Richemont: sales remain dynamic at end-2017
(CercleFinance.com) - Although remaining high, growth in Richemont's sales slowed slightly, at constant exchange rates, over the last quarter of 2017.
However, it exceeds expectations excluding FX factors, driven by jewellery and retail sales, with the Swiss group's accounts written in euros.
For the record, in H1 2017/2018, i.e. from April to September, the Swiss luxury group, whose brands include Cartier and Van Cleef & Arpels, posted revenues of 5.6 billion euros, up a robust 12% excluding currency effects (+8% excluding inventory effects). This represents +10% in euros, the currency in which the group keeps its accounts.
In Q3 2017/2018, from October to December, billings reached 3.1 billion euros, up 7% at constant exchange rates (while the consensus was expecting around 6%). However, in reported terms this only reached 1%, while the euro has appreciated on the FX market.
Excluding FX factors, in Q3, Europe is the only region to decline (-1%), with Asia Pacific and the Middle East posting 11% growth each. By distribution channel, retail sales, which have better margins, rose (+ 13%), while revenues from wholesale fell (-3%). And by business, Jewellery rose by 11%, against just +1% for watches.
Copyright (c) 2018 CercleFinance.com. All rights reserved.
However, it exceeds expectations excluding FX factors, driven by jewellery and retail sales, with the Swiss group's accounts written in euros.
For the record, in H1 2017/2018, i.e. from April to September, the Swiss luxury group, whose brands include Cartier and Van Cleef & Arpels, posted revenues of 5.6 billion euros, up a robust 12% excluding currency effects (+8% excluding inventory effects). This represents +10% in euros, the currency in which the group keeps its accounts.
In Q3 2017/2018, from October to December, billings reached 3.1 billion euros, up 7% at constant exchange rates (while the consensus was expecting around 6%). However, in reported terms this only reached 1%, while the euro has appreciated on the FX market.
Excluding FX factors, in Q3, Europe is the only region to decline (-1%), with Asia Pacific and the Middle East posting 11% growth each. By distribution channel, retail sales, which have better margins, rose (+ 13%), while revenues from wholesale fell (-3%). And by business, Jewellery rose by 11%, against just +1% for watches.
Copyright (c) 2018 CercleFinance.com. All rights reserved.