218
Fashion Jobs
SHIMANO
Brand Coordinator
Permanent · UPPSALA
L'OREAL GROUP
Pharmacy Representative - Dermatological Beauty Division - Gothenburg Region
Permanent ·
GANT
Business Controller
Permanent · STOCKHOLM
GANT
Senior Business Controller
Permanent · STOCKHOLM
H&M
Operations Manager to h&m Distribution Center Borås
Permanent · BORÅS
H&M
Web Analyst / qa Data Layer Resource
Permanent · STOCKHOLM
H&M
Data Analyst to h&m – Supply Planning
Permanent · STOCKHOLM
H&M
Engineering Manager Sap Platforms, Sap Dev & Tech
Permanent · STOCKHOLM
H&M
Wifi Solution Architect - Network
Permanent · STOCKHOLM
H&M
Cyber Security Iam Manager
Permanent · STOCKHOLM
NAKD
Head of Sales
Permanent · GOTHENBURG
NAKD
Head of Commercial Business Control
Permanent · GOTHENBURG
H&M
Pension & Benefits Administrator And Process Improver
Permanent · STOCKHOLM
H&M
Technical Engineer For Warehouse Devices Management
Permanent · STOCKHOLM
H&M
Junior Planner to h&m Assortment- Open Application
Permanent · STOCKHOLM
RALPH LAUREN
Sales Professional
Permanent · STOCKHOLM
H&M
Advanced User Team Leader
Permanent · ESKILSTUNA
ZALANDO
Principal Product Manager - Data And Platform (All Genders)
Permanent · STOCKHOLM
ESSILORLUXOTTICA GROUP
Key Account Manager Nordics
Permanent · GOTHENBURG
H&M
Production Manager – Singular Society
Permanent · STOCKHOLM
ZALANDO
Senior Product Manager - Finance & Compliance (All Genders)
Permanent · STOCKHOLM
ZALANDO
Senior Product Manager - Returns Shipping Solutions
Permanent · STOCKHOLM
Ads
By
AFP
Published
Nov 4, 2016
Reading time
2 minutes
Download
Download the article
Print
Text size

Tough time for luxury group Richemont as profit halved

By
AFP
Published
Nov 4, 2016

Swiss luxury goods giant Richemont said Friday its net profit plunged in the first half of its fiscal year, with sales of high-end watches facing a particularly tough time.

Sales fell by 13 percent to 5.1 billion euros at the world's second-biggest luxury group, pushing down net profit 51 percent to 540 million euros ($600 million) for the six month period ending in September.


Time pieces from Vacheron Constantin, one of the Richemont group´s luxury watch brands.



"The decrease reflected the weak demand for watches in general, as well as historically high comparatives and the impact of exceptional inventory buy-backs," said the group, which includes luxury watchmakers Piaget, IWC, Vacheron Constantin and Baume & Mercier.

Sales by its specialist watchmakers slowed 17 percent to 1.4 billion euros.

The buyback of watches from retailers and changes to the group's retail and wholesale network led the company to book a one-time charge of 259 million euros, which accounted for more than half of the 43 percent drop in operating profit to 798 million euros.

"Concerning watches, we will look to deal with overcapacity issues, adapting manufacturing structures to the level of demand," group chairman Johann Rupert said in a statement.

Group sales plunged 18 percent in Europe.

"France was particularly affected by a significantly lower level of tourist activity," said Richemont.

"The UK, however, enjoyed double digit growth rates in sales following the EU referendum" as the drop in the value of the pound made for some bargains for tourists.

In the Asia-Pacific region, the largest market for the group, the rate of the sales drop halved to 8 percent from 17 percent recorded in the same period last year.

The overall decline, due in large part to buybacks of watches "was partly offset by continuing growth in mainland China and positive retail, jewellery and accessories sales in the region".

Sales by Richemont's jewellery houses, which includes Cartier and Van Cleef & Arpels, fell by 13 percent, but the group said this was also primarily due to slower watch sales.

Copyright © 2024 AFP. All rights reserved. All information displayed in this section (dispatches, photographs, logos) are protected by intellectual property rights owned by Agence France-Presse. As a consequence you may not copy, reproduce, modify, transmit, publish, display or in any way commercially exploit any of the contents of this section without the prior written consent of Agence France-Presses.