LVMH has beat analyst predictions after posting better-than-expected revenue growth for the 2024 financial year.
The luxury giant said in a statement that it reported a 1% revenue increase to €84.7bn in the face of a “challenging economic and geopolitical environment”.
This exceeded the €84.38bn figure forecasted by analysts at the London Stock Exchange Group.
The brand owner’s Selective Retailing arm bolstered sales during the year, with beauty retailer Sephora posting “remarkable” revenue and profit growth.
Profit from recurring operations for 2024 came to €19.6bn, which LVMH said had significantly exceeded pre-Covid levels.
Japan also saw double-digit revenue growth, while the rest of Asia experienced strong growth in spending through Chinese customers in Europe and Japan.
“In 2024, amid an uncertain environment, LVMH showed strong resilience,” said Bernard Arnault, Chairman and CEO of LVMH.
“This capacity to weather the storm in highly turbulent times – already illustrated on many occasions throughout our group’s history – is yet another testament to the strength and relevance of our strategy.”
The company’s Perfumes & Cosmetics business division increased by 4% in 2024, attributed to “ongoing success” with its flagship lines including Christian Dior.
This was supported by consistent sales of fragrance Sauvage, alongside singer and Fenty Beauty founder Rihanna becoming the new face of J’adore.
Dior’s Forever Foundation also contributed to the Maison’s bumper results, alongside Fenty Beauty launching its new range of hair care products last year.
Profit from recurring operations was down 6% for the beauty arm, however.
“The creativity and very high quality of our products, our steadfast commitment to excellence, the agility of our teams, and the good geographic balance of our locations underpin the success of LVMH and its Maisons, backed by the dedication of all our people,” Arnault added.
“Guided by our mission – ‘passionate about creativity’ – and our core values, the group will rely on the agility and talent of its teams to set the stage for future success and further extend its leadership in the luxury market.”
The results follow Stella McCartney buying back her minority stake in her namesake fashion business from LVMH.
The designer, and daughter of British singer-songwriter Paul McCartney, is now in full control of the business after working with LVMH for five years.
“This new chapter for Stella McCartney reflects her desire to write a new page in her story independently, after working closely with the group to strengthen the fundamentals and governance of her house,” LVMH and McCartney said in a joint statement at the time.