U.S. and Europe.

The French luxury brand already stated that the end-of-the-year results will probably be lower than in 2014 due to the currency fluctuations that have occurred during 2015. However, they still expect to achieve an 8% growth target.

Net profit reached €483 million, rising 17% from €413 million in the same period a year ago. First-half revenue rose 22% to €2.3 billion, helped by the Euro’s weakness against major international currencies.

Sales in the leather goods division increased 14%, a rise the company defined as “remarkable”.

Japan, the U.S. and Europe posted the strongest growth with sales in Japan growing 33%. The slowing of the market in China, which normally accounts between 20-25% of all purchases, is seen as a major concern but the company declared the strategy in the country will not change and new store openings next year are still in the pipeline.

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