French luxury house Hermes International has reported solid results for the third quarter and the first nine months of 2005. Revenues increased, based on strong demand for leather bags, silk ties and scarves. Between July and September, revenue rose 11 percent to €341.2 million (£229.8 million) from €306.1 million during the same period the year before. Revenue for the nine-month-period reached €990 million, up from €927 million last year. The leather bags and luggage division realized an organic growth in the nine-month-period of 8.6 percent to €399 million, despite a slow down in sales in the first half due to supply problems.

The silk division grew organically by 11 percent, while clothing and accessories revenue rose 7.8 percent. French sales climbed 5.5 percent, while American sales leapt 14 percent. Meanwhile, revenue in Japan rose 5.2 percent in the first nine months.