Luxury giant LVMH reports 20% sales growth in the third quarter

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Customers, wearing protective masks, queue in front of a Louis Vuitton store inside the Le Printemps Haussmann department store in Paris following the coronavirus (COVID-19) epidemic in France, May 28, 2020 . REUTERS / Gonzalo Fuentes

PARIS, Oct.12 (Reuters) – Sales of French luxury giant LVMH (LVMH.PA) increased 20% in the third quarter, fueled by the appetite for high-end fashion of consumers keen to spend after months of pandemic containment.

LVMH, which sells a range of luxury goods spanning Moët & Chandon champagne and Bulgari timepieces, said on Tuesday that like-for-like sales, excluding the effect of exchange rate fluctuations, reached 15. 51 billion euros ($ 17.90 billion) over the three months. to September.

Growth was roughly in line with analysts’ consensus forecast for a 21% increase cited by Barclays, after a stellar second quarter that saw revenue rise 84%.

Compared to 2019, before the start of the COVID-19 pandemic, sales at the end of September were 11% higher, the same pace as in the first half of the year.

LVMH’s fashion and leather goods division, the group’s leading activity representing nearly half of the group’s sales, posted growth of 24%, driven by the popularity of its flagship brands Louis Vuitton and Dior.

The luxury sector has rebounded strongly after the health crisis, even if international travel, a key driver of growth in the pre-pandemic period, has not fully recovered, with spending by Chinese buyers, for example, now taking place in the region. local level.

“In the context of a gradual exit from the health crisis, the group is confident in the continuation of the current growth,” LVMH said in a statement.

($ 1 = € 0.8664)

Reporting by Mimosa Spencer, editing by Silvia Aloisi

Our standards: Thomson Reuters Trust Principles.


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