After a weak start to the year, French luxury group LVMH is still struggling to find its footing. The Louis Vuitton and Dior owner is selling less (especially in the fashion and leather goods departments) as tourists and trade tariffs spell trouble.
Uncertainty
LVMH’s turnover in the second quarter decreased by 4 % to 19.5 billion euros as consumer confidence remains weak – a factor with which other luxury brands are also struggling. The decrease follows, and is still worse than, the 3 % decline from the first quarter. In the important ‘Fashion and Leather Goods’ division, turnover even fell by 9 %. The beverages division saw a slight decline, sales of jewellery and watches remained stable, and perfumes and cosmetics rose slightly. Beauty retailer Sephora is also growing.
