LVMH Beat Forecasts with Q1 Sales of $4 Billion

LVMH, the largest luxury goods group in the world, posted higher than forecast sales for the first quarter, helped by a rise in sales of wines and spirits and, to a lesser extent, of watches and jewelry.

 

The group said its results had been boosted by a "sustained recovery" in tourism, while the economies of the United States and Asian countries were growing strongly.

LVMH, which owns brands from Moet & Chandon champagne to Christian Dior perfumes and Louis Vuitton handbags, said sales to the end of March rose 10 percent to 3.08 billion euros ($4 billion) in its first sales announcement under international accounting standards (IFRS).

On an underlying basis, which factors out acquisition, divestment and currency effects, turnover rose 11 percent.

The watches and jewelry unit recorded an 8 percent increase in sales to 122 million euros.

Analysts said the market had been expecting something of a slowdown in March after LVMH reported 12 percent underlying sales growth in the first two months of the year.