Announcing its results for the the first nine months of 2018, LVMH Moët Hennessy Louis Vuitton said that it recorded a 10% increase in revenue, reaching € 33.1 billion, with organic revenue rising by 11% compared to the same period in 2017. The Company said that all business groups contributed to the performance and all geographical areas progressed well.

LVMH also clarified that growth was actually 13% excluding the impact of the airport concession closures in Hong Kong at the end of 2017.

During the third quarter, revenue was up 10% compared to the same period in 2017,while organic revenue growth too stood at 10%.

In the first nine months of 2018, the Watches & Jewelry business group achieved organic revenue growth of 14%. Bvlgari had an excellent performance and gained market share due to strong showing by its iconic jewelry and watch collections. Chaumet and Fred progressed steadily. In the watchmaking sector, TAG Heuer continued to develop its iconic lines. Hublot, which grew strongly, opened its first standalone boutique in London.

Among other sectors, the Wines & Spirits business group recorded organic revenue growth of 7%; the Fashion & Leather Goods business group achieved organic revenue growth of 14%; the Perfumes & Cosmetics business group recorded organic revenue growth of 14% and the Selective Retailing business group achieved organic revenue growth of 8% in the first nine months of 2018. Excluding the airport concession closures in Hong Kong, the growth in Selective Retailing was 14%.

LVMH said that it wil continue to be vigilant in the current uncertain geopolitical and monetary context. It will pursue its strategy focused on innovation and targeted geographic expansion in the most promising markets.

However, the results appear not to have matched the expectations of analysts and investors, and the stock dipped significantly in trading. The share was also hit by reports of a possible slowdown in spending by luxury consumers in China and news that Chinese border authorities had been searching bags of incoming travellers in a crackdown on illegal trade in luxury goods, purchased overseas and being smuggled into the country to feed the grey market.