LVMH Moët Hennessy Louis Vuitton reported an 18 percent increase in revenue to $28.8 billion (€25.3 billion) for the first nine months of 2015, with its watches and jewelry business jumping 22 percent.
Jewelry and watch sales totaled $2.7 billion for the first nine months, a 22 percent reported increase on last year and a 10 percent organic rise. It was the strongest improver across LVMH’s business sectors, closely followed by wines and spirits and selective retailing, both of which saw 19 percent reported growth over the nine months.
The second quarter was the strongest of the three quarters of 2015 so far for the watches and jewelry business in year-on-year growth terms, with a rise of 13 per cent on 2014, to $942.7 million. Quarterly revenues for the sector in the first quarter rose 7 per cent to $822 million, while third quarter sales were $968.6 million, up 11 percent.
The company did not detail what drove the increases but said its Bulgari jewelry and luxury goods brand had “performed remarkably well, driven by all product categories and all regions of the world.” The Hublot watch brand grew at a high rate and increased its production capacity with the opening of a second plant in Nyon, Switzerland, it said. It also reported that TAG Heuer continued the development of its core offering and that its new smartwatch, made in partnership with Google and Intel, will be unveiled in November.
“LVMH said it would continue its strategy focused on innovation and targeted geographic expansion in the most promising markets.”