[vc_row njt-role-user-roles=”administrator,armember”][vc_column][vc_column_text]
Soaring sales at Louis Vuitton and Dior helped French luxury giant LVMH make a strong start to 2021, with overall sales returning to growth in the first quarter, despite new coronavirus-related restrictions in much of Europe.
LVMH said like-for-like sales, which exclude the effect of currency fluctuations and the acquisition of U.S. jeweler Tiffany, rose 30 percent in the first months of 2021 to 14 billion euros ($16.70 billion).
This figure is almost double the consensus analyst forecast, cited by UBS, which called for 17% growth. Compared to pre-pandemic levels and the first quarter of 2019, like-for-like sales were up 8%.
Revenue had fallen 16% last year due to store closures and a freeze in international tourism triggered by the pandemic. But luxury customers have begun to buy more online, and in key markets such as China, stores have opened since last spring, leading to a strong recovery in business.
The fashion and leather goods division, which accounts for nearly half of LVMH’s revenue, posted a 52% increase in like-for-like sales, again far exceeding analysts’ expectations of a 27% increase.
The watches and jewelry division saw its sales increase by 138% including acquisitions and currency effects, benefiting from the consolidation of Tiffany. LVMH finalized this $15.8 billion acquisition in early January after a bitter legal battle.
Read also > LVMH 2021 PRIZE: CULTURE AND ORIGINS OMNIPRESENT IN THE COLLECTIONS OF THE 20 SEMI-FINALISTS
Featured Photo : © Press[/vc_column_text][/vc_column][/vc_row]
