![]() ![]() The increase of 23%, at constant exchange rates, beat a Visible Alpha consensus for 15% growth. Group sales for the three months ending in March came to 3.38 billion euros ($3.74 billion). market, where it generated 18% of its annual sales last year, adding stores in Florida and Texas as well as on Madison Avenue in New York. Hermes has also been investing in the U.S. One of the steadiest performers in the luxury goods industry, Hermes has a reputation of weathering downturns better than rivals, thanks to its classic styles that appeal to older and wealthier shoppers who are more immune to economic crises.Ĭareful management of productions and stocks have helped maintain the label's aura of exclusivity, and its coveted $10,000 plus Birkin handbags tend to generate waiting lists and can sometimes increase in resale value.Īs part of its strategy of increasing production at a rate of around 7% per year, Hermes last week opened a new site in Normandy that makes Kelly handbags - a model designed in the 1920s that became associated with actress Grace Kelly in the 1950s. "Higher end exposure to richer consumers is probably also helping." "It confirms Hermes's superior ability to plough through adverse demand trends, leveraging its high brand desirability and waiting lists for iconic products," he said. growth for LVMH, was particularly noteworthy. growth for the group, which posted a 19% increase in sales in the Americas region compared to 8% U.S. but we have not seen a slowdown so far."īernstein analyst Luca Solca said strong U.S. "We obviously remain vigilant as far as macro trends are concerned. "What we're seeing in the United States is globally an increase in (store) traffic, the trends we've seen in April remain favorable, with, again, very dynamic traffic," he said. Hermes finance chief Eric du Halgouet told journalists store traffic in the United States, where rival LVMH earlier this week flagged softer demand for fashion, leather goods and jewellery, continued to rise. PARIS, April 13 (Reuters) - Sales at Birkin bag maker Hermes (HRMS.PA) rose 23% in the first quarter, above market expectations, as wealthy shoppers in China and Europe splurged on luxury fashion and accessories despite higher prices and global market turmoil. ![]()
0 Comments
Leave a Reply. |