Companies

Hermès reports strong first quarter

May 1, 2024 France

The luxury group reported a first quarter sales growth of 17% at constant exchange, as compared to the same period of last year, “with solid activity in all geographical areas”

“The solid sales growth in the first quarter 2024 reflects the loyalty of our clients worldwide, the strength of the group’s artisanal model and the desirability of our creations in a more complex environment. Hermès pursues its strategy based on exceptional know-how, the finest materials and uncompromising quality”, commented Axel Dumas, Executive Chairman of Hermès.

At the end of March 2024, the group’s consolidated revenue totalled 3.81 billion euros, an increase of 17.0% at constant exchange rates and 12.6% at current exchange rates, compared to the same last year's period. All geographic regions delivered double-digit growth over the period.

Geographical Areas

In the first quarter of the current year, Hermès sales rose by 13.9% at constant exchange rates in the Asian continent (excluding Japan), on a comparable basis to the same period of fiscal 2023, reaching 1.90 billion euros. Sales in Japan contributed 357 million euros to the company’s total revenue, up by 25.3% at constant exchange rates.

With a strong momentum in the US, the group recorded a “sustained growth” of 11.8% at constant exchange rates in the first three months of the year to 614 million euros, as compared to a similar period last year.

Finally, in the three months to the end of March, Hermès reported a solid sales rise of 14.6% at constant exchange rates in Europe (excluding France) to 444 million euros and 14.3% in France to 312 million euros, on a comparable basis to the first quarter of 2023.

Segment Highlights

Driven by “very sustained demand”, first quarter sales in the leather goods and saddlery segment reached 1.62 billion euros, an increase of 20.3% at constant exchange rates, as compared to the same period of last year. The ready-to-wear and accessories segment also performed well during the period, with sales up by 16.3% at constant exchange rates year-over-year.

Image Credits: tatlerasia.com

France Accessories Hermès Luxury Quarter Results Results Shoes