Double Digit Growth in Richemont Jewelry Sales

Richemont jewelry sales grew 21 percent in constant exchange rates and by 32 percent at actual exchange rates in five months ending August 31, the company said Wednesday, ahead of its annual general meeting.

Total sales for the period increased by 37 percent at actual exchange rates. At constant exchange rates and excluding the impact on sales of the acquisition of NET-A-PORTER.COM in April, sales increased by 22 percent.

Retail sales increased by 24 percent at constant exchange rates, reflecting strong growth in all regions, Richemont reported. The group’s wholesale business, which suffered in particular during the comparative period due to de-stocking by business partners in some markets, also reported strong growth. The proportion of retail sales has increased from 43 percent in the comparative period to 47 percent in the period under review.

Europe, including the Middle East, remains the most important region for the group with sales accounting for 41 percent of overall sales. At constant exchange rates and excluding new businesses, sales in Europe increased by 15 percent.

The Asia-Pacific region, including China, continued to report strong sales growth. The growth in sales in Japan was largely due to favorable exchange rate effects. The Americas also reported strong growth, though compared to very weak comparative figures.

"This time last year we were still seeing falling sales. This year, with double-digit sales growth already in hand, Richemont will report significantly higher first half profit. However, the rest of the year is less straightforward," Executive Chairman and Group CEO Johann Rupert said in statement.

Richemont's jewelry brands are Cartier and Van Cleef & Arpels.