LVMH grows sales as luxury shoppers show resilience

investing.com:

By Mimosa Spencer

PARIS (Reuters) -Luxury goods group LVMH posted a 10% rise in fourth-quarter sales on Thursday, as growth edged up from the previous quarter, driven by resilient demand — including from Chinese buyers — for its high-end fashion over the all-important end-of-year period.

Sales at the world's biggest luxury group, which owns labels, including Louis Vuitton, Dior and Tiffany, came to nearly 24 billion euros ($26 billion) in the final three months of the year.

That was just ahead of analysts' expectations for 9% growth, according to a consensus cited by HSBC. Sales had grown by 9% in the third quarter, and by 17% in both the first and second quarters.

«The highest-end products are those that have the highest demand in the world,» LVMH CEO Bernard Arnault told analysts, citing haute couture products from labels like Christian Dior and adding that this trend was set to continue.

The most expensive luxury goods makers like LVMH and Cartier-owner Richemont have shown the most resilience to a downturn in consumer spending. Rivals, which sell products at lower prices, such as Britain's Burberry, have struggled.

Arnault said he was happy with LVMH's growth rate and was «very confident» about 2024.

LVMH's products include a small Lady Dior bag, which retails online at $11,500 and Dom Perignon P3 Plenitude Brut Rose champagne, which retails at $5,377.

Business at Louis Vuitton from high-end Chinese spenders in Europe reached 70% of the level generated in 2019, before the COVID-19 pandemic, chief financial officer Jean-Jacques Guiony told reporters.

«We have significant growth with Chinese customers, which continues unabated,» Guiony told reporters.

«We generated a good level of activity with comparison bases that