Richemont: shares surge after double-digit sales growth

(CercleFinance.com) - Richemont, the Swiss group which owns several iconic luxury brands, such as Cartier and Alfred Dunhill, posted double-digit sales growth over the five months to 31 August, prompting its Zurich-listed shares to rise in early trading on Monday.


Ahead of its AGM today in Geneva, the company said that sales over these five months increased by 25% at constant exchange rates, and by 22% at actual exchange rates.

Richemont's sales reached 5.67 billion euros over the period, against 4.66 billion euros in the same period a year ago.

Sales growth at constant exchange rates reached 28% in Europe, while the Americas region saw sales jump by 42% over the past five months, driven by strong demand for jewelry and watches.

Asia Pacific proved to be less impressive (+23%), as double-digit growth in Hong Kong, Korea and Macau were partly offset by slower growth in China.

Richemont also announced the appointment of Jerome Lambert, who is currently group chief operating officer, as group chief executive officer with immediate effect.

Lambert has been responsible for brands such as Richemont, Jaeger-LeCoultre and Montblanc.

At 10.15 this morning, the group's shares, which have fallen by over 5% in 2018, were trading up 1.4% higher at 83.3 euros, outperforming a flat STOXX Europe 600 Personal & Household Goods index.

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