The European markets may not be on fire today, but French luxury brand conglomerate Louis Vuitton Moet Hennessey has hit a milestone after exceeding US$500bn (€454bn), a first for any European company.
Increasing sales of luxury goods in China, a strengthening euro and a strong first-quarter earnings call have all bolstered the world’s richest man Bernard Arnault’s multinational empire.
LVMH is the parent company of Louis Vuitton, Moët & Chandon and Hennessy as well as brands including Givenchy, Bulgari and Sephora. LVMH also bought US jeweler Tiffany & Co for nearly US$16bn in 2021.
The group delivered a 17% increase in revenue in the first quarter of 2021, smashing market expectations on the back of strong performance in the Asian and European markets.
US consumers, meanwhile, cut down their spending on high-end goods such as leather and jewellery in the first three months of 2023, though that did not stop the luxury giant from making strong gains on the stock market.
Year to date, LVMH is over 30% high, while Arnault now has a personal wealth of around US$212bn, according to the Bloomberg Billionaires Index.