French luxury goods group LVMH Moët Hennessy Louis Vuitton SE on Oct. 9 said revenue for the first nine months of 2017 rose 14% year over year as all of its divisions posted growth at a healthy pace.
The Paris-based company said revenue for the period rose to €30.10 billion from €26.33 billion in the same period a year earlier, 12% growth on an organic basis, or a constant currency and comparable basis. The company did not report profit or break out figures for the third quarter.
Revenue in the fashion and leather goods category rose 14% on an organic basis to €10.84 billion from €8.99 billion, driven by Louis Vuitton, which released its first smartwatch and reinforced its distribution network, including the opening of Maison Louis Vendôme in Paris. Christian Dior Couture, which was consolidated in the third quarter, also performed well, the company said.
The perfumes and cosmetics business recorded a 14% revenue rise to €4.07 billion from €3.58 billion, bolstered by continued strength at Parfums Christian Dior and the Rouge Dior lipstick range.
LVMH's watches and jewelry unit enjoyed revenue growth of 13% to €2.79 billion from €2.49 billion thanks to rapid growth by Bulgari's signature jewelry collections Serpenti, Diva and B.Zero1. Chaumet and Fred also contributed to the expansion. In the watches business, TAG Heuer and Hublot saw continued growth.
The selective retailing business saw sales rise 12% to €9.34 billion from €8.28 billion. Cosmetics store chain Sephora continued to renovate stores and add new ones, while luxury travel retailer DFS enjoyed sustained growth, especially in Hong Kong and Macau.
Wines and spirits reported organic revenue growth of 8% to €3.51 billion from €3.28 billion as strong demand in Europe and Japan pushed up champagne volumes, while Hennessy cognac has performed well, the company said.
LVMH offered a cautious outlook. "In an uncertain geopolitical and currency environment, LVMH will continue to be vigilant," the company said in a statement. "The Group will pursue its strategy focused on innovation and targeted geographic expansion in the most promising markets."
LVMH is due to hold a conference call for analysts and investors Oct. 10.