Cartier proprietor Richemont posted Friday a 20-percent drop in internet revenue for the primary half of the 12 months as gross sales sank in China, whose financial slowdown has hit the posh sector.
Richemont mentioned its revenue after tax reached 1.7 billion euros ($1.8 billion) within the six-month interval ending in September, decrease than anticipated by analysts polled by Swiss information company AWP.
International gross sales fell one p.c to 10.1 billion euros
Gross sales from the Asia-Pacific area have been down by nearly a fifth whereas all different areas on the planet posted “solid growth”, Richemont mentioned in a outcomes assertion.
Citing “reduced consumer spending” in China, Richemont mentioned development in different Asian nations was “more than offset” by a double-digit drop in gross sales on the planet’s second greatest financial system.
Final month, French group LVMH, the world’s greatest luxurious firm whose manufacturers embody Louis Vuitton, Dior and Bulgari, reported a 4.4 p.c drop in third-quarter gross sales.
Gucci proprietor Kering mentioned its gross sales sank 15 p.c in the identical quarter attributable to slowing shopper spending in China.
