LVMH, Kering, Hermès… The profits of the giants of the luxury fly away

The future of the luxury sector seems to be nice again. Two days after LVMH, which has seen its net profit soar 41 % over the first six months of the year, at the same time the bar of 3 billion euros, Kering unveiled, Thursday, July 26, record results. The group that owns the Gucci brand has recorded a jump of 55 % in net income over the same period, reaching 1.26 billion euros.

The two French specialists of the luxury benefit of favourable winds since last year. After having suffered from anti-corruption measures in China and the terrorist threats that weighed on the tourism activity in Europe, the markets of handbags, fragrances and ready-to-wear to luxury have found their tone of yesteryear.

“After a stagnation of sales in the course of 2016, the market has grown more healthy in 2017 “, said the firm Bain & Company in the publication of its annual review, 7 June. Since the beginning of 2018, he has ” the wind “, judge now the experts of sales forecasts. “The year 2018 is on a great momentum,” adds the firm, with a growth of 6% to 8 % at constant exchange rates over the year as a whole.

Obviously, the leaders of the sector in excess of these forecasts. The sales growth of LVMH, is established at 10 % over the first six months of 2018, 21.75 billion euros. The activity of Kering done even better. It has increased 34 %, to 6.4 billion euros. Hermes displays a health radiant. The parisian house of luxury has generated 2.85 billion euros of turnover in the first half. It records a progression of activity of 11 % at constant exchange rates compared to the previous year.

Renewed appetite of asian consumers

The French groups luxury have benefited from the renewed appetite of asian consumers. In this region…

Like this post? Please share to your friends:
Leave a Reply