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LVMH Watch, Jewelry Sales Up 3 Percent
The owner of TAG Heuer watches and jewelry brand Bulgari said business has improved in the second half of the year.
Paris--The owner of the TAG Heuer and Bulgari brands has seen its watch and jewelry sales increase so far this year, albeit not by much.
Paris-based LVMH Moët Hennessy Louis Vuitton reported Monday that its sales for its Watches & Jewelry division totaled $2.75 billion in the first nine months of fiscal year 2016, compared with $2.65 billion in the same period last year.
That’s an increase of 3 percent (4 percent on an organic/same-store basis).
LVMH said that Bulgari “continued to gain market share” and has showed “major creative momentum” by working on its iconic product lines, mentioning specifically the recent launch of Serpenti Seduttori.
TAG Heuer made “great progress in a difficult market,” LVMH said, benefitting from its new collections and sales of its smartwatch.
Hublot, meanwhile, continued to add to its Classic Fusion and Big Bang lines.
While watch and jewelry sales increased in the first nine months of the year, other segments of the business--Wines & Spirits, Perfumes & Cosmetics and Selective Retailing (which includes Sephora)--showed stronger growth.
Only Fashion & Leather Goods lagged behind Watches & Jewelry in terms of year-over-year growth.
Worldwide, LVMH said revenue increased to $29.09 billion, a 4 percent year-over-year increase on a reported basis and a 5 percent increase on an organic (same-store) basis.
The luxury goods company said business picked up worldwide in the third quarter.
Asia (excluding Japan) showed a “significant improvement,” while the United States and Europe remain “well positioned,” except for France, which continues to be impacted by the decline in tourism.
The Watches & Jewelry group has followed this pattern of quarterly improvement; revenues were $856.1 million in the first quarter, climbed to $923.6 million in the second, and increased again in the third quarter, to $970.1 million.
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