Sunday, December 22

Tag: Luxury Goods

Hermès Shines in a Scruffy Luxury Market
30Dec By adminNo Comments
Money

Hermès Shines in a Scruffy Luxury Market

Hermès is a brand that shows its real mettle in a downturn. The secret to its steady growth might be the restraint it shows in good times.  The French handbag maker’s shares gained 33% in 2023, making it the luxury sector’s best-performing stock. Parisian rival LVMH Moët Hennessy Louis Vuitton, which owns Christian Dior and is also considered one of the safest bets in luxury, rose 8%. But across the industry, most large European luxury stocks ended 2023 in the red as demand for expensive baubles sputtered following a record three-year shopping binge.   Copyright ©2023 Dow Jones & Company, Inc. All Rights Reserved. 87990cbe856818d5eddac44c7b1cdeb8
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Luxury Stores Are Bursting With Unsold Stuff
9Dec By adminNo Comments
Money

Luxury Stores Are Bursting With Unsold Stuff

Fashionistas can smell blood. Luxury brands need to find ways to unload their growing pile of unsold stock without reeking of desperation.The luxury industry is slowing as shoppers sober up after their pandemic spending spree. In 2022, sales across the sector rose by 15% at constant exchange rates, according to Bain & Company estimates. But U.S. shoppers tightened their belts toward the end of last year, and Europeans followed this summer. The Chinese haven’t been spending as much as brands hoped either since Covid-19 restrictions were lifted in January. This year’s growth rate is expected to be around half what the industry managed in 2022. Copyright ©2023 Dow Jones & Company, Inc. All Rights Reserved. 87990cbe856818d5eddac44c7b1cdeb8
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Shopping for Luxury Online Has Fallen Out of Fashion
7Dec By adminNo Comments
Money

Shopping for Luxury Online Has Fallen Out of Fashion

Stocks that unite two of the world’s most successful industries, European luxury and American tech, might sound like winners. Instead, companies that sell luxury goods online have turned into quicksand for investors.After a sales boom during the pandemic, online luxury stores are grappling with flagging demand and widening losses. Two New York-listed players, Farfetch and MyTheresa owner MYT Netherlands Parent, have lost around 90% of their market value since initial public offerings in 2018 and 2021, respectively.Copyright ©2023 Dow Jones & Company, Inc. All Rights Reserved. 87990cbe856818d5eddac44c7b1cdeb8
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Pharrell Williams Brings Louis Vuitton to Hong Kong for Fashion Show
1Dec By adminNo Comments
World

Pharrell Williams Brings Louis Vuitton to Hong Kong for Fashion Show

HONG KONG—For one night only, this city’s famed promenade along the waterfront was converted into a sandy shoreline. Louis Vuitton, the Parisian luxury powerhouse, staged a glitzy fashion show in Hong Kong Thursday evening, with a front row studded by Chinese celebrities, music by the brand’s menswear creative director Pharrell Williams and models marching along the fabricated seaboard in sailor uniforms and surfer wetsuits. The blowout affair—Louis Vuitton’s first show in Hong Kong—asserted LVMH’s commitment to courting Chinese shoppers and projecting confidence in what is one of the world’s largest markets for luxury goods.Copyright ©2023 Dow Jones & Company, Inc. All Rights Reserved. 87990cbe856818d5eddac44c7b1cdeb8
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Richemont Says It Has No Plans to Invest in Farfetch, or Lend to It
29Nov By adminNo Comments
World

Richemont Says It Has No Plans to Invest in Farfetch, or Lend to It

Compagnie Financiere Richemont said that it has no financial obligations toward the luxury fashion e-commerce company Farfetch and doesn’t plan to lend to or invest in it.The Swiss-based luxury group’s release comes after Farfetch said late Tuesday that it wouldn’t publish its third-quarter results, which were due Wednesday. The company won’t provide forecasts at this time, and any prior guidance should no longer be relied upon, Farfetch said.Copyright ©2023 Dow Jones & Company, Inc. All Rights Reserved. 87990cbe856818d5eddac44c7b1cdeb8
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Burberry Warns of Profit Hit Amid Slowdown in Luxury Demand
16Nov By adminNo Comments
World

Burberry Warns of Profit Hit Amid Slowdown in Luxury Demand

Burberry Group warned that the global slowdown in luxury demand is hurting its performance and that it is unlikely to achieve its guidance if the trend continues, despite beating market expectations for the first half of its fiscal year.The British luxury-goods company said Thursday that if weakness in demand persists, it is unlikely to achieve previous guidance of low double-digit revenue growth in fiscal 2024.Copyright ©2023 Dow Jones & Company, Inc. All Rights Reserved. 87990cbe856818d5eddac44c7b1cdeb8
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Coach Saves Tapestry From Unraveling
10Nov By adminNo Comments
Money

Coach Saves Tapestry From Unraveling

Luxury demand isn’t quite what it used to be. Neither is demand for accessible luxury, but it seems strong enough that brands like Coach are still able to push through price hikes.Coach owner Tapestry, which also owns Kate Spade and Stuart Weitzman, reported revenue growth of 0.4% in its quarter ended Sept. 30, weaker than Wall Street expectations of 2% growth. This follows worse-than-expected sales performance at European luxury powerhouses such as Gucci owner Kering and Louis Vuitton owner LVMH. But Tapestry’s adjusted earnings of $0.93 a share was higher than expectations of $0.90.Copyright ©2023 Dow Jones & Company, Inc. All Rights Reserved. 87990cbe856818d5eddac44c7b1cdeb8
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Richemont Posts Slowing Sales Growth Amid Challenging Environment
10Nov By adminNo Comments
World

Richemont Posts Slowing Sales Growth Amid Challenging Environment

Compagnie Financiere Richemont posted a slowdown in sales growth for the first-half of fiscal 2024 due to inflation, slowing economic growth and geopolitical tensions that hurt customer sentiment.The Swiss-based luxury company, which counts jeweler Cartier among its brands, said on Friday that it made net profit from continuing operations of 2.16 billion euros ($2.30 billion) for the first six months to Sept. 30, compared with EUR2.11 billion in the year-earlier period. Including discontinued operations, the company swung to a net profit of EUR1.505 billion, compared with a loss of EUR766 million.Copyright ©2023 Dow Jones & Company, Inc. All Rights Reserved. 87990cbe856818d5eddac44c7b1cdeb8
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LVMH to Buy Eyewear Brand Favored by the Stars
5Nov By adminNo Comments
World

LVMH to Buy Eyewear Brand Favored by the Stars

PARIS—LVMH Moët Hennessy Louis Vuitton has agreed to buy Los Angeles-based eyewear maker Barton Perreira, part of the luxury conglomerate’s push to extend its reach to goods with mass-market appeal. Eyewear has emerged in recent years as one of the first purchases that aspiring luxury consumers make before moving on to more expensive items such as handbags. That is prompting LVMH and other luxury-goods companies to wean themselves off licensing agreements with third-party manufacturers and develop in-house eyewear operations.Copyright ©2023 Dow Jones & Company, Inc. All Rights Reserved. 87990cbe856818d5eddac44c7b1cdeb8
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