LVMH FY2024: ‘unfavorable world financial surroundings’ contributes to 2 p.c drop in gross sales

THE WHAT? LVMH has introduced its outcomes for fiscal 2024. The French luxurious conglomerate mentioned that reported gross sales dipped 2 p.c to €84.7 billion (+1 p.c in natural phrases), as a result of a ‘difficult financial and geopolitical surroundings’.

THE DETAILS Revenue from recurring operations fell 14 p.c to €19.6 billion, equating to an working margin of 23.1 p.c.
Highlights among the many in any other case flat efficiency had been Japan, the place gross sales grew within the double digits, the ‘robust momentum’ of fragrances and ‘outstanding efficiency’ by Sephora, which consolidated its place as world chief in magnificence retail.

THE WHY? Bernard Arnault, Chairman and CEO of LVMH, commented, “In 2024, amid an unsure surroundings, LVMH confirmed robust resilience. This capability to climate the storm in extremely turbulent occasions – already illustrated on many events all through our Group’s historical past – is one more testomony to the power and relevance of our technique. The creativity and really prime quality of our merchandise, our steadfast dedication to excellence, the agility of our groups and the nice geographic steadiness of our areas underpin the success of LVMH and its Maisons, backed by the dedication of all our individuals.”