French luxury house LVMH Moët Hennessy Louis Vuitton ended 2017 with a 13% surge in sales to €42.6 billion, according to accounts published today.
The group’s Watch and Jewelry Division notched a 12% increase in sales, after adjustment for currency fluctuations.
Profit from recurring operations reached €8.3 billion, an increase of 18
“LVMH achieved another record year. The excellent performance, to which all our businesses contributed, is due in part to the buoyant environment but above all to the remarkable creative strength of our brands and their ability to constantly reinvent themselves. Continued innovation, entrepreneurial spirit and the quest for excellence: all Maisons continue to assert these core values while maintaining rigorous execution of their strategies on the ground. In an environment that remains uncertain, we can count on the appeal of our brands and the agility of our teams to strengthen, once again in 2018, our leadership in the universe of high quality products,” said Bernard Arnault, chairman and CEO of LVMH.
A summary report about the Watch and Jewelry division says:
“Bvlgari achieved an excellent performance and continued to gain market share thanks to the strength of its iconic lines Serpenti, B.Zero1, Diva and Octo. Growth was particularly strong in Asia, the United States and Europe. The inaugurations of the new manufacturing facility in Valenza and the flagship store on Fifth Avenue in New York are among the major events of the year.
“In the watch sector, TAG Heuer and Hublot continued to grow. At TAG Heuer, a new generation of smartwatch with multiple customisation possibilities was launched in 2017.”
A forward looking statement for 2018 strikes an optimistic tone. “Driven by the agility of its teams, their entrepreneurial spirit, the balance of its different businesses and geographic diversity, LVMH enters 2018 with cautious confidence, and once again, sets an objective of increasing its global leadership position in luxury goods.
“The inaugurations of the new manufacturing facility in Valenza and the flagship store on Fifth Avenue in New York are among the major events of the year. ”