Drinks being served on a BOAC flight between Heathrow and Khartoum in 1964 - Mirrorpix/Getty Images If you are flying into Canada you may be able to get a free glass of wine even when travelling in economy. British Airways may offer you a complimentary coffee on a morning hop from London to Europe, while American Airlines has started offering champagne and gourmet coffee for premium seats. We are not yet going back to the 1960s world of glamorous “trolley-dollies” handing out non-stop food and drink on ...

Core Insights - LVMH reported Q3 2025 revenue of €18.28bn ($21.15bn), marking a 1% organic increase from Q3 2024, following a 4% decline in the previous quarter [1] - For the first nine months of 2025, LVMH generated €58.1bn in revenue, a 4% decrease compared to €60.75bn in the same period of 2024 [1] Revenue Performance - The company experienced noticeable improvement in Asia (excluding Japan) over the nine-month period, while Europe and the US remained stable year-over-year [2] - Japan's performance weakened due to reduced tourist activity linked to a stronger yen [2] - European revenue in Q3 was affected by reduced tourist spending and currency movements [2] Segment Analysis - Organic revenue growth in Q3 by segment: - Wines and spirits: 1% increase - Perfumes and cosmetics: 2% increase - Watches and jewellery: 2% increase - Selective retailing: 7% increase - Fashion and leather goods: 2% decline [3] - The wines and spirits division saw slight organic growth, supported by champagne and Provence rosé wines, while cognac sales were impacted by US-China trade tensions [3] Year-to-Date Performance - Fashion and leather goods revenue fell 6% organically over the first nine months but showed sequential improvement in Q3 [4] - Perfumes and cosmetics remained stable, supported by new product launches from Dior and Guerlain [4] - Watches and jewellery recorded 1% organic growth driven by Tiffany & Co and Bvlgari [5] - Selective retailing posted 3% organic growth, aided by gains at Sephora and recovery at DFS in Macao and Hong Kong [5] Strategic Outlook - LVMH demonstrated resilience and maintained innovative momentum despite geopolitical and economic disruptions [5] - The company remains committed to enhancing brand desirability through authenticity, quality, retail excellence, and an agile organization [5]

Core Insights - LVMH's wine and spirits division experienced a 1% increase in organic revenue in Q3, reaching €1.33 billion ($1.55 billion) due to improvements in Champagne and wines [1] - Champagne and wines saw a 7% organic revenue growth in Q3, while Cognac and spirits faced a 6% decline [2] - For the first nine months of 2025, organic revenues for the wine and spirits division decreased by 4% to €3.9 billion, with reported revenues down 7% due to negative currency impacts [2] Group Performance - Total group revenues in Q3 increased by 1% on an organic basis but decreased by 4% on a reported basis to €18.3 billion [4] - For the first nine months of the fiscal year, revenues dropped 2% organically and 4% reported to €58 billion [4] - The company noted sequential improvement in Champagne and wines, alongside strong performance in Provence rosé wines [4] Segment Analysis - Champagne and wines achieved a 3% organic revenue growth in the first nine months of 2025, totaling €2.16 billion, while reported revenues increased by 1% due to positive currency effects [3] - Cognac and spirits revenues declined 12% organically and 4% in reported terms to €1.76 billion, influenced by trade tensions affecting demand in the US and China [3] - The Chinese market showed some recovery with restocking of VSOP in Q3, although overall Cognac demand remained soft [5] Demand Factors - The demand for Champagne remained resilient, particularly in the US, contributing to solid depletions year-to-date [5] - Cognac faced challenges from trade tensions and weak demand in key markets, particularly the US and China [5] - In Q1 of 2025, the wine and spirits business reported a 17% organic sales drop in the Cognac segment, attributed to ongoing soft demand and uncertainties related to US tariffs [6]

Core Viewpoint - LVMH's unexpected return to sales growth indicates a potential easing of the slump in luxury demand, leading to a significant rise in its stock price and boosting luxury stocks across Europe [1][2]. Group 1: Sales Performance - LVMH's third-quarter revenue increased by 1% on an organic basis, ending two consecutive quarters of decline, which raises optimism about a recovery in demand, particularly from China [2][3]. - Sales in the region that includes China rose by 2% last quarter, a recovery from a 9% drop in the first half of the year, marking the first contribution to growth from this region in 2023 [4][5]. - In the US, LVMH's sales grew by 3% during the quarter, while European revenue decreased by 2% due to reduced spending by American tourists [6]. Group 2: Market Reactions - LVMH's stock surged by as much as 14% in Paris, marking the largest intraday gain since September 2001, which positively impacted other luxury brands like Kering and Hermes [1][4]. - Analysts express optimism about the recovery, with JPMorgan's Chiara Battistini noting that the pace of recovery across all regions is encouraging for future growth [3]. Group 3: Sector Insights - The wines and spirits division of LVMH, which had been struggling, showed growth due to restocking of Champagne in the US and increased sales of rosé wine [7]. - Morningstar analyst Jelena Sokolova highlighted the potential for further recovery in China, where consumers have significant savings post-Covid [6].

Core Insights - LVMH has unexpectedly returned to growth in the third quarter, driven by increased traffic and volume rather than price effects [1][2] - The Wines and Spirits division, which had been declining for two and a half years, is now experiencing growth due to champagne restocking in the US and solid demand for rosé wine [2] - The luxury sector may benefit from LVMH's turnaround, with competitors like Zenyatta and Prada also showing positive movements in the market [4][5] Company Performance - All divisions of LVMH showed improvement, although the key fashion and leather goods division remained negative [1] - The CFO noted that the growth was not influenced by price increases, indicating a focus on volume and customer traffic [2] - The Wines and Spirits division's recovery is notable, particularly in the US market, despite ongoing struggles in the cognac segment [2] Regional Insights - The European market has seen a decline in tourism spending, attributed to a weaker dollar against a stronger euro, impacting sales negatively [3] - Conversely, the mainland China market has returned to growth, which could have significant implications for the broader luxury sector [3][4] - Hong Kong and Macao are still down but showing signs of improvement, indicating a potential recovery in these regions [3] Market Implications - The positive performance of LVMH could uplift the entire luxury market, as indicated by the rising stock prices of competitors [4][5] - Upcoming results from other luxury brands, including Kering and Gucci, are anticipated, which may further reflect the industry's recovery [5] - The market sentiment appears encouraging, suggesting a potential turnaround for the luxury sector as a whole [5]

Core Viewpoint - Lanson-BCC has successfully acquired Heidsieck & Co. Monopole from Vranken-Pommery Monopole for €50 million ($58 million), with the deal set to take effect in January next year [1][2][3]. Group 1: Acquisition Details - The acquisition includes 100% of the shares of Heidsieck & Co. Monopole and an undisclosed additional amount for the brand's historic vintages [2]. - Vranken-Pommery Monopole stated that Lanson-BCC's offer was "more attractive" than that from Compagnie Vranken, which will not acquire Heidsieck & Co. but will purchase Champagne stocks to reduce debt [3]. Group 2: Strategic Implications - The deal is part of Vranken-Pommery's strategy to refocus on its international brand Champagne Pommery & Greno [2]. - Lanson-BCC aims to give the Maison Burtin Champagne house its own identity, leveraging existing assets and contracts with 650 Champagne winegrowers [5]. Group 3: Leadership Statements - Nathalie Vranken, CEO of Vranken-Pommery Monopole, expressed satisfaction with the transaction, highlighting its importance for debt reduction [3]. - Bruno Paillard, chairman and CEO of Lanson-BCC, emphasized the importance of maintaining each house's specific style and identity within the group [5][6].

Industry Focus - Luxury goods sector potentially impacted by discussions around a new wealth tax [1] - Handbag and champagne industries mentioned, suggesting focus on high-end consumer goods [1] Economic Factors - Potential wealth tax could influence consumer spending on luxury items [1]

Group 1 - Lanson-BCC is in exclusive negotiations to acquire Heidsieck & Co. Monopole from Vranken-Pommery, with a deal expected to be signed on October 1, subject to board approvals [1] - Heidsieck & Co. Monopole accounted for 18% of Vranken-Pommery's Champagne revenue in 2024, while the group's total revenue fell by 10.2% to €304 million ($357.5 million) [2] - Vranken-Pommery's Champagne division revenue dropped by 9.5% to €263.2 million in 2024, and the company is also negotiating the sale of unspecified land in the Camargue region [2] Group 2 - In the first half of 2025, Vranken-Pommery reported a turnover of €109.3 million, a slight decrease of 0.2% compared to the same period in 2024, indicating stable sales in a slightly declining Champagne market [3] - The company's half-year operating income fell by 7.2% to €13.7 million, with a net loss of €1.4 million, an improvement from a loss of €1.9 million in the previous year [4] - Lanson-BCC's first-half revenues increased by 4.8% to €92.1 million ($107.8 million), but its net income dropped by 49.7% to €1.9 million due to rising finance costs [5]

Group 1 - The company Lanson-BCC has declined to issue annual financial forecasts due to mixed half-year results, reporting better revenues but falling earnings for the first half of 2025 [1][4] - First-half revenues increased by 4.8% year-on-year, reaching €92.1 million ($107.8 million), attributed to a favorable price/product mix despite lower shipping volumes [3][4] - The company's net income fell by 49.7% to €1.9 million, influenced by a 15.4% rise in finance costs due to aging credit facilities and rising average cost of debt [4] Group 2 - The seasonal nature of Champagne sales means that first-half results cannot be extrapolated to the full year, with traditionally around one-third of annual sales occurring in the first half [2] - Export sales accounted for just under half of the group's revenues, a decrease from 52.4% in the first half of 2024, with lower shipments noted to the US and Asia [3]

Core Viewpoint - EPSIUM ENTERPRISE LIMITED addresses recent unusual trading activity in its shares, clarifying that it is not related to any changes in business fundamentals or financial performance [2][3]. Company Operations - The company confirms that its operations remain stable, with normal functioning of supply chain and distribution channels, and no corporate events that could explain the stock price fluctuations [2][3]. - EPSIUM maintains long-standing relationships with suppliers and customers, and continues to execute its strategic priorities aimed at expanding market presence and delivering sustainable growth [3]. Financial Outlook - EPSIUM's financial outlook and long-term strategic objectives are consistent with previous disclosures, indicating no significant changes in its business strategy [3]. Corporate Governance - The company emphasizes its commitment to transparency, timely disclosure, and compliance with securities laws, urging investors to rely on official communications for accurate information [4][5]. Company Background - EPSIUM, through its Macau operating entity, Companhia de Comercio Luz Limitada, is engaged in importing and wholesaling premium alcoholic beverages, with a significant focus on high-end Chinese liquor [6].