(BFM Stock Exchange) – The luxury group presented its activity in the first quarter this Monday after the fence. Sales reached 20.311 billion euros marking a decline of 3% in comparable data.

Inaugurating the residents of the residents of the CAC 40 for the first quarter of the residents, LVMH presented its income this Monday after the closing of the market.

The copy which was presented with one day in advance compared to the initial calendar, is clearly disappointing.

Over the period from January to the end of March, the luxury number one recorded income of 20.311 billion euros. This reflects a fall in sales of 2% in published data and 3% in comparable data (with a exchange effect of +1% and a zero perimeter effect).

According to a consensus visible Alpha cited by Reuters, analysts tabbed on income up 2% in comparable data.

This constitutes a sequential degradation, that is to say from one quarter to the other. The turnover of the luxury group had increased by 1% in data comparable to the fourth quarter.

“Fashion and leather goods” disappoint

The disappointment comes for many from the most important division of society, “fashion and leather goods”. Over the first three months of the year, this activity has seen its revenue fall by 5% in comparable data.

As for other divisions, “perfumes and cosmetics” also fell, by 1%, in comparable data, the “watch and jewelry” division is stable, however, marking a sequential slowdown after growth of 3% in data comparable to the fourth quarter.

On the side of selective distribution (Sephora, sales at airports), this division saw its sales contract by 1%, where consensus was more optimistic (+5%) for this division, and after an increase of 7%at the end of 2024.

“Wines and spirits” accuse a 9% drop in comparable data. “Champagne activity is slightly decline in a context of continuous normalization of demand. Moët & Chandon returns to the podium of Formula 1 as an official champagne. The cognac is penalized by a lower demand in China and in the United States. The portfolio of Provence wines of Provence is a good start to the year,” explains the world number one.

By region, the United States has a decrease of 3% in comparable data, against growth of 3% in the previous quarter.

The market reaction to the Paris Stock Exchange will be observed on Tuesday. But at Wall Street, ADR – a title allowing American investors to position themselves on foreign groups – LVMH restored 7.3% around 6.30 p.m., in response to the publication of the company. It evolved in a very slight drop (-0.2%) before the announcement of sales at the start of the year of LVMH.

“In a disturbed geopolitical and economic context, LVMH remains both vigilant and confident at the start of the year,” said the number one of luxury.

However, the risks linked to customs duties announced by the American administration and then suspended for some by Donald Trump will fear a contraction of the luxury market this year.

The uncertainty and especially the risks associated with the economic consequences of these rights have even led Bernstein to review his prospects for the luxury sector. In a note unveiled last week, the design office had lowered its market forecast for the entire sector, now retaining a 2% contraction against growth of 5%, previously.

“What concerns us are the effects of second and third order: uncertainty, the recent stock market crash, the devaluation of the dollar and the threat of a global recession,” said Bernstein.