Louis Vuitton is the Most Valuable Company for LVMH. Photo Louis Vuitton at Place Vendôme, Paris @pursebop
Pandemic, schmandemic… luxury goods brand Louis Vuitton Moet Hennessy (parent of Louis Vuitton and Dior) continues its financial success. This despite continuing limitations on international travel and, as a result, that all important tourist shopping.
Revenues in 2021 rose 44% compared to 2020 and 20% to 2019. Organic revenue growth for these periods was 36% and 14%, respectively. As a reminder, companies look to pre-pandemic (2019) as well as prior year, given the extraordinary events and impact of the health crisis.
And, guess which area boasted the biggest boost? Our favorite – Fashion and Leather Goods, of course. This group includes Louis Vuitton, Dior, Fendi, Celine and Loewe. Organic revenue over 2019 rose 42%, with Q4 2021 soaring 51% comparied to that period in 2019. Profits (from recurring operations) were up 75% compared to 2019.
Louis Vuitton Maison Vendôme @pursebop
The much smaller group Watches & Jewelry cannot be ignored though. Organic revenue in 2021 bested 2019 by 7% (40% over 2020) with profits rising 128%. LVMH notes that Tiffany achieved record performance and increased “global attractivity as a result of its high impact innovations and collaborations”.
Jay-Z and Beyoncé were officially revealed as the new faces of the Tiffany house mid 2021. The priceless Tiffany Diamond has only been worn by three women since its discovery in 1877. In a campaign called About Love, Beyoncé becomes the fourth person to wear the legendary 128.54-carat stone.
As for the future, LVMH is pretty confident in its ability to maintain this growth momentum.
What do you think? With the latest handbag news focused mostly on Hermès and Chanel, has demand for Louis Vuitton handbags peaked? Or made it more desirable as other brands are harder to obtain. Let us know.
Love, PurseBop
XO
Read related articles:
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LVMH Rocks 2021 With Sky High Profits from Louis Vuitton and Dior
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Louis Vuitton Succeeds Without Travel: Q3 Results are In
Updated: January 28th, 2022
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