ToplineHermès—the coveted Birkin and Kelly bag maker—reported a 17% jump in first-quarter sales Thursday on the back of strong leather goods sales and Chinese demand, bucking the global luxury slowdown.The French luxury house posted strong quarterly sales growth across all geographic areas, including ... [+] China.© 2024 Bloomberg Finance LP Key FactsFirst-quarter revenue rose 17% from the previous year to $4.1 billion (€3.8 billion), with all geographical areas posting double-digit growth, topping FactSet’ ...

Robert Way Investment action Based on my current outlook and analysis of Hermes International (OTCPK:HESAY) (RMS), I recommend a buy rating. I expect a strong 1Q24 and FY24 performance as high-end consumer demand continues to be very strong, so strong that RMS is able to push through another round of 8–9% pricing growth (a step up from the mid-single-digit price increase indicated in the 3Q23 earnings call). Notably, demand momentum was seen in all regions, particularly with relative share gains against ...

Hermès has been sued over claims it unlawfully allows only customers with "sufficient purchase history" with the company to buy its famous Birkin bags. Two residents in California allege Hermès is violating antitrust laws by "tying" the sale of one item to the purchase of another, according to the proposed federal class-action lawsuit filed on Tuesday in San Francisco. The company's sales associates are driving the scheme by pushing customers to buy shoes, scarves, jewellery and other items to gain an oppor ...

Cindy Ord/Getty Images Entertainment The reader may be wondering, what could Hermes (OTCPK:HESAY) possibly have to do with artificial intelligence? After all, luxury goods companies appear to be some of the least impacted by AI. Their businesses rely heavily on brick-and-mortar stores and incorporate little to no software aside from the occasional website. In Hermes' case, AI plays even less of a direct role on day-to-day operations as the company does not automate its manufacturing process with machine ...

DNY59 Opener To be clear, I don't know when the market will crash, and here's a little secret: nobody else knows either. Not the press with bold headlines, not the Twitter guy with 100k followers, and certainly not the permabears who predict crashes every Wednesday. What I'm 100% sure of is that I'll buy the stocks in this article like crazy. I always keep some cash aside to buy those super high-quality rare companies, which usually trade at an expensive to fair price. I'm not a dividend investor; howev ...

Hermès’s discipline in good times might make it more resilient in downturns. Photo: Edward Berthelot/Getty ImagesHermès is a brand that shows its real mettle in a downturn. The secret to its steady growth might be the restraint it shows in good times.  The French handbag maker’s shares gained 33% in 2023, making it the luxury sector’s best-performing stock. Parisian rival LVMH Moët Hennessy Louis Vuitton , which owns Christian Dior and is also considered one of the safest bets in luxury, rose 8%. But across ...

Falf Res 28 July 2023 A R E S P O N S I B L E C R A F T S M A N S H I P B U S I N E S S M O D E L C R E A T I V I T Y A N D S A V O I R - F A I R E Creativity of the 16 métiers around the theme of the year, Astonishment Promotion and exploration of savoir-faire Q U A L I T Y A N D D U R A B I L I T Y Responsible sourcing More than 80 exceptional raw materials J O B C R E A T I O N A N D R E S P O N S A B I L I T Y Workforce 2x in 10 years 62% in France Value-sharing I N T E G R A T I O N A N D E X C L U S I ...

Financial Data and Key Metrics Changes - Revenue for the first half of 2023 reached €6.7 billion, up 25% at constant exchange rates and 22% at current exchange rates compared to the previous year [19][27] - Recurring operating income increased by 28% to €2.9 billion, with a recurring operating profitability of 44% of sales, up 2 points from the first half of 2022 [32][34] - Net income group share exceeded €2.2 billion, a 36% increase year-on-year, resulting in a net profitability of 33% of sales, up 3 points from the previous year [34] Business Line Data and Key Metrics Changes - Saddlery and Leather bags grew by 21%, driven by sustained demand [24] - Clothing and accessories saw a remarkable growth of 35%, supported by successful ready-to-wear collections [24] - Perfume and Beauty increased by 10%, benefiting from recent launches [25] - Watches grew by 24%, reflecting strong performance in creativity and craftsmanship [25] - Other métiers of Hermès experienced a growth of 32%, highlighting the brand's creative strength [25] Market Data and Key Metrics Changes - All regions reported growth above 20%, with France at 24%, Europe excluding France at 22%, and Japan at 26% [22] - Asia excluding Japan saw a growth of 28%, particularly strong in Greater China and other regions like Singapore and Thailand [22] - The Americas reported a growth of 20%, maintaining a positive trajectory [23] Company Strategy and Development Direction - The company continues to invest in production capacity and retail network expansion, with three new leather workshops inaugurated in France [5][9] - Strategic investments are focused on securing supply chains and enhancing production capabilities [5][10] - The company emphasizes its commitment to sustainable growth and local know-how, with over 900 new hires in the first half of 2023 [13][14] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's unique corporate model and the dynamism of its teams globally [41] - The second half of 2023 is expected to see continued job creation and investment across all business lines [42] - The company anticipates a strong performance driven by local customers and a rebound in tourism [56][58] Other Important Information - The company has committed to a corporate social responsibility policy, focusing on sustainable practices and local community engagement [13][18] - Cash flow for the first half of 2023 was €2.6 billion, up 36% year-on-year, with a net cash position of €9.8 billion [38][39] Q&A Session Summary Question: Organic growth of the leather and saddlery division - Management confirmed that the 21% growth could be extrapolated for the full year, with expectations of around 15% total growth including price effects [46][47] Question: EBIT margin expectations - Management noted that the first half benefited from positive currency hedging effects, which may not recur in the second half [48] Question: Impact of tourism on sales - Management highlighted that local customers remain the main driver of growth, with tourism flows contributing positively, especially in Europe and the U.S. [56][58] Question: Proportion of VIP clients and pricing strategy - Management indicated that the increase in middle-class customers is significant, and pricing is primarily driven by production costs rather than market positioning [69][89] Question: Performance in the U.S. market - Management reported strong growth across all product categories in the U.S., with no significant slowdown observed [94][96]