LVMH closes quarter and session in positive

Tuesday, 18 October 2011

The FashionUnited Top 100 Index closed Tuesday at down reaching the 1,289.44 after missing by 5.3. LVMH was the clear winner of the day, as it posted revenue of €16.3 billion during the first nine months of 2011 and closed up the session by 1.42%.

LVMH recorded revenue of €16.3 billion during the first nine months of 2011, an increase of 15% over the same period in 2010. The French luxury company stated its fashion and leather goods business recorded 15% organic growth over the first nine months the year. With double-digit revenue growth, Louis Vuitton once again reinforced its leadership. All product categories contributed to the attraction of the brand throughout the world. The leather lines enjoyed strong demand and the classical products also performed well. The inauguration of a Maison Louis Vuitton in Singapore was one of the highlights of the quarter. Shares in the French conglomerate of luxe closed up Tuesday by 1.42pc.

Meanwhile, H&M lost nearly 0.5% the day after releasing a sales decrease in comparable units by 7 per cent. It is worthy a note that comparable units comprise the stores and the internet and catalogue sales countries that have been in operation for at least a financial year. Overall group sales increased by 3 per cent on the same basis however.

Not very positive session for ASOS either, as Online fashion retailer Asos came under more pressure as it revealed UK sales showed almost no growth over the past three months. The UK, which accounts for 40% of Asos's business, generated revenues of £44m in the three months to September, up 1% from a year ago, but slightly lower than the first three months. Sales for the half year in the UK rose by 8% to £88.7m. ASOS shares have fallen by 45% since June following a further 10% decline on today's update. It fell by 0.48% on Tuesday.

Related News