France : LMVH organic revenue grows 8% for Q4

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LMVH organic revenue grows 8% for Q4

31
Jan '14

LVMH Moët Hennessy Louis Vuitton, the world’s leading luxury products group, recorded revenue of €29.1 billion in 2013, an increase of 4% over the previous year. Organic revenue growth was 8%. The Group maintained good momentum in the United States and Asia, and continued to grow in Europe, despite the challenging economic environment.

With organic revenue growth of 8%, the fourth quarter performance was in line with the trends seen in the first nine months of the year.

Profit from recurring operations rose to €6 021 million, an increase of 2% over the strong growth recorded in 2012. Current operating margin reached 21%. Group share of net profit was €3 436 million, in line with 2012 which included a special dividend.

Bernard Arnault, Chairman and CEO of LVMH, said: "2013 saw another excellent performance from LVMH despite exchange rate volatility and slower growth in the European markets. Profit from recurring operations exceeded €6 billion for the first time. A significant event during the year was the acquisition of Loro Piana, a company famous for its unrivalled work with cashmere and rare textiles, and with which we share the same values of family and craftsmanship.

All our brands have proven to be exceptionally dynamic. Looking beyond the appeal of our brands, it is the talent of our teams and their motivation that enables us to so effectively execute our strategy. In 2014, LVMH intends to further strengthen its global leadership position in high quality products by relying on its sound, long-term strategy."

Highlights of 2013 include:

-Profit from recurring operations exceeded 6 billion Euros for the first time

-Good momentum in Asia and the United States and continued growth in Europe

-A remarkable performance in Wines & Spirits

-The launch of very high quality leather products at Louis Vuitton whose profitability remains at an exceptional level

-Further investment in our fashion brands

-The strength and success of the iconic lines from Parfums Christian Dior

-Excellent results from Bulgari

-Continued progress at Sephora and DFS, driven by innovation in products and services

-A 20% increase in free cash flow to 3 billion Euros

-A gearing ratio of less than 20% at the end of December 2013

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