Luxury brands have been around for decades, and so have the cheap plasticky copycats sold for a fraction of the price. These so-called super fakes have brands and businesses scrambling to ramp up authentication standards. Luxury reseller The Real Real pulled 7,000 counterfeit handbags off the market last year alone.Subtle differences made much more evident with the help of The Real Real's newest edition, our very state-of-the-art X-ray machine. As technology takes on a larger role in backing up even the tra ...

The shares of LVMH, Louis Vuitton's parent company, are down 15% since the start of 2025. Getty Images The luxury industry is on the verge of a necessary reset. LVMH's profits dropped 15% in the first half of 2025, with organic growth down 3%, and nearly all divisions reported flat or negative performance. As for Gucci-owned luxury group Kering, this year has been even worse: revenue is down 18% for Q2 with Gucci's sales plummeting by 25% and overall sales in Asia and Japan down as much as 29% in the first ...

Group 1 - The half-yearly financial report for Christian Dior as of June 30, 2025, has been filed with the Autorité des Marchés Financiers on July 30, 2025 [2] - The report is made available to the public in accordance with applicable regulations and can be found on the company's website under the "Regulated information" section [2]

Financial Data and Key Metrics Changes - The group reported net revenues of €2,740 million, up 9% versus H1 2024 at constant FX, with a drag from FX of 160 basis points, leading to an increase of 8% at current exchange rates [19] - Retail sales for the period reached €2,450 million, up 10% versus H1 2024 at constant FX [19] - EBIT adjusted reached €619 million in H1 2025, with a margin of 22.6%, showing steady profitability versus H1 2024 [20] - Net income reached €386 million, in line with the same period last year [25] - Cash flow from operations reached €696 million, and the net cash position stood at €352 million [20][28] Business Line Data and Key Metrics Changes - Retail sales for the Prada brand were down 2% in the semester, while Miu Miu saw a 49% retail sales growth in the semester [21][22] - Wholesale was down 1% versus H1 2024, impacted by some degree of phasing [20] - Churches brand reported a 4% increase in retail sales in the semester [22] Market Data and Key Metrics Changes - Retail sales in Asia Pacific were up 10% in the semester, while Europe was up 9%, with Q2 impacted by lower tourist spending [23] - The Middle East delivered the best performance of the semester, up 26% in H1 [24] - Japanese retail sales decelerated against exceptionally high tourist flows in 2024, particularly in Q2 [24] Company Strategy and Development Direction - The company is focused on maintaining strong relationships with consumers and investing in new products and collections [6][10] - There is an emphasis on elevating the customer experience and enhancing the in-store experience [20][26] - The company aims to navigate the resetting luxury market by offering unique and personalized products [32] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the challenges posed by a cyclical downturn and geopolitical factors affecting tourism [7][8] - There is a cautious optimism regarding the second half of the year, with expectations of improved performance despite ongoing uncertainties [30][42] - The management is focused on long-term growth and maintaining brand desirability through strategic investments [20][25] Other Important Information - Significant investments were made in sustainability initiatives, including lower impact raw materials and diversity and inclusion programs [16][17] - The company is preparing for the integration of Versace, with expectations for completion between September and November [56] Q&A Session Summary Question: Insights on American and Chinese clusters in Q2 - Chinese demand was subdued but stable, while North American demand improved slightly [38] Question: Outlook for Q3 and easier comps - Q3 is expected to be softer, but there are easier comps compared to Q2 [41][42] Question: Prada brand's new collection and pricing strategy - The focus is on maintaining credibility at higher price points while offering a balanced collection [50][51] Question: Operating leverage in H1 - The company maintained stable profitability despite increased investments in customer-facing activities [53][54] Question: Versace acquisition timeline and management plans - The acquisition is expected to finalize between September and November, with careful management of the brand's identity [56] Question: Market share gains for the Prada brand - The brand is focused on maintaining its creative identity and enhancing retail KPIs to gain market share [64] Question: Future growth for Miu Miu - The focus remains on leather goods, with plans for store expansions and maintaining brand positioning [68][70] Question: Gross margin sustainability - The gross margin is expected to remain around 80%, supported by a positive sales mix [72] Question: Profitability comparison between Miu Miu and Prada - Miu Miu is on a positive trajectory but still requires investment to catch up with Prada [110] Question: Drivers of organic growth for the group - Growth will depend on geographical opportunities and product category expansions, particularly in leather goods [114]

Prada's sales rose less than expected in the first half of the year, highlighting a broader slump in the luxury market https://t.co/urIqWDqszP ...

The enigma surrounding Hermès shares worth about €14 billion inherited by a member of the company’s controlling family is finally seeing some glimmers of light https://t.co/NKdcgjloWP ...

Hermès sales rose as wealthy shoppers continued to snap up its pricey handbags, showing the company’s resilience amid a sharp downturn in demand for high-end goods that has hit its luxury peers https://t.co/ysWIXL3nug ...

Core Insights - The company reported consolidated revenue of €8 billion for the first half of 2025, reflecting an 8% increase at constant exchange rates and a 7% increase at current exchange rates compared to the same period in 2024 [1][16] - Recurring operating income reached €3.3 billion, representing 41.4% of sales, which is a 6% increase from €3.1 billion in the first half of 2024 [1][6] - The net profit attributable to the group was €2.2 billion, down from €2.4 billion in the first half of 2024, but up to €2.5 billion when excluding an exceptional contribution from large companies in France [7][16] Revenue Growth - Sales in the second quarter amounted to €3.9 billion, marking a 9% increase at constant exchange rates compared to the first quarter [2] - All geographical regions experienced growth, with notable increases in Japan (+16%), the Americas (+12%), and Europe excluding France (+13%) [5][24] Performance by Sector - The Leather Goods and Saddlery sector saw a solid growth of 12%, driven by increased production capacities and sustained demand [5][26] - The Ready-to-wear and Accessories sector grew by 6%, benefiting from successful new collections [5][26] - The Perfume and Beauty sector experienced a decline of 4%, while the Watches sector saw a decrease of 8% [5][26] Financial Position - Cash flow from operating activities reached €2.3 billion, a 4% increase, with adjusted free cash flow at €1.8 billion after operational investments and lease repayments [8] - The restated net cash position at the end of June 2025 was €10.7 billion, down from €12.0 billion at the end of December 2024 [8][18] Employment and Sustainability - The company increased its workforce by over 500 employees in the first half of 2025, with 300 new hires in France, bringing the total number of employees to 25,700 [9] - Hermès continues to focus on diversity and inclusion, with a direct employment rate of 7.90% for people with disabilities in France [10] Outlook - The company maintains an ambitious goal for revenue growth at constant exchange rates despite global economic uncertainties [13] - Hermès is committed to its long-term development strategy, emphasizing creativity and control over its know-how [14]

Core Insights - Hermès International reported strong financial performance for the first half of 2025, with revenue reaching €3.5 billion, reflecting a 12% increase compared to the same period in 2024 [1] - The company's net profit for the first half of 2025 was €1.2 billion, marking a 15% rise year-over-year [1] - The growth was driven by robust demand in Asia and the Americas, with sales in Asia increasing by 18% and in the Americas by 14% [1] Financial Performance - Total revenue for the first half of 2025 was €3.5 billion, up from €3.1 billion in the first half of 2024, indicating a 12% growth [1] - Net profit reached €1.2 billion, compared to €1.04 billion in the same period last year, representing a 15% increase [1] - Operating margin improved to 35%, up from 33% in the previous year, showcasing enhanced operational efficiency [1] Regional Performance - Sales in Asia surged by 18%, driven by strong consumer spending and increased tourism [1] - The Americas saw a 14% increase in sales, attributed to the growing luxury market and brand expansion efforts [1] - Europe experienced a more modest growth of 5%, reflecting a challenging retail environment [1] Product Categories - Leather goods remained the top-performing category, contributing €1.8 billion in sales, a 10% increase year-over-year [1] - The ready-to-wear segment also showed strong performance, with sales rising by 20% to €600 million [1] - The fragrance and beauty division reported a 15% increase in sales, reaching €300 million [1]

Core Viewpoint - The official confirmation of Hainan Free Trade Port's "closure operation" starting December 18, 2025, marks a significant milestone in Hainan's development and signifies the beginning of a new phase of high-level openness in China [1] Group 1: Hainan as a Global Hub - Hainan's "closure" policy features a management model of "one line open, two lines controlled, and free within the island," transforming it into a global "offshore transit station" for brands, significantly reducing tax costs and logistics complexity for high-end cosmetics and luxury goods [2][4] - The model has successful precedents in global free trade ports, such as Singapore and Dubai, which have established themselves as luxury goods distribution centers [3] Group 2: Brand Strategies in Hainan - Brands must adopt multi-dimensional strategies beyond just price advantages to build customer loyalty and ensure repeat purchases in Hainan's new environment [6][31] - The personal duty-free shopping limit for Hainan will increase from 50,000 yuan to 100,000 yuan, with a significant rise in duty-free sales, indicating strong consumer potential [7][8] Group 3: Supply Chain and Consumer Engagement - Hainan is enhancing its warehousing and logistics capabilities to improve supply chain efficiency and flexibility, while brands are encouraged to strengthen their membership systems and private traffic operations to convert tourists into long-term customers [9][30] - The structural transformation of consumer behavior in the post-pandemic era positions Hainan as a critical node for brand positioning in the high-end market [33][32]