Bags of appeal for Hermès
The Luxury goods and high-end handbag markets appear to be a winning combination for most companies at present and France’s Hermès is no exception reporting robust growth in the first nine months.
Sales grew 11.2% at constant exchange rates for the nine months to reach €1,115.7 million, although negative levels did reduce this to 6.1% at the current rates. The company’s Leather Goods and Saddlery division saw sales rise 5%, driven by increased demand for leather bags, which advanced 12% over the first nine months.
On a regional basis, sales in France improved nearly 11% during the first nine months, whilst other European countries mirrored this trend, with a rise of 16%; sales in the Americas rose 11% boosted by the opening of a Wall Street store in New York at the end of June; in non Japan Asia, sales advanced 13%; and in Japan, in a climate of slacker demand, sales increased 3%.
The company now expects annual sales growth of 8.5% to 9.5% at constant exchange rates.
