Revenue of French luxury brand Hermes leaps 22% in Q3 FY23

In Q3 FY23, sales rose to €3,365 million, showing a 16 per cent increase at constant exchange rates. This growth was despite a notably high comparison base in Asia. All geographical regions displayed robust performance, with growth exceeding 20 per cent.

In terms of sales channels, the group's own stores saw a 22 per cent increase, fuelled by the strong appeal of its collections and an expanded exclusive distribution network. Wholesale activities also rose by 23 per cent. Geographically, Asia excluding Japan saw a 21 per cent growth, with strong sales in Greater China, Singapore, Thailand, Australia, and Korea. Japan confirmed its solid 25 per cent growth, largely attributed to local customers, the company said in a media release.

In the Americas, sales continued to ascend in the third quarter, much like the previous two, with a 20 per cent increase.

Breaking down by business lines, leather goods and saddlery grew by 19 per cent due to sustained demand and desirability. The ready-to-wear and accessories line soared with 29 per cent growth, attributed to the success of its fashion accessories, footwear, and ready-to-wear collections. Meanwhile, the silk and textiles line recorded a solid 17 per cent growth.

“The solid performance in the third quarter reflects the desirability of our collections all over the world, with still a sustained momentum in Asia and in the Americas. More than ever, in an uncertain global environment, we are reinforcing our investments and our teams to support growth,” said Axel Dumas, executive chairman of Hermes.

ALCHEMPro News Desk (DP)