LVMH Group Begins 2000 With Excellent Growth -- + 40%.Business Editors PARIS--(BUSINESS WIRE)--April 18, 2000 In the first quarter of 2000, LVMH LVMH Moët Hennessy-Louis Vuitton (upscale retailer) -- Moet Hennessy Hennessy is one of the oldest and most famous manufacturers of cognac, a type of French distilled wine, or brandy. The company was born when the Irishman Richard Hennessy, who had been a mercenary for the French king, was compensated with land in the town of Cognac in France in Louis Vuitton The Louis Vuitton Company (more commonly known simply as Louis Vuitton) is a luxury French fashion and leather goods brand and company, headquartered in Paris, France. It is a division of the French holding company, LVMH Louis Vuitton Moët Hennessy S.A. consolidated con·sol·i·date v. con·sol·i·dat·ed, con·sol·i·dat·ing, con·sol·i·dates v.tr. 1. To unite into one system or whole; combine: sales reached 2.5 billion Euros (16 billion francs), an increase of almost 40% compared to 1999. The acceleration acceleration, change in the velocity of a body with respect to time. Since velocity is a vector quantity, involving both magnitude and direction, acceleration is also a vector. In order to produce an acceleration, a force must be applied to the body. of sales seen in 1999 continued in the first quarter. LVMH is gaining market share in all its areas of activity. On a divisional basis, growth was as follows: In millions of Euros 2000 1999 Growth Champagne & Wines 235 249 -6% Cognac & Spirits 191 165 +16% Fashion & Leather Goods 737 538 +37% Fragrances & Cosmetics 424 342 +24% Watches & Jewelry 120 - NS Selective retailing 729 461 +58% Other Activities 12 4 NS TOTAL 2,448 1,759 +39% -- Growth in Champagne sales is in line with forecasts. Sales for the first nine months of 1999 had been exceptionally high and had to be limited in the fourth quarter, for optimal stock management. The beginning of 2000 has seen continued strong demand for our international brands (Moet & Chandon, Veuve Clicquot Ponsardin, Pommery) and our premium cuvees, especially Dom Perignon, Krug and La Grande Dame. -- Sales of Cognac are up by 16%. Growth was particularly strong in South-East Asia. Sales of VSOP and XO have grown significantly in these markets and in the US. -- Sales in the Fashion & Leather Goods business group have increased by 37%. Louis Vuitton Malletier continues to achieve exceptional results (up by 50%) throughout the world. Two new global stores have been opened in Singapore and Hong Kong. The first quarter was remarkable for the high profile media coverage generated by the Louis Vuitton Cup. The launch of new colours in the Epi range is meeting with great success and a new advertising campaign has benefited footwear. Sales at Kenzo, Loewe and Celine are in a strong upward trend. Loewe and Celine are beginning to bear the fruits of new product launches, control of distribution and renovation of their boutique networks. -- Fragrances & Cosmetics sales have registered record growth of 24%. The turnover of the four fragrance houses has increased by 22%. J'adore, by Dior, launched with great success in the US, has significantly exceeded budget expectations. Indecence d'Organza, (pi), by Givenchy, and Time for Peace, by Kenzo, continue to achieve excellent results. Recent acquisitions in the US are also showing strong growth. -- Sales in the Watches & Jewelry business group were strong in the first quarter. TAG Heuer is growing very rapidly in both South-East Asia and Europe. The introduction of the new Alter Ego model has been extended throughout the world and has been received very well by the market. As announced, Ebel, Chaumet and Zenith product distribution is progressively benefiting from utilization of the previously established TAG Heuer subsidiary network. -- Selective Retailing sales are up by 58%. DFS continues to show considerable growth in its markets. The integration of Miami Cruiseline Services is strengthening the group retail penetration in the US. Sales for Sephora in the US are increasing significantly for comparable stores and in Europe, significant developments for Sephora have been the acquisition of two companies in Italy: Laguna and Boidi. Sephora.com continues to progress well. "Certain information included in this release is forward looking and is subject to important risks and uncertainties that could cause actual results to differ materially. The Company's businesses include its wines and spirits, fashion and leather goods, fragrances and cosmetics cosmetics, preparations externally applied to change or enhance the beauty of skin, hair, nails, lips, and eyes. The use of body paint for ornamental and religious purposes has been common among primitive peoples from prehistoric times (see body-marking). , watches, and selective retailing activities, and its outlook is predominantly pre·dom·i·nant adj. 1. Having greatest ascendancy, importance, influence, authority, or force. See Synonyms at dominant. 2. based on its interpretation of what it considers to be the key economic factors affecting these businesses. Forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. with regard to the Company's businesses involve a number of important factors that are subject to change, as are mentioned under "Risk Factors" in the Company's Form 20-F for the year ended December December: see month. 31, 1998, which is on file with the United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. Securities and Exchange Commission." |
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