LVMH recorded high growth in China

PARIS - (Business Wire) LVMH Mo?t Hennessy Louis Vuitton, the world’s leading luxury products group, recorded revenue of 17.2 billion Euros in 2008, an increase of 4%. Organic revenue grew 7% for the year. Emerging markets, such as China, Russia and the Middle East, recorded high growth.
In the fourth quarter, reported revenue was 5.2 billion Euros, an increase of 4%.
Profit from recurring operations rose by 2% to 3 628 million Euros. This performance, achieved in the current economic environment, is even more noteworthy when compared to the Group’s strong performance in 2007. The negative exchange rate impact was again high this year, particularly in the first half. At constant exchange rates, profit from recurring operations increased by 6% in 2008.
Group share of net profit was stable compared to 2007 and came to 2 026 million Euros.
Mr Bernard Arnault, Chairman and CEO of LVMH, said: “The 2008 results demonstrate the exceptional reactivity of our organization in this period of economic crisis. The Group has always emerged stronger from previous economic downturns thanks to the dynamic innovation of its brands, the quality of its products and the effectiveness of its teams. LVMH approaches the challenges and the opportunities of 2009 with confidence and determination and has set the objective of increasing its leadership position in the worldwide luxury goods sector.”
Highlights of 2008 include:
Increased revenue and profits of the Group,
Continued growth of major brands,
Further market share gains,
Double-digit organic revenue growth at Louis Vuitton, which continued to record an exceptional level of profitability,
Excellent performance of Perfumes & Cosmetics, led by Christian Dior,
Excellent performance of Sephora,
Strong financial position reaffirmed with a net debt ratio of 28%.