LVMH Q1 weakness
- LVMH reported just +1% organic growth in Q1, underscoring continuing weakness in luxury demand. (nssmag.com) - Its fashion and leather goods division fell 2%, indicating product and creative resets haven't restarted momentum. ( ) - Weak Q1 results at LVMH, Kering, and Hermès have deepened worries about a broader luxury slowdown. (businessoffashion.com)
LVMH opened 2026 with just 1% organic sales growth, extending the slowdown at the world’s biggest luxury group. (lvmh.com) The company reported first-quarter revenue of €19.1 billion on April 13, down 6% as reported because currency moves cut 7 percentage points from sales. LVMH said the conflict in the Middle East also reduced quarterly organic growth by about 1 percentage point. (lvmh.com) Its Fashion and Leather Goods division, the business that includes Louis Vuitton and Dior, fell 2% on an organic basis and 9% on a reported basis to €9.25 billion. Wines and Spirits grew 5% organically, Watches and Jewelry rose 7%, and Selective Retailing, which includes Sephora, gained 4%. (lvmh.com) The weak fashion result landed after LVMH closed 2025 with €80.8 billion in revenue and only 1% organic growth in both the third and fourth quarters. In January, the group said Asia outside Japan had improved in the second half of 2025, while the United States grew and Japan cooled after a tourist-driven 2024. (lvmh.com) The latest quarter added to a mixed April for French luxury groups. Kering said on April 14 that first-quarter revenue was flat on a comparable basis and down 6% as reported to €3.57 billion, with geopolitical tensions in the Middle East hurting traffic. (kering.com) Hermès reported on April 15 that first-quarter revenue reached €4.1 billion, up 6% at constant exchange rates, but said tourist flows slowed in March and its “Other” region, which mainly includes the Middle East, fell 6%. The company said wholesale sales were also hit by weaker business in concession stores and airports. (assets-finance.hermes.com) LVMH pointed to a split customer picture by region. The United States had a “good start” to 2026, Europe and Japan relied on local shoppers to offset lower tourist spending, and Asia excluding Japan posted strong growth after improving in late 2025. (lvmh.com) That leaves LVMH leaning on perfumes, jewelry, beauty retail and its wealthiest clients while it waits for fashion demand to recover. For now, the company’s biggest division is still shrinking, and that is the number investors in luxury keep coming back to. (lvmh.com)
