Market Trends - LVMH shares rebounded, indicating investor optimism for the luxury goods sector [1] - Investors anticipate relief for LVMH following a period of declining sales [1]

Monetary Policy & Economic Outlook - President Trump pressured the Fed Chair to cut interest rates, an extraordinary scene in the Fed building [3][4] - Markets are repricing expectations to fewer than two rate cuts by the Fed [8] - The Fed is expected to remain independent and will do what it needs to do, regardless of political pressure [9][10] - Inflation forecasts are expected to remain under 2% for the next 18 months [14] Trade & Tariffs - A 15% tariff deal would basically mean trade shuts down [12] - Volkswagen expects around 15% tariff levels from EU talks [75] - Investors believe tariffs between 10% and 20% are manageable for the luxury sector [85] Company Performance & Market Dynamics - Volkswagen cut its outlook for the year due to US tariffs weighing on Audi and Porsche brands [22] - German business confidence rose to 89.6 in July, up from 88.4 [34] - LVMH's luxury product sales slumped in China and Japan, but the market is calling the trough [76][77] Geopolitical Issues - France will recognize Palestinian statehood in September, adding pressure on Israel [41][43] - Negotiations for a ceasefire between Hamas and Israel have broken down [44] Artificial Intelligence in Healthcare - An AI startup received $150 million in financing, bringing total funding to $370 million, to speed up the development of a model that will help physicians with clinical decisions [61] - The AI model aims to cover practically every relevant disease within three years to support physicians in their care delivery [64] - The AI technology analyzes 45 million patients a year, deploying over 2000 hospitals [65]

Financial Performance - LVMH's fashion and leather goods unit sales decreased by 9%, slightly worse than expected [1] - Wines and spirits unit performed slightly better than expected, but remained negative due to cognac's struggles in the US and China [3] - Watches and jewelry division, including Tiffany and Bulgari, remained flat [2] Market Trends and Dynamics - Concerns exist that LVMH's top brands are no longer delivering "best in class" performance compared to brands like Brunello Cucinelli, which experienced 10% growth [2] - Tourism spending is weaker, with Chinese tourists spending less in Japan and American tourists curbing spending in Europe due to a weaker dollar [4] - Champagne sales in the US are showing slight improvement, and overall local demand is relatively resilient [3] Strategic Considerations - Investors are paying more attention to the conglomerate discount as growth slows [5] - Fashion and leather goods, along with wines and spirits, are struggling simultaneously [6] - There is no current indication of spinning off assets like Sephora or other major restructuring, though some cleaning up may occur [6][7]

LVMH Sales Fall—But Luxury Conglomerate Outperforms Bleak Luxury Market Forecasts https://t.co/SmR1SpM651 https://t.co/SmR1SpM651 ...

LVMH Sales Fall—But Luxury Conglomerate Outperforms Bleak Luxury Market Forecastshttps://t.co/nZOXKHJomN https://t.co/EVVmVZlkt9 ...

Core Insights - The Christian Dior Group reported a revenue of €39.8 billion for the first half of 2025, reflecting a 4% decrease compared to the same period in 2024, amidst a challenging geopolitical and economic environment [1][3][12] Financial Performance - Profit from recurring operations for the first half of 2025 was €9 billion, resulting in an operating margin of 22.6%, while net profit was €5.9 billion, with the Group share of net profit at €2.4 billion [3][4] - Key financial metrics showed a decline in revenue and profit across most business segments, with notable changes as follows: - Revenue decreased from €41.7 billion in 2024 to €39.8 billion in 2025, a 4% drop [3][5] - Profit from recurring operations fell from €10.6 billion to €9 billion, a 15% decline [3][5] - Net profit, Group share, decreased from €3 billion to €2.4 billion, a 22% drop [3][5] - Operating free cash flow increased by 29% to €4 billion [3][4] Business Segment Performance - **Wines & Spirits**: Revenue declined by 8% to €2.6 billion, with a significant drop in profit from recurring operations by 33% to €524 million, attributed to trade tensions affecting key markets [6][7] - **Fashion & Leather Goods**: Revenue decreased by 8% to €19.1 billion, with profit from recurring operations down 18% to €6.6 billion, although local customer demand remained resilient [7][8] - **Perfumes & Cosmetics**: Revenue remained stable at €4.1 billion, with a slight decline in profit from recurring operations by 4% to €425 million, driven by innovation and a selective retail approach [9][10] - **Watches & Jewelry**: Revenue was stable at €5.1 billion, but profit from recurring operations fell by 13% to €762 million due to ongoing investments in store renovations [10][11] - **Selective Retailing**: Revenue grew slightly to €8.6 billion, with profit from recurring operations increasing by 12% to €876 million, driven by Sephora's strong performance [11][12] Market Trends and Outlook - Local demand in Europe and the United States remained solid, while Japan experienced a decline due to a high base from tourist spending in 2024 [2][4] - The Group anticipates maintaining a strategy focused on enhancing brand desirability and product quality in the face of geopolitical and economic uncertainties [12][13]

LVMH sales fell as shoppers reined in purchases of costly Louis Vuitton bags and Dior jackets, a sign the luxury titan remains stuck in its post-pandemic slump https://t.co/C3Xa6tZSFp ...

Core Insights - LVMH Moët Hennessy Louis Vuitton reported a revenue of €39.8 billion for the first half of 2025, reflecting a 4% decrease compared to the same period in 2024 [5][6] - Profit from recurring operations was €9 billion, resulting in an operating margin of 22.6% [3][5] - The Group's net profit amounted to €5.7 billion, down 22% year-over-year [5][6] Financial Highlights - Revenue for the first half of 2024 was €41.7 billion, while it decreased to €39.8 billion in 2025, marking a 4% decline [5] - Profit from recurring operations fell from €10.7 billion in 2024 to €9 billion in 2025, a decrease of 15% [5][8] - Net profit attributable to the Group decreased from €7.3 billion in 2024 to €5.7 billion in 2025, a decline of 22% [5][8] - Operating free cash flow increased by 29% to €4 billion [5][6] - Net financial debt decreased by 16% from €12.2 billion in 2024 to €10.2 billion in 2025 [5] Revenue by Business Group - Wines & Spirits revenue decreased from €2.8 billion in 2024 to €2.6 billion in 2025, an 8% decline [5][9] - Fashion & Leather Goods revenue fell from €20.8 billion in 2024 to €19.1 billion in 2025, also an 8% decline [5][10] - Perfumes & Cosmetics revenue slightly decreased from €4.1 billion in 2024 to €4.1 billion in 2025, a 1% decline [5][11] - Watches & Jewelry revenue remained stable at €5.1 billion in both years [5][13] - Selective Retailing revenue was flat at €8.6 billion in 2025 compared to €8.6 billion in 2024 [5][14] Business Group Performance - The Wines & Spirits segment experienced a decline in revenue and profit, with a notable drop in cognac demand, although champagne showed improvement [9] - The Fashion & Leather Goods segment demonstrated resilience with local customers, maintaining a high operating margin despite a decline in revenue [10] - The Perfumes & Cosmetics segment remained stable, driven by strong innovation and selective retailing strategies [11][12] - The Watches & Jewelry segment saw stable performance, with ongoing investments in store renovations and successful product launches [13] - The Selective Retailing segment achieved growth in revenue and profit, particularly through Sephora's strong performance [14] Outlook - LVMH remains confident in its long-term potential and will continue to focus on enhancing brand desirability and product quality amid geopolitical and economic uncertainties [15][16]

The former adviser to an Hermès heir has died as a longstanding mystery over the whereabouts of company shares worth some €14 billion remains unsolved https://t.co/Tz1sBSpQ4h ...

For Europe’s luxury stocks, this earnings season will hammer home the widening gulf between the winners and the losers https://t.co/7OD94BuzJs ...