(BFM Stock Exchange) – The number one in the sector delivered its annual results this Tuesday, January 28. Company’s revenues increased by 1% in data comparable to the fourth quarter. Over the entire 2024, the company’s net profit fell 17%.

As often, LVMH inaugurates the BAL of the annual results of the CAC 40. The number one of luxury has thus delivered its activity from the fourth quarter as well as its accounts for the entire year 2024, this Tuesday, January 28.

Over the period from October to the end of December, LVMH gave income of 23.9 billion euros, translating an increase of 1% into comparable data.

This constitutes a sequential improvement, that is to say from one quarter to another. The turnover of the luxury group had fell 3% in comparable data in the third quarter.

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Fashion and leather goods saw its sales falling back

The activity of the fashion and leather goods division, the most important of the company, however remained in the red, accusing a decline of 1% in the quarter, in comparable data. In the previous quarter, his income had dropped by 5% in comparable data.

The HSBC bank awaited a drop in revenues in the mode and leather goods division of 4% in the fourth quarter in comparable data as well as a global fall in turnover of 3% in the fourth quarter, still in comparable data. Royal Bank of Canada anticipated, for its part, figures from respectively -5% for the fashion and leather goods division and -3% for overall sales.

Wines and spirits have suffered again in the quarter, income back 8% in comparable data. Watches and jewelry came back in the green, with an increase in sales in value of 3% (against a drop of 4% in the third quarter) while the selective distribution recorded growth of 7%. Perfumes and cosmetics have seen their sales increase by 2%.

United States rebound

By region, the United States has growth of 3% in comparable data, against a figure at 0% in the previous quarter. Asia-Pacific accuses a decline of 10% while Europe has seen its income increase by 4%. In Japan, LVMH sales increased 8% in comparable data, undergoing a brake compared to the previous quarter (+20%).

Over the 2024, LVMH revenues increased by 1%, in data, comparable, to 84.7 billion euros. “We have published a small organic growth, contrary to what many of you were considering,” said the group’s CEO, Bernard Arnault, in the direction of analysts present at the press presentation press conference.

The current operating profit fell 14% over one year to 19.57 billion euros. The corresponding margin was established at 23.1% against 26.5% a year earlier. The company’s net profit fell by 17% to 12.55 billion euros.

The recent publications of Richemont, owner of Cartier, and the British leatherist Burberry, in recent weeks, had led investors to be more optimistic in the luxury sector for 2025. The figures published by the Swiss group and the company -Manche notably suggested a resumption of the American market, which should according to HSBC, constitute the main growth engine for luxury in 2025.

According to Deutsche Bank, after the publications of Burberry and Richemont, investors have probably revised their expectations on LVMH. The German bank estimates that market operators have probably anticipated an increase of 2% to 3% in the Fashion and Leather goods division in the fourth quarter.

For 2025, “I am quite confident and even very confident,” said Bernard Arnault, at the conference for the presentation of the results.

The manager said that 2025 started “rather well”, stressing that “several companies” of LVMH had recorded “double digit” growth, at least 10%, since the start of the year. Bernard Arnault explicitly cited Louis Vuitton and jeweler Tiffany.

LVMH will offer its shareholders to pay a dividend of 13 euros per share for the 2024 financial year, during its general meeting on April 17. This figure is stable over a year.

The market reaction to the Paris Stock Exchange will be observed on Wednesday. But at Wall Street, ADR – a title allowing American investors to position themselves on foreign groups – from LVMH lost 5.6% around 6.30 p.m., in response to the publication of the company.