Home / Knowledge / News / Apparel/Garments / Sales expanded by 25.5% in first quarter, Hermès
Sales expanded by 25.5% in first quarter, Hermès
17
May '11
Hermès announced First quarter financial report for the year 2011.

Message from Management

On 11 March 2011, Japan was struck by a catastrophic earthquake of unprecedented magnitude. Our hearts and minds go out to all the people who are suffering enormous hardship in the aftermath of this tragic disaster. We are deeply grateful to Hermès employees in Japan and greatly admire the extraordinary courage and dignity they have shown in coping with this terrible situation. Hermès reiterates and stands firmly behind its long-term commitment to Japan – a market that sets the benchmark world-wide when it comes to appreciating quality and setting exacting standards.

Consolidated revenue totalled €637.1 million in the first quarter, a rise of 25.5 % at current exchange rates and of 20.7 % at constant exchange rates. The remarkable performance and exceptional business momentum registered in 2010 persisted throughout the first three months of 2011.

The Group's own stores generated extremely robust growth of 20 % at constant exchange rates – a noteworthy performance, given the very high increase registered in the first quarter of 2010. Wholesale revenue moved up 23 % at constant exchange rates, propelled by vigorous demand, particularly in the Watch and Perfumes segments.

First-quarter sales by sector and region

All regions other than Japan delivered high growth in the first quarter. Hermès opened two new branches.

France, which benefited from the success of the new store on rue de Sèvres in Paris opened in late of 2010, delivered robust sales growth (19 %), as did the rest of Europe (21 %).

The Americas and non-Japan Asia registered exceptional growth of 33 % and 27 %, respectively.

In Japan, sales were stable in the three months to 31 March. The favourable trend at the beginning of the year reversed after the earthquake on 11 March.

All sectors benefited from ongoing innovation and fresh, new creative designs.

The uptrend in sales was underpinned by the new collections in Silks & Textiles, which were greeted enthusiastically, and by the success of fashion accessories.

Significant events during the first quarter

The exchange rate trend at end-March was favourable. It produced a positive impact of €24 million on sales.

The Group did not buy back any shares during the first quarter of 2011, other than shares traded under the liquidity contract.

Hermès has owned a stake in Jean-Paul Gaultier since 1999 and has supported that company's international development. Mr Jean-Paul Gaultier wished to step up the pace of expansion and to inject new momentum into his firm. By mutual agreement with the designer, on 3 May, Hermès sold its entire 45 % interest to the Spanish group Puig. The proceeds from disposal of this investment (€16 million) and from repayment of loans to the company (€14 million) will generate a like amount of accounting profits in 2011 (€30 million).

Must ReadView All

Textiles | On 17th Jan 2017

GST rollout from July 1; states to control small taxpayers

The Centre and states have reached a consensus on the issue of dual...

Textiles | On 17th Jan 2017

Reliance Industries net increases 3.6% in Q3FY17

In the three months ended December 31, 2016, India’s biggest private...

Textiles | On 17th Jan 2017

IMF projects advanced economies to grow at 1.9% in 2017

Advanced economies are projected to grow by 1.9 per cent in 2017 and...

Interviews View All

Anvita Mehra
Confidential Couture

‘It is going to take some time for Indian buyers to get accustomed to...

Mukesh Agarwal & Rajesh Agarwal
Madhuram Fincap Pvt Ltd

Increasing prices and lack of demand main issues facing industry

Awen Delaval
Samatoa

'Natural fibres are appreciated for traditional authenticity'

Marten Alkhagen
Swerea IVF AB

Marten Alkhagen, Senior Scientist - Nonwoven and Technical Textiles of...

Marcel Alberts
Eurofibers

Coating at a fibre level is a practice not usually seen in the...

Lynda Kelly
Suominen Corporation

Suominen Corporation is a manufacturer of nonwovens as roll goods for...

Wendell Rodricks
Wendell Rodricks

"We should not compare India and the West. There are things we do that...

Jay Ramrakhiani
Occasions Elegance Wear

It is believed that by early 19th century, Varanasi weavers had moved away ...

Bani Batra

Bani Batra’s couture wedding collection is inspired by traditional Indian...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH
January 2017

January 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


eNEWS
Insights
Subscribe today and get the latest News update in your mail box.
Advanced Search