LVMH SALES FOR 9 MONTHS RISE 62.35%

PARIS — LVMH Moet Hennessy Louis Vuitton said Tuesday that net sales for the first nine months of this year rose 62.35 percent to $5.78 billion (33.93 billion francs) at current exchange.
The inclusion of DFS Group accounted for much of the increase; LVMH acquired control of the traveler retail chain early this year.
Results also include, starting with the latest third quarter, those of Sephora, the French perfumery chain LVMH acquired in July.
Nevertheless, on a constant structural basis, sales were up 11.7 percent, LVMH said.
The firm did not cite profits; like most European public firms, it reports them on a half-year basis.
All businesses posted sales gains in the nine months.
Breaking down sales by segments, LVMH said volume in the sector it designates as selective distribution of luxury products nearly tripled to $2.93 billion (17.17 billion francs). A year ago, these sales were 6.1 billion francs. These figures include the DFS and Sephora products, along with LVMH’S beauty businesses — Christian Dior, Givenchy, Kenzo and Guerlain.
The company noted sales for beauty and perfume products rose during the nine months, even in the face of the group’s efforts to combat gray and parallel market distribution for its brands.
In the luggage and fashion sector, which groups Louis Vuitton, Celine, Loewe, Christian Lacroix, Givenchy and Kenzo, sales rose 18.3 percent to $1.5 billion (8.83 billion francs). The firm said sales for Louis Vuitton goods grew 20 percent across all markets, but it did not break out sales for the fashion houses.
Champagne and wine sales were up 17.3 percent to $710.2 million (4.17 billion francs), reflecting a 5 percent rise in volume and price increases. Cognac and spirit sales were up 7.6 percent to $630.6 million (3.7 billion francs). In the U.S., LVMH said, cognac sales were up 14 percent, which offset a “lackluster performance” in Japan.
Sales from other activities, with elimination of intercompany sales, were pared down to $11.4 million (67 million francs), compared with 320 million francs for the first nine months of last year.
These other activities include the Fred jewelry business and publishing.

load comments
blog comments powered by Disqus