MOSCOW (Pakistan Point News / Sputnik - 14th April, 2021) LVMH Moët Hennessy Louis Vuitton, a French multinational corporation that leads the world's luxury goods market, said on Tuesday it had registered a 32-percent revenue increase in the first quarter of this year, compared to the same period of 2020, which means the company returned to growth after a decline related to the coronavirus.
"LVMH Moët Hennessy Louis Vuitton, the world's leading luxury products group, recorded revenue of 14 billion Euros for the first quarter of 2021, up 32% compared to the same period in 2020 and up 30% on an organic basis. The quarter marks a return to growth after several quarters of decline during 2020, a year that was severely disrupted by the global pandemic," the press release read.
In total, the conglomerate recorded 14 billion euros ($16.7 billion) in revenue during the first quarter, growing by 32 percent compared to the same quarter in 2020, right when the pandemic's economic impact first started to be felt.
This year, however, LVMH's Fashion and Leather Goods branch reported 52 percent organic revenue growth compared to the first quarter of 2020, and even outperformed the first quarter of pre-pandemic 2019, growing 37 percent in comparison. The group attributes the success to the creativity of brands like Louis Vuitton and Christian Dior.
The Wines and Spirits branch also experienced significant growth, outperforming the first quarter of both 2019 and 2020 by 36 percent and 17 percent respectively. Both the Hennessy cognac and champagne markets grew, particularly in Europe and the United States. LVMH reports that the Chinese market � the first to have been impacted by the pandemic � seems to be coming back strong.
This news comes after a tough 2020 for the luxury goods industry, like many others. This upturn is believed to be part of a more general trend emerging from the first quarter data with investors in virtually every sector seeing returns.
