Louis Vuitton Moët Hennessy (LVMH) saw its turnover increase by 4 % and profit by 2 %, mostly thanks to an excellent fourth quarter.
"Excellent year for LVMH"
"2013 saw another excellent performance from LVMH despite exchange rate volatility and slower growth in the European markets. In 2014, LVMH intends to further strengthen its global leadership position in high quality products by relying on its sound, long-term strategy”, LVMH’s CEO Bernard Arnault, said regarding 2013’s numbers.
The company managed a 2013 turnover of 29.1 billion euro, a 4 % increase compared to the previous year. Profit rose 2 % to 6.02 billion euro.
Profit increase in nearly all divisions
Every division had excellent financial results this year. The ‘Wines & Spirits’ division managed a 6 % turnover increase and a 9 % profit growth. Alcoholic beverages proved very popular in Asia and the United States. ‘Perfumes & Cosmetics’ had a 7 % turnover increase, followed by a 2 % profit growth. ‘Watches & Jewelry’ had a 4 % turnover increase, with a 12 % profit increase.
Results for the ‘Fashion & Leather Goods’ division were powered by Louis Vuitton. That particular brand still brings in the most for the entire group. Nevertheless, the brand is restructuring as European and Asian demand dropped. Turnover grew 5 %, but profit dropped 4 %. Jean-Jacques Guiony, CFO, had previously stated that the transition would take time.