LVMH 2024 results: revenue down
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In 2024, LVMH recorded revenues of €84.6 billion, a 2% decrease compared to the previous year. Despite a slowdown in sales in some divisions, such as Fashion & Leather Goods and Wines & Spirits, the group showed strong recovery, particularly in the fourth quarter, with a 1% revenue increase. However, operating margin was impacted by weak exchange rates, with recurring operating income dropping to €19.5 billion, reflecting an operating margin of 23.1%.
The Fashion and Leather Goods segment, which includes high-end brands such as Louis Vuitton, Dior, and Fendi, saw annual revenue decline from €42.1 billion to €41 billion. However, Bernard Arnault emphasized the resilience of these brands in the fourth quarter. Other divisions were also affected: the Wines and Spirits sector saw a 36% drop in recurring operating income, while Watches and Jewelry experienced a 3% decrease in sales.
In contrast, the Perfumes & Cosmetics division showed positive results, with a 2% increase in revenue, driven by the success of brands like Dior, Guerlain, and Givenchy. Sephora also performed notably well, with double-digit growth in both revenues and profits.
The group also reported a 29% increase in free cash flow, reaching €10.5 billion, and a 14% improvement in net debt. The strongest markets were Europe and the United States, with solid growth in Japan, while the rest of Asia saw improvements thanks to Chinese consumers' purchases in Europe and Japan.
Despite the challenges, LVMH remains optimistic for the future. The group confirmed a dividend of €13 per share, with an advance payment of €5.50 already distributed in December. For 2025, Bernard Arnault expressed confidence, highlighting that the resilience, creativity, and excellence of LVMH's Houses are crucial for future success, even in a context of geopolitical and economic uncertainties. "We enter 2025 with confidence," Arnault concluded.
The Fashion and Leather Goods segment, which includes high-end brands such as Louis Vuitton, Dior, and Fendi, saw annual revenue decline from €42.1 billion to €41 billion. However, Bernard Arnault emphasized the resilience of these brands in the fourth quarter. Other divisions were also affected: the Wines and Spirits sector saw a 36% drop in recurring operating income, while Watches and Jewelry experienced a 3% decrease in sales.
In contrast, the Perfumes & Cosmetics division showed positive results, with a 2% increase in revenue, driven by the success of brands like Dior, Guerlain, and Givenchy. Sephora also performed notably well, with double-digit growth in both revenues and profits.
The group also reported a 29% increase in free cash flow, reaching €10.5 billion, and a 14% improvement in net debt. The strongest markets were Europe and the United States, with solid growth in Japan, while the rest of Asia saw improvements thanks to Chinese consumers' purchases in Europe and Japan.
Despite the challenges, LVMH remains optimistic for the future. The group confirmed a dividend of €13 per share, with an advance payment of €5.50 already distributed in December. For 2025, Bernard Arnault expressed confidence, highlighting that the resilience, creativity, and excellence of LVMH's Houses are crucial for future success, even in a context of geopolitical and economic uncertainties. "We enter 2025 with confidence," Arnault concluded.