Hermès: organic growth accelerates in Q1, thanks to China

(CercleFinance.com) - As the last of the three major French luxury groups to unveil its Q1 2019 sales figures, Hermès International this morning reported organic growth of 12% over the period, after 10.
4% in 2018, including 10% in Q4. This acceleration is largely thanks to China.

For the record, in Q1 2019 LVMH and Kering reported dorganic growth of 11% and 17.5% respectively.

From January to March, Hermès, which is renowned for its leather goods, saddlery and "squares," made sales of 1.6 billion euros, up 16% as reported. At constant exchange rates, considering that the group's consolidation scope has not changed, growth reaches 12%, driven by boutiques (+13%). Hermès has benefited from an acceleration in its sales in the first quarter, which reflects a continuation of a dynamic trend, especially in China, the group said.

Again on a like-for-like basis, by zone, business in Asia excluding Japan grew by 17%, driven by mainland China, Japan and America (10% each), and Europe (9.5%).

Finally, Hermès confirms its ambitious sales growth target at constant exchange rates in 2019.



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