Richemont Sales +5% in December Quarter

A sapphires and diamonds Van Cleef & Arpels parrot clip

(IDEX Online News) – Jewelry and watch sales by Richemont increased in the December ending quarter. Jewelry sales of €1.48 billion increased by 4 percent at constant exchange rates and by 8 percent at actual exchange rates.

Sales of €2.86 billion by the luxury goods group during the quarter are a 5 percent sales increase at constant exchange rates and 9 percent at actual rates.

The group's performance was highlighted by robust Cartier and Van Cleef & Arpels jewelry sales and continued retail channel momentum, the company said Monday morning.

Sales by Montblanc totaled €227 million in the quarter, up 3 percent in actual exchange rates. Sales of the Montblanc Maison were in line with the comparative period, with retail sales growth offsetting a decrease in sales to retail partners

The Group’s watch brands performed well during the period, with retail sales through the brand's own boutiques serving as the principal driver of growth.

Watch sales totaled €784 million, up 9 percent at constant exchange rates and 13 percent at actual rates.

The overall increase of 9 percent in watch sales reflects good double-digit growth in most cases, although sales were lower for brands which are more focused on the Asia Pacific region and which had the strongest comparatives in the comparative period.

Group sales growth in the Americas region improved further, rising to €452 million.

In Europe, growth in retail sales moderated during the quarter, Richemont said.

Conversely, in the Asia Pacific region, in particular China, sales of €1.12 billion were flat compared to the demanding comparative figures for the same quarter last year.

The company's outlook for near-term is hesitant at best, stating that at this stage it is unclear how business patterns may develop and how the business in the Asia Pacific region will evolve.