LVMH Moët Hennessy Louis Vuitton, the world’s leading high-quality products group, reported a 38% decline in H1 2020 sales of watches and jewellery to €1.32 billion ($1.5 billion). Profit from recurring operations of the watch and jewellery division amounted to €17 million compared with €357 million a year ago.
“Confronted in January with the decline of the Chinese market, then with the closure of other markets from mid-March, Bvlgari quickly took advantage of the recovery in China in the second quarter. After the launch of the B.Zero1 Rock collection, the Maison unveiled a new line of Barocko fine jewellery through an augmented reality experience,” the company said.
After a year of renovation, Chaumet inaugurated its historic address on Place Vendôme in Paris and strengthened its presence in China, it added.
LVMH recorded overall revenue of €18.4 billion in the first half of 2020, down 27%. Profit from recurring operations amounted to €1.671 billion euros for the first half of 2020 and operating margin stood at 9%.
Bernard Arnault, Chairman and CEO of LVMH, said: “LVMH showed exceptional resilience to the serious health crisis the world experienced in the first half of 2020. Our Maisons have shown remarkable agility in implementing measures to adapt their costs and accelerate the growth of online sales. While we have observed strong signs of an upturn in activity since June, we remain very vigilant for the rest of the year.”
“We are confident that LVMH is in an excellent position to take advantage of the recovery, which we hope will be confirmed in the second half of the year, and to strengthen our lead in the global luxury market in 2020.”
Caption: Bvlgari choker in gold, rubies, sapphires, lapis lazuli and diamonds, ca 1979.