Paris–LVMH Moët Hennessy Louis Vuitton reported strong first quarter sales across all divisions but noted that it was up against weak comps from last year, when sales were down in Europe following the November 2015 terrorist attacks in Paris.
In the first quarter, sales for the luxury conglomerate’s Watches & Jewelry division totaled $932.9 million, up 11 percent year-over-year on an organic basis (with comparable structure and constant exchange rates).
LVMH said that Bulgari continues to gain market share as it introduces new models to its most well-known lines. The group also noted the launch of the second version of TAG Heuer’s smartwatch, the Connected Modular 45.
At Baselworld, LVMH introduced a new edition of the Autavia by TAG Heuer, the Octo Finissimo Automatic and interchangeable Serpenti Skin watches from Bulgari, and the Defy El Primero 21 by Zenith.
LVMH also owns the Chaumet, Fred and Hublot brands and did have a 50 percent stake in the chain of retail stores that operate under the De Beers name.
But the group announced in March that it has effectively pulled out of the venture, selling its stake in the stores to the De Beers Group.
Total sales for LVMH in the first quarter were up 13 percent year-over-year on an organic basis, reaching $10.49 billion.
The division to report the strongest sales growth was Wines & Spirits (brands include Hennessy, Veuve Clicquot and Dom Pérignon) followed by Fashion & Leather Goods (brands include Louis Vuitton, Marc Jacobs and Dior).
Commenting on the results, the company said: “In a particularly uncertain environment, LVMH will continue to focus its efforts on developing its brands, maintain strict control over costs and target its investments on the quality, excellence and innovation of its products and their distribution.”
The company also mentioned the “geographical balance of its revenue.”