LVMH reports strong growth momentum in 2012
with 19 percent increase in group revenues and looks forward to a positive 2013.
LVMH Moët Hennessy Louis Vuitton, the world’s leading luxury products group, recorded revenue of 28.1 billion euros (38.1 billion dollars) in 2012, an increase of 19 percent compared to 2011. This includes the integration of Bulgari as of June 30, 2011. Its organic revenue growth was 9 percent and all business groups saw excellent momentum in Europe, Asia and the United States. Louis Vuitton, in particular, once again recorded double-digit revenue growth during the year.
Revenue increased by 12 percent in the fourth quarter, compared to the same period in 2011, with organic revenue growth of 8 percent. The last quarter saw a modest increase in growth compared to the third quarter of 2012. Profit from recurring operations increased by 13 percent to 5,921 million euros (8, 041 million dollars), a performance which is even more remarkable when compared to the strong growth in 2011. Current operating margin was 21 percent in 2012 and group share of net profit was 3, 424 million euros (4, 650 million dollars), an increase of 12 percent compared to 2011.
Bernard Arnault, Chairman and CEO of LVMH, said, “2012 was another remarkable year for LVMH, especially in the context of the economic slowdown in Europe. All of our businesses demonstrated excellent momentum driven by innovation and the quality of their products, thereby strengthening their positions in traditional markets while continuing to develop in new ones. In 2013, LVMH intends to further strengthen its global leadership position in high quality products by relying on its sound, long-term strategy.”
In 2013, the group will maintain a strategy focused on developing its brands by continuing to build up its strength as well as through strong innovation and expansion in fast growing markets.