Not all is gloom and doom in the luxury industry as Richemont’s Cartier and Van Cleef & Arpels (VCA) jewelry continues to be in demand. Richemont just reported that sales for its fiscal Q3 (the period ending December 31, 2024) were up 10%.
Sales in Richemont’s jewelry line, which also includes Buccellati, were up 14%. These results cushioned the -8% blow from the Specialty Watchmaker division, which includes timepiece makers Piaget, Panerai, Jaeger-Le Coultre. Richemont’s holdings also include fashion brands such as Chloe and Alaïa.
Put another way, luxury branded jewelry like VCA and Cartier continues to sell despite consumer economic concerns, while the watch business generally lags. Richemont’s other business lines (including fashion) saw revenues rise 11%, consistent with the Company’s overall results.
Geographically, results in Asia Pacific – Richemont’s largest market – declined 7% as weak demand in the region persists. Richemont points to an 18% drop in Mainland China, Hong Kong, and Macau combined which it says is “primarily impacted by continued weak demand in Mainland China.” Other areas of Asia reported signs of improvement, according to the Company.
The overall company success came from double-digit revenue growth in other areas of the world. In the Americas, Richemont’s second-largest market, sales were up 22% for the quarter. Sales in Europe and Japan each rose 19%, attributed to higher domestic demand and tourist spending. The Middle East and Africa experienced 20% revenue growth.
Are Richemont’s results consistent with your spending choices? Jewelry over Watches? Let us know.
- Maura Carlin posted 6 days ago
- last edited 6 days ago
