Luxury goods giant LVMH 'cautiously confident' about 2020
Luxury goods giant LVMH said it was “cautiously confident” about the year ahead despite the “uncertain geopolitical context”, as it reported a jump in profit and revenue for 2019.
Revenue soared 15 per cent to €53.7bn (£45.5bn) in 2019 and profit from recurring operations also jumped 15 per cent to €11.5bn, despite disruption caused by protests in Hong Kong, one of the group’s key markets.
The group’s fashion and leather goods division, which includes designer brands Louis Vuitton and Christian Dior, reported a profit jump of 24 per cent during the year.
In perfumes and cosmetics, the company, which owns Dior Guerlain and Givenchy, reported profit growth of one per cent.
Profit in LVMH’s watches and jewellery unit, which it has further strengthened through the acquisition of Tiffany & Co, was up five per cent.
Meanwhile, wines and spirit profit was up six per cent, driven by Hennessy cognac and sales in China linked to the timing of Chinese New Year.
LVMH chairman and chief executive Bernard Arnault said: “LVMH had another record year, both in terms of revenue and results.
“The desirability of our brands, the creativity and quality of our products, the unique experience offered to our customers and the commitment of our teams are the group’s strengths and have, once again, made the difference.”
LVMH announced a dividend of €6.80 per share, an increase of 13 per cent.