Hermes H1 growth led by leather goods and saddlery

France
Published:  01 August, 2022

France headquartered luxury house Hermes, has joined Kering and LVMH in posting impressive H1, 2022 financials with revenues worth €5.5 billion. Despite a challenging global economic environment spending on luxury goods, including leather goods, appears to remain robust among consumers. 

Revenue for Hermes over the first half of 2022 was up 29% at current exchange rates or 23% at constant rates. Store revenues were up 23% with all geographical areas posting revenue growth with a strong resilience from Asia despite the covid lockdowns in China. Asia-Pacific, excluding Japan accounts for 49% of all revenue with Japan alone accounting for 10%. 

In the first half of 2022 the Leather Goods and Saddlery division of the business grew by 12% at constant exchange rates compared with 2021 and was worth €2.36 billion, the largest segment of the company’s total turnover (43% of total turnover). Although it accounted for 47% of total turnover in 2021. Watches had a turnover of €262 million up 55% compared with 2021. 

Hermes also confirmed the construction of five new leather goods workshops across France over next five years they include the following:

  • Louviers (Eure) and La Sormonne (Ardennes), scheduled in 2023 
  • Riom (Puy-de-Dôme), scheduled in 2024 
  • L’Isle-d’Espagnac (Charente), scheduled in 2025 
  • Loupes (Gironde), scheduled in 2026