LVMH has reported a bumper third quarter of trading, offsetting several quarters of sales declines thanks to a standout performance from retailer Sephora.
The luxury giant reported a 1% increase in revenues to €58.1bn in the first nine months of 2025, despite a downturn in Europe, where revenue from tourist spending declined.
Europe, along with the US, still saw mostly stable trading during Q3 and benefited from solid local demand.
Sales in Japan were weaker, however, when compared to LVMH’s performance in 2024, which was boosted by growth in tourist spending due to the much weaker yen.
The rest of Asia saw a noticeable improvement in sales growth when compared with the previous year.
Sephora was hailed for its “remarkable performance” in delivering sustained growth during Q3, which was bolstered by the launch of Hailey Bieber’s beauty brand Rhode in Sephora last month.
Luxury travel retailer DFS also contributed to the improved third quarter of trading, as a result of operational streamlining measures taken at the start of 2025.
LVMH’s Perfumes & Cosmetics division also drove growth in the quarter, benefiting from the launches of Miss Dior Essence and Dior Homme Parfum, along with consistent sales of Sauvage.
Guerlain was also buoyed by the latest additions to its Aqua Allegoria and L’Art & La Matière fragrance lines.
The addition of Rouge Dior On Stage lipstick, as well as innovations within Forever and Dior Addict, also contributed to the brand owner’s make-up division.
“In an uncertain economic and geopolitical environment, the group remains confident and will maintain a strategy focused on continuously enhancing the desirability of its brands, drawing on the authenticity and quality of its products, excellence in retail and agile organisation,” LVMH said in a statement.
“LVMH will draw on its powerful brands and the talent of its teams to reinforce its global leadership position in luxury goods once again in 2025.”
LVMH, along with L'Oréal and Luxottica, were recently named as the preferred buyer of Giorgio Armani’s beauty and fashion empire, following the death of its namesake founder in September.
The trio of luxury beauty and fashion businesses were mentioned in Giorgio Armani’s will, published on 12 September, as the Armani Group begins a gradual sale of its assets.