First-half profit from recurring operations fell 5% to €2.58 billion, when they were announced on July 24. However, sales of leather goods rose for the group despite some weakness in Asian markets, particularly Japan.

Revenue growth of four percent at the fashion and leather goods unit trailed analysts’ projections by three percentage points. “Throughout the region we’ve seen some weakness in fashion and leather. Asia, excluding Korea, was “under pressure” said LVMH Chief Financial Officer Jean-Jacques Guiony.

Asian demand weakened “quite significantly” in the second quarter, led by slower Chinese spending at home and abroad, said Guiony. So-called organic sales slumped 11% in Japan, after gaining 32% in the first quarter before a three percentage point increase in that country’s value-added tax.