LVMH Smashes Record-Breaking Revenue Despite Economic Uncertainty

LVMH Moët Hennessy Louis Vuitton, the world’s top luxury goods giant, is proving once again why it dominates the market.

The company pulled in a staggering €84.7 billion in revenue in 2024, managing to grow even in the face of economic uncertainty and geopolitical tensions. While growth was just 1% organically, it’s still impressive given the challenges the luxury sector is facing after years of post-pandemic boom.

Luxury Spending Holds Strong

Europe and the U.S. maintained steady growth, while Japan saw a huge boost with double-digit revenue increases. The real game-changer? Chinese shoppers splurging in Europe and Japan, driving luxury sales in those regions.

The fourth quarter saw a slight uptick in organic revenue growth at 1%, a positive sign after a slower third quarter.

Profits Soar Despite Currency Hits

LVMH didn’t just bring in revenue—it raked in serious profits, too. Operating profit hit €19.6 billion, with a strong 23.1% margin, well above pre-pandemic levels. However, currency fluctuations had a negative impact, particularly on the Fashion & Leather Goods and Wines & Spirits divisions. Despite that, net profit for the year still came in at a whopping €12.6 billion, with free cash flow surging 29% to €10.5 billion.

CEO Bernard Arnault on LVMH’s Success

Bernard Arnault, LVMH’s Chairman and CEO, credited the company’s ability to thrive in tough times to its strong strategy and commitment to excellence.

“In 2024, amid an uncertain environment, LVMH showed strong resilience. This capacity to weather the storm in highly turbulent times – already illustrated on many occasions throughout our Group’s history – is yet another testament to the strength and relevance of our strategy,” he said.

Arnault highlighted LVMH’s role as a partner for the Paris 2024 Olympic and Paralympic Games, calling it one of the company’s biggest achievements of the year. The partnership helped showcase French craftsmanship on the global stage.

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