LVMH revenues boosted by 'record' sales at Sephora

LVMH has reported revenue growth of 23% to £69.5 billion (€79.1 billion) for 2022, with a "record performance" from Sephora boosting overall sales. 

The company's selective retailing business group saw revenue increase 26% to £13 billion (€14.8 billion), driven by a "remarkable rebound" from Sephora. This follows the relaunch of Sephora in the UK in October 2022.

Momentum at Sephora was "particularly strong" in North America, Europe, the Middle East and in most Southeast Asian countries. During the period, investments were made into the beauty retailer's omnichannel strategy to improve its customers’ purchasing experience both online and in-store.

The perfume and cosmetics business group saw revenues rise 17% to £6.7 billion (€7.7 billion), driven by "strong" growth in perfumes. This growth was also attributed to Christian Dior, Guerlain, Givenchy and Fenty Beauty.

Christian Dior boasted a "remarkable performance", driven by its Sauvage, Miss Dior and J’adore fragrances. Dior Addict in makeup and Prestige in skincare also contributed to the Maison's growth.

The fashion and leather goods business group saw revenues increase 25% to £33.9 billion (€38.6 billion), with Louis Vuitton revenue surpassing £17.5 billion (€20 billion) for the first time. Growth was also driven by Christian Dior, Celine, Fendi, Loewe and Marc Jacobs.

The watches and jewellery business group recorded revenue growth of 18% to £9.2 billion (€10.5 billion), with "sustained creative momentum" from Tiffany & Co, Bulgari and TAG Heuer.

Total revenue in Europe, the US and Japan "rose sharply", benefiting from demand from local customers and the recovery of international travel. The Asian market remained “stable” over the year, due to the resurgence of COVID-19 in China.

Profit from recurring operations increased 23% to £18.5 billion (€21.1 billion).

Bernard Arnault, Chairman and CEO of LVMH, said: “Our performance in 2022 illustrates the exceptional appeal of our Maisons and their ability to create desire during a year affected by economic and geopolitical challenges. The group once again recorded significant growth in revenue and earnings.

"We approach 2023 with confidence but remain vigilant due to current uncertainties. We count on the desirability of our Maisons and the agility of our teams to further strengthen our lead in the global luxury market and support France’s prestige throughout the world.”