Group with 75 houses including Louis Vuitton, Dior and Dom Pérignon, the world number 1 in luxury LVMH started the year on a high with sales in the first quarter exceeding those of 2019, before the pandemic.
LVMH announced on Tuesday that it had recorded 14 billion euros in sales in the first quarter, an increase of 32% compared to the same time in 2020 which had been marked by the start of the pandemic. But above all, the group has passed its first quarter of 2019, before pandemic, whose sales had reached 12.5 billion euros.
The group, which had already limited the decline in sales and profitability in 2020 thanks to a strong recovery in Asia, is experiencing growth in all its business groups. The only exception: selective distribution (Sephora, Le Bon Marché, Duty Free Shoper) which, due to store closings in Europe and the lack of international travel, saw its sales decline.
The group is still driven by the performance of its flagship fashion and leather goods division. But this start of the year is the first after the takeover of the American jeweler Tiffany for some 13 billion euros, which more than doubled sales in the first quarter. Despite the closure of bars and restaurants, champagne is also doing well. The group, via Moët Hennessy, in February took a 50% stake from the famous American rapper and producer Jay-Z in the champagne brand Armand de Brignac .
Geographically, the group is benefiting from a very strong recovery in Asia (+ 86% compared to 2020) and to a lesser extent in the United States. But it has fallen in Europe by 9% compared to 2020 and 18% compared to 2019. “In a context that is still disturbed, LVMH has the best assets to support in 2021 on the hoped-for recovery and return to growth momentum for all of its businesses ”, cthe group is included in its press release.
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