MC: Soft Aspirational US Consumer Weighs on Results
(PAR:MC) LVMH Presents Q1 FY24 Trading Update
LVMH Moët Hennessy
Weighting as of writing: 3%
18th April 2024 - Q1 FY24 Trading Update
On April 17th, LVMH published a sales update for the first quarter of 2024. The group reported 3% revenue growth, or -1% after accounting for a 4% FX drag. Notably, wines and spirits (down 12%) continue to suffer; cautious restocking of US retailers and soft local demand during the Chinese New Year were cited as headwinds. Selective retail (+11%) continues to be a bright spot in the portfolio. The soft US consumer, largely influenced by aspirational clientele, has been a constant theme over the last 18 months. The trend persists, but executives believe a gradual improvement is on the horizon.
Key points from the update:
Group revenues (€20.69 billion) +3% organic & -2% reported1.
Wines & spirits (€1.42 billion) -12% organic & -16% reported.
Fashion & leather (€10.49 billion) +2% organic & -2% reported.
Perfumes & cosmetics (€2.18 billion) +7% organic & +3% reported.
Watches & jewellery (€2.45 billion) -2% o…