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Selective Retailing illustrates strong growth at Christian Dior

Sep '05
Beauty products & fragrances company Christian Dior Group announced that during the first half of 2005, it posted a further increase in consolidated earnings, despite the unfavorable evolution of the dollar and the yen. Profit from recurring operations rose 11 percent and the Group share of net profit increased yet further by 21 percent.

At constant exchange rates, profit from recurring operations increased by over 25 percent.

LVMH reported an 11% increase in profit from recurring operations, which at 1,090 million euros exceeded the one billion Euro mark for the first time.

Louis Vuitton delivered double-digit organic sales growth while maintaining an exceptional operating margin, Watches & Jewelry recovered to post a positive operating margin and Selective Retailing showed strong growth.

Christian Dior Couture reported revenues of 301 million EUR or an 11 percent increase at constant exchange rates (10 percent at current rates) during the first half of 2005. This strong growth comes after a first half in 2004 which had already seen 20 percent organic sales growth.

Asia and the United States enjoyed the most dynamic growth momentum during the first half of the year with retail revenues increasing 26 percent and 20 percent respectively at constant exchange rates.

The sustained operating income over this first half of 2005 was driven by the significant number of boutique openings, notably in Shanghai, Okinawa, Guam, Las Vegas, Osaka, Sao Paulo and Mexico.

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