Richemont Jewelry Sales +11% in H1

Swiss luxury goods group Richemont, announced a 10 percent rise in sales in the first half of the year to €2.8 billion. Net profits increased 5 percent to €864 million in the six month period. However, October sales were weak, rising 1.6 percent. These figures include Richmont’s share of British American Tobacco.

The rise in sales reflect strong growth in the Europe and Asia-Pacific regions, the company said. At constant exchange rates, sales growth was 16 percent.

Sales by the Jewellery Maisons, including by Cartier and Van Cleef & Arpels, totaled €1.42 billion, rising 11 year-over-year.

Executive Chairman Johann Rupert said luxury sales have been very strong noting in particular, the jewelry maisons and the specialist watchmakers as seeing strong growth over the period.

“The turmoil experienced in October has started to impact demand

for the Group’s products,” Rupert said in his outlook. The weaker October sales were impacted by a stronger yen and dollar.

“The largest decline was seen in the Americas region, Rupert continued. “Although Asian markets continued to grow at a double-digit rate, Europe also registered a decline despite strong sales to non-European customers.

Sales in Japan were also below the prior year in yen terms but showed growth

on conversion into euros.