One of the world’s leading luxury products groups LVMH has recorded “an excellent” first half the year, with double-digit profit and sales increases.
The group, which owns Italian jewellery and watchmaker Bulgari and Swiss watchmaker TAG Heuer, reported a profit increase of 23% to €3.6 billion and a 15% rise in revenue to €19.7bn (£15bn) in the same period.
In the second quarter, revenue increased by 15% compared to the same period in 2016.Bulgari waslisted as a key contributer to the rise in sales.
The company recorded a 14% growth in revenue and profit was up 14%
Bulgari’s growth over the last six months has been attributed to the success of its Serpenti and B-Zero 1 lines and the new Octo Finissimo watch.
TAG Heuer also experienced solid revenue growth in a tough watch market, LVMH said.
“The new products created in its flagship Carrera, Aquaracer and Formula 1 collections were very successful and a new generation of the smart watch was launched,” the group explained.
Bernard Arnault, chairman and CEO of LVMH, said: “LVMH has enjoyed an excellent first half, to which all our businesses contributed. In the current climate of geopolitical and economic instability, creativity and quality, the founding values of our Group, have more than ever become benchmarks for all.
“The increasing digitalization of our activities furthermore reinforces the quality of the experience we bring to our customers. In an environment that remains uncertain, we approach the second half of the year with caution. We will remain vigilant and rely on the entrepreneurial spirit and talent of our teams to further increase our leadership in the world of high quality products in 2017.”
Despite the context of geopolitical and currency uncertainties, LVMH said it will continue to pursue gains in market share through the numerous product launches and geographic expansion in promising markets, before the end of the year, while continuing to manage costs.