LVMH Reports Continued Strong Growth Momentum in Third Quarter 2007
15 Oktober 2007 - 3:32PM
PR Newswire (US)
PARIS, Oct. 15 /PRNewswire-FirstCall/ -- LVMH Moet Hennessy Louis
Vuitton, the world's leading luxury products group, achieved
revenues of EUR 11.4 billion in the first nine months of 2007,
reflecting organic growth of 13% compared to the same period in
2006. LVMH recorded accelerated growth in the third quarter
compared to the already very favorable trends at the beginning of
the year, thanks notably to the continued exceptional performance
of Louis Vuitton. Organic revenue growth reached 15% during the
period, a development which is even more noteworthy in view of the
robust growth achieved in the third quarter of 2006. This
performance reflects the exceptional appeal of the LVMH brands and
products, which continued to increase their market share, the
success of the Group's strategy and the effectiveness of the teams
who succeeded in achieving ever-increasing results. By business
group, revenue progress was as follows: In EUR Millions First nine
First nine Variation 2007 / 2006 months of months of First nine
months 2007 2006 Reported Organic* Wines & Spirits 2 073 1 894
+ 9 % + 14 % Fashion & Leather Goods 4 021 3 729 + 8 % + 14 %
Perfumes & Cosmetics 1 961 1 807 + 9 % + 12 % Watches &
Jewelry 589 509 +16 % + 22 % Selective Retailing 2 882 2 722 + 6 %
+ 11 % Other Activities and eliminations (80) (35) - - Total 11 446
10 626 + 8 % + 13 % * with a comparable structure and constant
exchange rates Wines & Spirits business group achieved organic
revenue growth of 14% during the first nine months of 2007.
Champagne and cognac volumes increased by 8% and 11% over the
period respectively, in a context of increased prices and an
improvement in product mix, supported by the success of rose
champagnes and Hennessy's premium qualities. Following the
acquisition of the brand in the US, Belvedere vodka resumed its
activity in the third quarter. New World Wines saw double-digit
revenue growth in all their markets. Fashion & Leather Goods
business group achieved 14% organic revenue growth during the first
nine months of the year. Louis Vuitton recorded double-digit
organic revenue growth during the period. Business was particularly
active in Europe, the US and Asia. In Japan, the favourable trends
observed in the second quarter continued throughout the summer.
Fendi continued its strong growth, driven by the success of its
leather goods lines. The positive momentum of other brands, notably
Marc Jacobs, Givenchy and Loewe, was confirmed in the third
quarter. Perfumes & Cosmetics business group recorded organic
revenue growth of 12% during the first nine months of the year.
Performance was particularly positive in Europe and Asia. Christian
Dior launched, with major success, its new perfume Midnight Poison.
Guerlain launched L'Instant Magic. The launches of TokyobyKenzo,
Palazzo Fendi and Pucci's Vivara, as well as Benefit's rapid
progress contributed to the growth. Watches & Jewelry business
group saw organic revenue growth of 22% in the first nine months of
the year. TAG Heuer registered strong growth thanks to the
excellent performance of its Carrera, Aquaracer and Link lines.
Zenith made particularly remarkable advances in the Middle East,
Russia and the US. Dior continued its progress thanks to the
success of Christal, notably in Europe and Asia. Chaumet and De
Beers made significant progress. In Selective Retailing, DFS
benefited from the growing number of Asian travelers and saw rapid
growth in Hong Kong and Singapore. Sephora continued to win market
share in Europe and in the US and to expand its business in the
Middle East and China. Its store network has grown at a steady
rate. 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, in a very well-oriented global economic
environment, moderated by the weight of the excessive valuation of
the Euro felt by European producers; in this context, LVMH confirms
its objective of a significant increase in its results in 2007. The
regulated information linked to this press release is available on
the website http://www.lvmh.fr/ About LVMH LVMH Moet Hennessy Louis
Vuitton is the world's leading luxury goods group. The Group is
represented in Wines and Spirits by a portfolio of brands that
includes Moet & Chandon, Dom Perignon, Veuve Clicquot
Ponsardin, Krug, Ruinart, Chateau d'Yquem, Hennessy, Glenmorangie,
Ardbeg, Belvedere Vodka, Chopin, 10 Cane, Chandon, Cloudy Bay,
Terrazas de los Andes, Cheval des Andes, Green Point, Cape
Mentelle, Newton. Its Fashion and Leather Goods division includes
Louis Vuitton, the world's leading luxury brand, as well as Celine,
Loewe, Kenzo, Givenchy, Thomas Pink, Fendi, Emilio Pucci, Donna
Karan, Marc Jacobs, Berluti, StefanoBi as well as eLUXURY, the
authoritative online source for luxury goods on the Internet. LVMH
is present in the Perfumes and Cosmetics sector with Parfums
Christian Dior, Guerlain, Parfums Givenchy, Parfums Kenzo, Perfumes
Loewe as well as other promising cosmetic companies (BeneFit
Cosmetics, Make Up For Ever, Acqua di Parma and Fresh). LVMH is
also active in selective retailing through DFS, Sephora in Europe
and the United States, Le Bon Marche and La Samaritaine. LVMH's
Watches and Jewelry division comprises TAG Heuer, Chaumet,
Christian Dior Watches, Zenith, Fred, the prestigious Italian
writing instruments company of Omas and De Beers Diamond Jewellers
Limited, a joint venture created with the world's leading diamond
group. "Certain information included in this release is forward
looking and is subject to important risks and uncertainties and
factors beyond our control or ability to predict, that could cause
actual results to differ materially from those anticipated,
projected or implied. It only reflects our views as of the date of
this presentation. No undue reliance should therefore be based on
any such information, it being also agreed that we undertake no
commitment to amend or update it after the date hereof." Contacts:
Analysts and investors: Chris Hollis - LVMH + 33 1 44 13 21 22
Media: France: Michel Calzaroni /Olivier Labesse / + 33 1 40 70 11
89 Sonia Fellmann DGM Conseil UK: Hugh Morrison + 44 207 153 15 34
M: Communications Italy: Financial and Corporate Press +39 02 89 40
42 31 Auro Palomba / Roberto Patriarca Community Group US: James
Fingeroth / Victoria Weld / +1 212 521 48 00 Molly Morse Kekst
& Company DATASOURCE: LVMH CONTACT: Analysts and investors:
Chris Hollis of LVMH, +33-1-44-13-21-22; or Media: France, Michel
Calzaroni, Olivier Labesse, Sonia Fellmann, all of DGM Conseil,
+33-1-40-70-11-89; or UK, Hugh Morrison of M: Communications,
+44-207-153-15-34; or Italy, Financial and Corporate Press, Auro
Palomba or Roberto Patriarca, both of Community Group,
+39-02-89-40-42-31; or US, James Fingeroth, Victoria Weld, Molly
Morse, all of Kekst & Company, +1-212-521-4800, all for LVMH
Web site: http://www.lvmh.fr/
Copyright