LMVH sees growth

Luxury group LVMH Moët Hennessy Louis Vuitton recorded revenue of €7.8 billion in the first half of 2009, a slight increase over the same period in 2008. Profit from recurring operations came to €1,363 million. It increased tangibly in the brands that control their distribution such as in the case of Louis Vuitton. The brands distributed by third parties suffered a massive destocking impact by these distributors, in particular with jewelry business groups.

Bernard Arnault, Chairman and CEO of LVMH, commented: “The first half results once again demonstrate the exceptional appeal of our brands as well as the effectiveness of our strategy, particularly remarkable given the global economic crisis. LVMH thus proves its exceptional capacity to resist thanks to the strength of its brands, the responsiveness of its organization and the talent of its teams. Louis Vuitton has had a particularly exceptional first half of the year, probably the best in the luxury universe, with double-digit revenue growth and exceptional profitability. Reassured by the good resilience in the first half of the year, the Group approaches the second half with confidence. It will rely upon the creativity and quality of its products as well as the effectiveness of its teams who implement notably cost reduction measures adapted to the crisis, to pursue further development in its historical markets as well as in high potential emerging markets.”

Image: LVMH logo