Richemont Revenues Up 11%

Compagnie Financiere Richemont AG, the world’s second-largest luxury-goods maker, reported revenue growth of 11 percent for the first five months of its fiscal year. Same-store sales for the April-to-August period rose 17 percent, not including currency fluctuations.

Sales for the period rose 14 percent in Europe, which was Richemont’s main market last year, generating about 40 percent of total revenue.

The company said its strongest growth for the period continues to come from its specialist watchmakers (which is made up of Jaeger-LeCoultre, Piaget, IWC, Baume & Mercier, Vacheron Constantin, Officine Panerai and A. Lange & Söhne), where overall sales at actual exchange rates increased by 20 percent over the five-month period.

The company’s jewelry houses—Cartier and Van Cleef & Arpels—reported sales increase of 8 percent for the period.

Montblanc’s sales grew by 11 percent, which it said is a “very good performance considering the positive impact of the centenary celebrations in 2006.”

Its leather and accessories businesses were broadly in line with last year, while Chloé reported sales growth of 12 percent.

Sales climbed 22 percent in Asia and rose 6 percent in the Americas. In Japan, revenue fell 4 percent because of declines by the yen against the euro. The yen on average was 11 percent lower against the euro in the five-month period compared with a year earlier, eroding Japanese sales on conversion. Excluding the currency effect, sales in that market rose 7 percent, the company said.

The Americas and Japan account for about a third of all Richemont sales. The dollar on average was 6.7 percent lower against the euro, which also effected company growth.

Richemont regularly publishes a five-month sales report at the time of its annual general meeting, which took place Thursday in Geneva.