LVMH, the renowned luxury conglomerate, has reported a 3% organic revenue growth in the first quarter of 2024, showcasing resilience in the face of ongoing economic and geopolitical uncertainties. Despite challenges, the company managed to achieve €20.7 billion in revenue during this period, signaling a promising start to the year.
The positive growth trajectory was observed across various regions, with
- Europe and the United States showing growth on a constant currency and consolidation scope basis.
- Notably, Japan experienced double-digit revenue growth,
- While the rest of Asia saw robust spending by Chinese consumers in key markets like Europe and Japan.
Analyzing revenue by business group reveals intriguing insights:
| Business Group | Q1 2024 Revenue (€ millions) | Q1 2023 Revenue (€ millions) | % Change Q1 2024 / Q1 2023 (Reported) | % Change Q1 2024 / Q1 2023 (Organic*) |
|---|---|---|---|---|
| Wines & Spirits | 1,417 | 1,694 | -16% | -12% |
| Fashion & Leather Goods | 10,490 | 10,728 | -2% | +2% |
| Perfumes & Cosmetics | 2,182 | 2,115 | +3% | +7% |
| Watches & Jewelry | 2,466 | 2,589 | -5% | -2% |
| Selective Retailing | 4,175 | 3,961 | +5% | +11% |
| Other activities and eliminations | (36) | (52) | – | – |
| Total LVMH | 20,694 | 21,035 | -2% | +3% |
Louis Vuitton, a flagship brand under this category, demonstrated a 2% organic revenue growth, driven by the brand’s unwavering commitment to creativity and product quality. The Maison celebrated a decade of Nicolas Ghesquière’s visionary designs with a stunning showcase at the Louvre’s Cour Carrée courtyard in Paris. Pharrell Williams introduced a captivating Men’s collection, drawing inspiration from the classic American West wardrobe, which resonated well with consumers.
Furthermore, Christian Dior continued its creative momentum under the leadership of Maria Grazia Chiuri and Kim Jones, garnering record-level visibility with livestream shows and captivating campaigns. Celine, Loewe, Fendi, Loro Piana, Rimowa, and Berluti also contributed to the segment’s success with innovative product launches and strategic brand expansions.
In light of the prevailing uncertainties, LVMH remains cautiously optimistic about the future. The company remains committed to its strategic focus on brand development, innovation, and investment. Leveraging the talent and dedication of its teams, along with a diverse portfolio of businesses and a strong global presence, LVMH aims to maintain its leadership position in the luxury goods market in 2024.
In conclusion, LVMH’s first-quarter performance reflects resilience and adaptability in a challenging operating environment. With a focus on innovation, quality, and consumer engagement, the company is well-positioned to navigate uncertainties and drive sustainable growth in the luxury industry.
