LVMH reports softer Q1 as Middle East conflict impacts trading

LVMH results — The group also continued to expand its retail network. (Source: LVMH)

By Kaycee Enerva April 14, 2026

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LVMH has reported first-quarter revenue of €19.1 billion (US$22.4 billion), down 6 per cent, as geopolitical tensions weighed on trading.

The group said its strength in key markets, particularly the US and Asia, helped offset disruption linked to economic uncertainty and the conflict in the Middle East.

Across business segments, wines and spirits generated $1.49 billion in revenue, down 2 per cent versus the prior year, fashion and leather goods – the group’s largest division – recorded $10.8 billion, declining 9 per cent.

At the same time, perfumes and cosmetics brought in $2.39 billion, down 6 per cent, and watches and jewellery brought in $2.86 billion, down 2 per cent.

The group also continued to expand its retail network, particularly in the UK, while progressing portfolio optimisation initiatives in its duty-free business.

DFS signed an agreement with China Tourism Group Duty Free to sell its Greater China operations, including the Gallerias in Hong Kong and Macau. It also divested airport concessions in Los Angeles and San Francisco to Duty Free Americas.

“Amid a geopolitical and economic environment particularly disrupted by the conflict in the Middle East, LVMH remains vigilant yet confident at the start of the year,” the company said.

“The group remains focused on the development of its brands, driven by a sustained policy of innovation and investment as well as by a constant quest for quality in its designs, their desirability and their selective distribution.”