A recently-released statement from LVMH Moët Hennessy Louis Vuitton, the world’s leading luxury products group has recorded revenue of €30.6 billion in 2014. The group reports an increase in revenue of 6%, with revenue in all business groups within the luxury conglomerate increasing with the exception of Wines & Spirits, which continued to be affected by the destocking of distributors in China. According to Bloomberg, the reported full-year earnings missed analysts’ estimates as Chinese shoppers curbed spending on Vuitton handbags and Hennessy cognac, and profit from recurring operations fell to 5.72 billion euros ($6.6 billion) from 6.02 billion euros in 2013. Despite such losses, LVMH asserts that it "maintained strong momentum in the United States, and Europe demonstrated good resilience despite the economic environment, while Asian countries displayed mixed trends." This period's revenue was led, according to LVMH's statement, by the fashion group's fashion and leather goods, such brands include Louis Vuitton, Dior, Givenchy, Celine, Loewe, Kenzo, etc., and followed by the "selective retailing" category, which is bolstered by cosmetics company, Sephora.
As for the fashion group, LVMH's report held: "The Fashion & Leather Goods business group recorded organic revenue growth of 3% in 2014. Profit from recurring operations reached €3 189 million. For Louis Vuitton, 2014 was characterised by strong creative momentum, dominated by the enthusiastic reception of Nicolas Ghesquière’s first runway shows and of the new products. The celebration of the Monogram canvas as revisited by six leading designers and the inauguration of the Avenue Montaigne flagship store in Paris are among the highlights of the last quarter. 2014 marks the first year of Loro Piana’s integration into the business group. Fendi experienced strong growth driven by the success of its iconic lines. Celine continued its remarkable performance. Other fashion brands such as Givenchy, Kenzo and Berluti experienced accelerated growth while Donna Karan and Marc Jacobs are in a redeployment phase."
Bernard Arnault, Chairman and CEO of LVMH, said: “The 2014 results confirm the capacity for LVMH to progress despite economic and currency uncertainty. Revenue and net profit reached new record levels." He further stated: "LVMH reached an agreement with Hermès and disposed of its stake in this company, in the form of a distribution to our shareholders. In 2014, all our Maisons demonstrated outstanding flexibility."