For the second quarter LVMH’s sales rose 15 per cent. For the six months to ending June, LVMH’s earnings before interest and tax rose 14 per cent. Operating margins were 21.1 per cent. In the current climate of geopolitical and economic instability, creativity and quality, the group’s founding values have become benchmarks. The increasing digitalization of its activities reinforces the quality of the experience it brings to customers. Its largest division is of fashion and leather goods.
LVMH also attributed growth to strong Chinese demand and investments in marketing and new designs. With Chinese customers, there was a noticeable improvement between the first quarter and the second quarter. LVMH, based in France, is a luxury goods group that houses Louis Vuitton and Christian Dior and champagne maker Moet & Chandon. It boasts the largest market capitalization of any company in France. Louis Vuitton is betting on temporary pop-up stores to spike consumer interest and has turned to DJ-turned-designer Virgil Abloh to grow its menswear lines. Christian Dior brand, while still estimated to be less than a third of Vuitton’s size, was also one of the standouts of the second quarter, with sales growth exceeding 20 per cent of the broader fashion and leather goods unit.
