LONDON – In a difficult yr for the posh trade, Richemont noticed gross sales climb 4 % to 21.4 billion euros, fuelled by elevated jewellery gross sales within the fourth quarter and double-digit progress throughout all areas aside from Asia Pacific.
Working revenue on the dad or mum of Cartier, Van Cleef & Arpels and IWC fell 7 % to 4.47 billion euros, dragged down by the specialist watch manufacturers, which have been hit arduous by the slowdown in demand throughout Asia, and China particularly.
Revenue from persevering with operations fell 1 % to three.76 billiion euros. Richemont posted a lack of 1.01 billion euros from discontinued operations as a result of Yoox Internet-a-Porter, which was offered to Mytheresa earlier this yr.
A show from the brand new Cartier present on the Victoria & Albert Museum in London.
Courtesy of the V&A/Peter Kelleher
Gross sales within the jewellery division have been up 8 % within the yr, and accelerated into the double-digits within the fourth quarter. That surge in gross sales bolstered Richemont’s general progress within the last three months by 8 %.
Richemont chairman Johann Rupert described the yr’s efficiency as strong.
“In a persistently unsure macroeconomic and geopolitical surroundings, we maintained our concentrate on nurturing the maisons’ present and future progress, investing in our distribution community, manufacturing property and high quality craftsmanship,” he mentioned.
He added that general gross sales efficiency accelerated within the second a part of the yr, with a ten % rise within the third quarter adopted by an 8 % uptick within the fourth quarter.
Rupert mentioned that whereas the specialist watchmakers’ efficiency “principally mirrored weak point of their largest area [Asia Pacific], the group’s efficiency was strong general, pushed by outstanding progress at our jewellery maisons and retail, and improved momentum at our ‘different’ actions.”
Richemont’s “different” division, which includes the style manufacturers, the Watchfinder enterprise and the watch parts group, noticed gross sales climb 7 % to 2.79 billion euros. Rupert mentioned that Alaïa delivered sturdy progress, as did Peter Millar.
Prepared-to-wear gross sales rose within the double-digits, with “an encouraging efficiency” from Chloé, he mentioned.
He added that “ongoing world uncertainties will proceed to require sturdy agility and self-discipline,” however Richemont is effectively ready for any challenges.
“Our long-term perspective, underpinned by a wholesome steadiness sheet, constitutes a confirmed system that has delivered seven-fold gross sales progress over the previous 25 years, and stays central to our technique,” Rupert mentioned.
