LVMH Reports On The Results Of Work In The First Quarter Of 2020

LVMH Reports On The Results Of Work In The First Quarter Of 2020
LVMH Reports On The Results Of Work In The First Quarter Of 2020
Video: LVMH Reports On The Results Of Work In The First Quarter Of 2020
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The luxury holding company has published its financial report for the first quarter of 2020. The company's total revenues for the reporting period decreased by 15% year on year.

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According to the updated data, the biggest financial losses were observed in the watch and jewelry sector: Bulgari, Hublot, Chaumet, Tag Heuer and Zenith lost 24% of their revenues. Apparel sales fell 9%, with Dior hitting the least, while Givenchy, Celine and Fendi were the worst performers. To compensate for the decline in sales, the conglomerate's management decided to cut overall costs by 40% in 2020 through the cancellation and rescheduling of events and fashion shows. Marketing and advertising spend of brands will also be optimized.

The company also noted the growing trends by mid-spring. In Europe, the situation is still uncertain, but the Asian market is reviving and gradually returning to pre-crisis indicators. For example, at the beginning of April in China, sales showed an increase of 50% on an annualized basis. LVMH also notes growth in online sales of Louis Vuitton and Sephor in Europe, China, Japan and the United States.

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