LVMH has reported revenues of over €21bn for the first quarter of 2023.
This was supported by an 11% uplift in sales for the luxury goliath’s Perfumes & Cosmetics business division.
Jean-Jacques Guiony, LVMH’s CFO, said the results were largely driven by make-up and fragrance trading.
Christian Dior saw strong growth during the period, and the Sauvage, Miss Dior and J’Adore fragrances benefited from increased sales.
Rihanna’s Super Bowl appearance also brought greater visibility to the Fenty Beauty brand, said Chrisopher Hollis, Director of Financial Communications at LVMH.
Searches for Rihanna's Fenty Beauty soared by 833% during her performance at the Super Bowl LVII in February 2023.
During her 13-minute set, the star stopped mid-performance to touch up her make-up with a product placement using Fenty Beauty’s Invisimatte Instant Setting + Blotting Powder.
LVMH’s skin care division saw more subdued sales, however.
“This has been going on for a while, due to the fact we have less growth in Asia and the bulk of the growth is coming from Europe and the US,” added Guinoy.
“This creates some bias in favour of fragrances and make-up."
Hollis also highlighted Sephora’s growth in Q1, which saw revenue and market share increases across the US, Europe and the Middle East.
“The first Sephora store in the UK enjoyed an excellent start,” he added.
Sephora’s first bricks-and-mortar store in the UK opened at Westfield White City in West London on 8 March 2023.
A dedicated beauty hub which offers beauty services and treatments features in the 6,000sqft retail space.
Sephora UK return comes over 17 years after it originally exited the British market
“The group will continue to pursue its strategy 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 products, their desirability and their distribution.”
Additionally, the brand owner saw consistent growth across its key trading regions.
Asia experienced the most significant rebound following the lifting of travel restrictions caused by the Covid-19 pandemic, and generated over 36% of the trading period's revenue.
Japan in particular was one of the top performing countries in the APAC area, which saw a 7% increase in sales compared with Q1 2022.
Guiony said part of the growth has come from an unexpected surge in tourists to Japan.
But another key contributor has been increased sales from domestic consumers.
“It seems to be that the Japanese consumer is very confident about the economy, about the global situation and inflation,” added Guiony.
“Inflation strikes way less in Japan than elsewhere, and buyers are active in terms of shopping.”
Sales in Europe, meanwhile, benefited from robust demand from local customers and international travellers.
However, the US market grew by only 8% in Q1, the results of softer demand in the country.
LVMH recently shook up its Beauty division, naming Stéphane Rinderknech CEO.