LVMH sees growth drop by up to 50%
The LVMH luxury products group, which includes the Sephora cosmetics business, has reported a marked slowdown in sales growth in the third quarter of 2008. Sales rose 3.2% to €4.2bn. The company estimates that growth is around half of the rate recorded in the previous quarter.
The LVMH luxury products group, which includes the Sephora cosmetics business, has reported a marked slowdown in sales growth in the third quarter of 2008. Sales rose 3.2% to €4.2bn. The company estimates that growth is around half of the rate recorded in the previous quarter.
Sales in the nine-month period went up 4.5% to €12bn compared with a 10% growth rate under stable monetary conditions. Growth in the cosmetics and perfumes sector in the first nine months turned out at 11% compared with 13% in the first half of the year with selective distribution affected by lower tourist-area sales.
The financial markets were said to have been reassured by LVMH's assurance later that its September sales had been markedly better than those in August.
Finance director of the group Jean-Jacques Guiony said sales had been "solid" in July and September but had weakened in August.