China boosts growth for Hermes
Sales momentum in Mainland China helped boost growth for French luxury retailer Hermes in its third quarter.
Overall sales grew 11 per cent at constant exchange rates, and at the end of September revenues were up 10 per cent to €4 billion (US$4.6 billion).
Despite a strong comparison basis, sales in Asia (excluding Japan) rose 14 per cent, while Japan achieved a solid performance with a 5 per cent increase in the face of a strengthening yen.
Hermes says all sectors recorded growth, with a “remarkable” 11 per cent performance by ready-to-wear and accessories.
The 11 per cent growth in leather goods and saddlery was in line with the annual target of around 10 per cent, says the company, thanks to the success of its collections and diversity of models, particularly the Constance, Halzan, Lindy and Verrou bags, alongside Birkin and Kelly.
With 9 per cent growth, the silk and textiles business line benefited from sustained demand, the diversity of the collections and the wealth of the creations, says Hermes.
Strong growth of 13 per cent was posted by the perfumes division, driven notably by the launch of Twilly d’Hermes.
There was a slight 1 per cent improvement for watches, while other lines grew by 11 per cent, including jewellery, art of living, and table arts.