PARIS (Reuters) -French luxury goods giant LVMH beat market forecasts in the third quarter, posting a brisk rise in sales as wealthy shoppers continued to splash out on fashion, with an added boost from improved business in China as COVID-19 curbs eased up.
Sales at the world’s biggest luxury group came to 19.8 billion euros ($19.2 billion), up 19% on a comparable basis from a year earlier, beating analyst expectations for 13% growth according to a Visible Alpha consensus.
“Europe, the United States and Japan, up sharply since the start of the year, benefitted from the solid demand of local customers and the recovery in international travel,” the group said in a statement on Tuesday.
“Asia, including China, saw a lower level of growth over the first nine months of 2022, though growth in the latest quarter accelerated there due to the partial easing of health restrictions,” it said.
The group’s fashion and leather goods division, home to brands such as Louis Vuitton and Dior, led the jump in sales with a 22% increase on the same period a year ago.
The third quarter results for LVMH, which also owns Sephora, Bulgari and Tiffany & Co., kicks off earnings season for the industry. Rivals Hermes and Gucci owner Kering will report sales for the three months on Oct. 20.
($1 = 1.0277 euros)
(Reporting by Mimosa Spencer, editing by Silvia Aloisi)
