Home / Knowledge / News / Fashion / Hermes Q3 revenues increase 12.9%
Hermes Q3 revenues increase 12.9%
12
Nov '13
As at end of September, the group’s consolidated turnover amounted to €2,662.7 million, an improvement of 13.9% at constant exchange rates. After taking into account the negative currency impact, primarily due to a weaker yen, growth was to 9.1%.

In the third quarter, sales grew by 12.9% at constant exchange rates (+5.5% at current exchange rates). The increase continues to be noteworthy both in the group’s stores (+12.9% at constant exchange rates) and in wholesale channels(+12.6% at constant exchange rates).

Activity as at end of September by geographical zone. (Data at comparable exchange rates unless indicated otherwise)

As at end of September 2013, sales grew in all geographical zones:

• Fine momentum continued in non-Japan Asia and in the Americas(+17%);

• France (+12%) and Europe excluding France (+14%) posted an excellent performance;

• Japan confirmed the positive trend seen in the first half of the year (+7%).

In the third quarter, Hermès continued the qualitative development of its distribution network. China and Japan opened two new stores, respectively in Ningbo and Nagoya Mitsukoshi. In the United States, the Beverly Hills store was inaugurated in September after being enlarged and renovated, and after the building’s acquisition in late 2012.

Activity as at end of September by sector (data at comparable exchange rates unless indicated otherwise) Demand for Hermès products continues to be supported by the House’s creative momentum, and the excellence of its know-how.

The Leather goods and Saddlery division (+9%) continued its qualitative growth as well as the progressive development of its production capacities, with the ramp-up of the new manufacturing plants in Isère, Charente and Franche-Comté.

The ready-to-wear and Accessories sector (+20%) posted a remarkable performance and is benefiting from the richness of ready-to-wear, fashion accessories and footwear collections. The Silk and Textiles sector (+13%) posted excellent results thanks to the abundance and density of its collections.

The other Hermès sectors increased sharply (+38%) thanks to the vitality of the jewellery sector and the singular nature of the offerings from Hermès home products.

Significant events in the third quarter

As at end of September, the evolution of currency exchange rates generated a negative impact of €116million on the turnover.

Hermès International did not buy back any shares during the third quarter, other than shares traded under the liquidity contract.

Outlook

In view of the sales generated over the first nine months, the annual growth objective for the consolidated turnover, at constant exchange rates, could exceed 11%. Depending on exchange rate fluctuations, current operating margin could be close to the historically high level reached in 2012 (32.1%).

During the fourth quarter, Hermès will continue to follow its long-term strategy based on creativity, fantasy, mastering its know-how, developing its distribution network, strengthening its production capacities and securing its sources of supply.

With its annual theme “Chic, le sport !” (A sporting life!), Hermès is clearly focusing on energy and optimism for the end of 2013. Since its origins, the House has been tapping the sports universe to feed its passion for movement, elegance and values of excellence. For Hermès, sport conveys spirit, style and pleasure before all else, and is more than ever expressed in our collections.

Hermes


Must ReadView All

Sri Lanka reduces VAT on imported fabric to 5%

Textiles | On 24th Sep 2018

Sri Lanka reduces VAT on imported fabric to 5%

Considering the requests made by the stakeholders in the fabric...

E-com firms in India to deduct 1% TCS under GST from Oct 1

Apparel/Garments | On 24th Sep 2018

E-com firms in India to deduct 1% TCS under GST from Oct 1

E-commerce companies in India will have to deduct 1 per cent tax...

Courtesy: Andritz

Textiles | On 24th Sep 2018

'Strength of economy, demographics drive nonwovens demand'

The strength of the economy and demographic trends are the main...

Interviews View All

Headhonchos, Textiles & allied industry

Headhonchos
Textiles & allied industry

Textiles industry is always in the forefront in accepting latest technology

Headhonchos, Indian textile value chain

Headhonchos
Indian textile value chain

'One nation, one tax' is a great concept

Hannah Lane, Redress

Hannah Lane
Redress

Encouragement from brands will motivate supply chains to become more...

Harsh Shah,

Harsh Shah

Established in 1956 with a small beginning, Embee today manufactures a...

Mark Tokuhara,

Mark Tokuhara

Japan-based FitJoy, a shoe brand for women, has been in the footwear...

Tom Adeyoola,

Tom Adeyoola

Describing itself as the best body shape and garment fit company in the...

Larry L Kinn, Suominen Corporation

Larry L Kinn
Suominen Corporation

Larry L Kinn, Senior Vice President - Operations Americas of Suominen...

Dave Rousse, INDA

Dave Rousse
INDA

INDA, the Association of the Nonwoven Fabrics Industry, serves hundreds of ...

Karl Zelik, Vanderbilt University

Karl Zelik
Vanderbilt University

A team of engineers at the Vanderbilt University has designed a smart...

Aditi Somani, Aditi Somani

Aditi Somani
Aditi Somani

Aditi Somani specialises in luxury fusion wear with international cuts and ...

Ritu Kumar, Label Ritu Kumar

Ritu Kumar
Label Ritu Kumar

‘Classics will return’ "There are a lot of people wearing western clothes ...

Cigdem Akin, Cigdem Akin

Cigdem Akin
Cigdem Akin

She has carved a niche for herself as the national brand of Turkey. Her...

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

Leave your Comments


September 2018

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

news category


Related Categories:

Advanced Search