LVMH Fashion & Leather Goods up +15% in Q1

Worldwide
Published:  11 April, 2019
Bvlgari Serpenti Viper

The France headquartered luxury conglomerate recorded revenue of €12.5 billion for the first quarter 2019, up +16% compared with the same quarter in 2018.

Overall organic growth was +11% in the first quarter and LVMH says the trends observed in 2018 continued throughout the period, with all geographic regions “experiencing good growth”. Organic revenue for the Fashion & Leather Goods business group was up +15%, with Louis Vuitton continuing its “remarkable growth” across all of its businesses. According to LVMH, the label’s performance was exceptional, with highly “successful and iconic re-openings”, including Florence, London’s Sloane Street, Monaco and Shanghai IFC. Furthermore, to meet growing demand and to limit stock shortages, a new leather workshop was opened in France on a site that will be able to accommodate 500 employees, and the Group says several other projects are underway. Christian Dior Couture is said to have performed exceptionally well in the quarter across all its product categories and regions, while Fendi, Loewe and Berluti “are growing fast”, and Loro Piana’s vicuna and shoe collections performed well. The other Maisons “continued to progress”.

The Watches & Jewellery business group recorded organic revenue growth of +4% in the first quarter of 2019, driven by the performance in the jewellery segment. The innovative products presented by LVMH’s watch brands at the Baselworld Watch & Jewellery Fair are said to have been “very well received”, including Hublot’s Classic Fusion Ferrari GT watch, Bvlgari’s Serpenti Seduttoriand Octo Finissimo Chronograph GMT Automatic watches, TAG Heuer’s connected watch model for golfers, and Zenith’s new Defy Inventor and Defy El Primero 21 Carbon models.

The French conglomerate is reportedly working on a Blockchain-powered system, named AURA, to prove the authenticity of luxury products, from raw materials to the point of sale. Read more here.

Zenith watch