LVMH continues its dynamic growth despite the crisis. 10% organic revenue growth at end September. Annual objectives confirmed
LVMH Moët Hennessy Louis Vuitton, the world’s leading luxury products group, achieved revenue of €12 billion in the first nine months of 2008. Organic revenue* grew 10% compared to the same period in 2007. In the third quarter of 2008, LVMH, notably thanks to the continued exceptional performance of Louis Vuitton, reported remarkable growth despite the global economic context. The Group achieved organic revenue growth of 6%, a performance that is even more noteworthy in view of the high comparative figures seen in the third quarter of 2007.
By business group, revenue progress was as follows:
|In million euros||First nine months of 2008||First nine months of 2007||Variation 2008/2007 First nine months|
|Wines & Spirits||2 038||2 073||- 2 %||+ 5 %|
|Fashion & Leather Goods||4 239||4 021||+ 5 %||+ 12 %|
|Perfumes & Cosmetics||2 081||1 961||+ 6 %||+ 11 %|
|Watches & Jewelry||656||589||+ 11 %||+ 9 %|
|Selective Retailing||3 005||2 871||+ 5 %||+ 11 %|
|Other activities and eliminations||(60)||(69)||ns||ns|
|Total||11 959||11 446||+ 4,5 %||+ 10 %|
* With a comparable structure and constant exchange rates.
Wines & Spirits achieved organic revenue growth of 5% during the first nine months of 2008 thanks to an improvement in the price/product mix. Trends seen since the beginning of the year have shown strong growth in emerging markets, particularly in China and Russia, a more contrasting situation in the rest of the world. Fashion & Leather Goods achieved organic revenue growth of 12% during the first nine months of the year. Louis Vuitton recorded double-digit organic revenue growth during the period. Its new collection, Damier Graphite, successfully established itself during the summer alongside the star Monogram line, which is still enjoying exceptional momentum. Accessories continue to see strong progress. Good progress in the other brands, notably Fendi, Donna Karan, Marc Jacobs and Givenchy, continued into the third quarter. Perfumes & Cosmetics recorded organic revenue growth of 11% during the first nine months of the year. For Christian Dior, the third quarter included the successful launch of the new male perfume Dior Homme Sport, the confirmed achievement of Escale à Portofino and growth in make-up and skincare. Guerlain benefited from the excellent progress of its new mascara Le 2. The new perfume, Guerlain Homme, and Givenchy’s Phenomen’Eyes mascara, are among the numerous innovations which have supported this business group’s revenue. BeneFit continues to demonstrate rapid growth and confirms its strong potential. Watches & Jewelry achieved organic revenue growth of 9% during the first nine months of the year. TAG Heuer developed its high-end product strategy, illustrated by the success of its Grand Carrera collection. Hublot saw strong revenue growth in all its regions. Zenith recorded particularly strong growth in the Middle East. De Beers saw a high level of growth in revenue, including in the US. In Selective Retailing, organic revenue growth was 11% for the first nine months of 2008. DFS continued its development. The increase in Chinese customers continued. Highlights of the third quarter include the opening of the Macao Galleria and the new airport concession in Abu Dhabi. Sephora performed very well. The brand continued in the third quarter to gain market share in Europe and the US and further established its presence in the Middle East and China. Outlook LVMH relies on the considerable appeal of its products and brands to continue the momentum it has enjoyed since the beginning of the year, despite the current global economic and financial crisis. LVMH confirms its objective of a tangible increase in its results in 2008. The regulated information linked to this press release is available on the website www.lvmh.com