Richemont Group com resultados recorde

Lido no Fédération Horlogére:

Emerging from the 2009-2010 financial year, Richemont turned its back on the crisis. Twelve months later, results for the group are excellent, with forecasts for 2011 pointing to continued growth.

A year ago, 2009-2010 financial year results showed the Geneva luxury group easing its way out of the crisis. A trend to be confirmed by the future!

The 2010-2011 financial year ending in March proved that forecasts were on target. With turnover up 33% to €6.892 billion (+19% at constant exchange rates), an operating profit of €1.355 billion (+63%) and a net profit of €1.079 billion (+79%), Richemont is courting success once again. According to Johann Rupert, CEO and Managing Director, the group’s prudent approach paid dividends in a difficult environment. Whether active in the segments of jewellery, watchmaking, fashion or accessories, all of the group’s companies posted increases in sales. Even results for Net-a-porter.com, acquired in April 2010, were ahead of the business plan.

All sectors of the luxury group made strong gains. Watch manufacturers (Jaeger-LeCoultre, Piaget, IWC, Baume & Mercier, Vacheron Constantin, Officine Panerai, A Lange & Söhne, Roger Dubuis and Ralph Lauren) recorded sales of €1.774 billion, an increase of 31%. Firms specialising in jewellery (Cartier and Van Cleef & Arpels) hit the jackpot with €3.479 billion (+29%). Montblanc, the specialist in writing instruments, upped its sales by 22%, to €672 million. Other sectors (Net-a-porter.com, Alfred Dunhill, Chloé, Lancel, Shanghai Tang, Purdey and Azzedine Alaia) registered an increase of 66%, to €967 million.

In terms of gross operating profit, the jewellery sector accounted for €1.062 billion (+43%), watches €379 million (+64%) and Montblanc €109 million (+38%), while other activities saw their losses fall by 6% to €34 million.

Growth was on the agenda, too, in all geographical areas. Asia-Pacific recorded sales up 48% to €2.569 billion, followed by the Americas (+40% to €998 million) and Europe (+23% to €2.588 billion, while Japan brought up the rear (+18% to €737 million).

These very good results allow the Board of Directors to propose a dividend of 0.45 franc per share at the General Meeting on 7 September this year, an increase of 29%.

Despite geopolitical uncertainties and major instability in the realm of exchange rates, growth continued in April this year with a rise in turnover of 32% compared to the same month last year.

It will be noted lastly that to encourage its organic growth, the group plans to increase investment in production capacities and to expand its sales network, particularly on growth markets. These investments are expected to represent between 6 and 8% of turnover over the next two years, with, as a bonus, 1,900 additional jobs.