// LVMH revenue reaches £22bn in first half of the year
// Profit from recurring operations increased 14% to £4.65bn
// Operating margin reached 21.1%, broadly in line with the first half of 2018
The parent company of Louis Vuitton, LVMH, has recorded first-half revenue of €25.1 billion (£22.06 billion) – an increase of 15 per cent year-on-year.
The luxury goods and retail conglomerate also recorded a profit from recurring operations of €5.29 billion (£4.65 billion), which is an increase of 14 per cent.
Operating margin reached 21.1 per cent, broadly in-line with the first half of 2018, while group share of net profit amounted to €3.26 billion (£2.86 billion), an increase of nine per cent.
“Despite buoyant demand, we will continue to manage costs and remain vigilant into the second half of the year,” LVMH chairman and chief executive Bernard Arnault said.
“We are therefore entering the second half of the year with confidence and count on the talent of our teams and their shared entrepreneurial passion to further increase, once again in 2019, our leadership in the world of high-quality products.”
LVMH’s luxury goods division recorded an organic revenue growth of 18 per cent, while profit from recurring operations was up 17 per cent with noted brands under the segment including Louis Vuitton, Christian Dior, Fendi, and Loewe all reporting a sales growth during the period.
The perfumes and cosmetics division recorded organic revenue growth of nine per cent, driven by the performance of flagship brands, while profit from recurring operations was up six percent.
The company reported strong growth in Asia, the US and Europe, particularly in its home country France, which saw a rebound in the second quarter, while the watches and jewellery arm recorded an organic revenue growth of four per cent.
Arnault himself was recently titled as the world’s second richest individual, according to Forbes and Bloomberg.