Hermès reports Q1 growth across all business lines

Worldwide
Published:  04 May, 2018

Growth in the Leather Goods and Saddlery category (+8%) for the luxury international brand was sustained in the first quarter of 2018 thanks to the success of the new collections and the diversity of handbag models.

Hermès’ consolidated revenue totalled €1,394 million in the first quarter of 2018, up +11% at constant exchange rates and +3% at current exchange rates, due to the strengthening of the euro. “This solid performance is the result of the well-balanced sales growth”, says the Group noting an increase in volumes in its physical stores (+11% at constant exchange rates).

Sales in Asia, excluding Japan, increased +16%, with a “positive trend” in continental China. Japan posted a +8% growth in the quarter, while North America (+9%) is said to have progressed well, despite a high comparison basis in the first quarter 2017. Europe excluding France (+7%) and France (+6%) achieved a good performance despite the strengthening of the Euro. The Group says its new website was successfully deployed in Europe at the end of March.

At constant exchange rates, growth in Leather Goods and Saddlery (+8%) was sustained in the first quarter “thanks to the success of the collections and the diversity of models” such as Constance, Bolide, Halzan, Lindy and Roulis, says Hermès, adding that production capacities continued to increase, with the opening of the Manufacture de L'Allan in early April, and the start of the Guyenne and Montereau production site projects, which are likely to be completed by the year 2020. Read more here.

The Watches business line (+11%) reported a good sales performance in the Group's stores, especially in Asia.