LVMH Moët Hennessy Louis Vuitton reported strong revenue growth for the first quarter of 2017, with double digit growth across all of its business groups.
Revenue reached 9.9 billion Euros, an increase of 15%. Organic revenue growth was 13% compared to the same period of 2016. Positive growth was achieved in Asia, Europe and the US, although LVMH cautions that some of this comparative gain may be impacted from the aftermath of the November 2015 attacks in Paris, particularly in Europe.
“The trend currently observed cannot reasonably be extrapolated for the full year,” explains the company.
In Selective Retailing, Sephora gained market share around the world and momentum at DFS in Asia improved while the T Gallerias opened in Cambodia and Italy in 2016 continued their development. Revenue was 3,154 million Euros, with organic growth up 11% in the first quarter of 2017.
The Wines & Spirits business group reported organic revenue up 13% with good volume in champagne and Hennessy cognac.
The Fashion & Leather Goods business group achieved organic growth of 15%; Perfumes & Cosmetics organic revenue growth was 12%; and the Watches & Jewelry business group showed organic revenue growth of 11%.
“In a particularly uncertain environment, LVMH will continue to focus its efforts on developing its brands, maintain strict control over costs and target its investments on the quality, excellence and innovation of its products and their distribution.
“The Group will rely on the talent and motivation of its teams, diversification of its businesses and good geographical balance of its revenue to reinforce, once again in 2017, its global leadership position in luxury goods,” said the company earnings release.