In one other signal of luxurious’s resilience – and pent-up demand – Compagnie Financière Richemont noticed revenues certain 22 p.c forward of pre-pandemic ranges in its first quarter ended June 30.
The beneficial properties had been pushed by brisk enterprise within the Americas – up 47 p.c versus 2019 – and Asia-Pacific, up 40 p.c and with “good momentum” in Mainland China, Macau and South Korea.
Europe was the laggard, the place gross sales contracted 15 p.c within the three months. Richemont stated “robust demand from local clientele could not offset the halt in tourist sales.”
Revenues within the Middle East and Africa zoomed forward 55 p.c, boosted by home and vacationer spending in Dubai and Saudi Arabia.
Compared to the primary quarter of 2020, group gross sales at Richemont rocketed 129 p.c at fixed trade charges and 121 p.c at precise trade charges.
The Swiss luxurious group trumpeted 43 p.c development at its jewellery maisons, headlined by sturdy jewellery and watch gross sales at Cartier and Van Cleef & Arpels. Sales at its specialist watchmaker – which embrace A. Lange & Söhne, Baume & Mercier, IWC Schaffhausen, Jaeger-LeCoultre, Panerai and Vacheron Constantin – grew by 6 p.c.
Other enterprise, which embrace the style and equipment homes Alaïa, AZ Factory, Chloé, Dunhill, Montblanc and Peter Millar, declined 7 p.c, with Richemont blaming “challenges in the wholesale channel, particularly in travel retail.”
By channel, retail gross sales had been up 35 p.c versus 2019 and notably sturdy within the U.S., Russia and Saudi Arabia, in line with Richemont.
Online gross sales rose 29 p.c, whereas the wholesale channel eased 3 p.c.
In tandem with the quarterly outcomes announcement, Richemont stated a number of of its prime model executives would relinquish their roles on the senior govt committee and board of administrators.
Richemont stated the modifications in governance stem from “the ongoing pandemic and the continued acceleration of ‘new retail.’”
“To further capitalize on our group’s agility and momentum, the senior executive committee will focus solely on strategic direction, capital allocation, governance, and the provision of central and regional functions for the benefit of our maisons and businesses,” Richemont stated. “Similarly, the executives in charge of our maisons and businesses will focus exclusively on the sustainable development of their respective entities, ensuring a customer-centric approach and the continued success of digital initiatives.”
Cyrille Vigneron, president and chief govt officer of Cartier, and Nicolas Bos, president and CEO of Van Cleef & Arpels, are to step down from the senior govt committee and won’t search re-election to the board of administrators on the group’s AGM on Sept. 8. They proceed to report on to chairman Johann Rupert.
Philippe Fortunato, CEO of style and equipment, Emmanuel Perrin, head of specialist watchmakers distribution, and Frank Vivier, chief transformation officer, are additionally to step down from the senior govt committee. The three males proceed to report back to group CEO Jérôme Lambert.
Rupert, Lambert and Burkhart Grund, chief finance officer, are to stay on the senior govt committee and stand for re-election to the board of administrators on Sept. 8.
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