Richemont soars beyond expectations: jewelry, watches and “Swift effect” drive global luxury

Record sales in the key holiday quarter. The United States and the Middle East fuel growth, with Cartier in the spotlight as the sector looks for signs of recovery.

Richemont closes 2024 with results that reinforce its leadership in the international luxury landscape. In the final months of the year - traditionally the most important for the sector thanks to holiday shopping - the Swiss group recorded record sales, clearly surpassing analysts’ expectations. In the third fiscal quarter, sales at constant exchange rates rose by 11%, compared with a consensus estimate of 7.5%, while the jewelry division delivered a strong +14%.

The main driver was demand from the United States and the Middle East. In Europe, in particular, purchases by Middle Eastern tourists supported revenues, while in the Americas consumption of luxury goods proved surprisingly resilient. Asia also offered encouraging signs: Hong Kong contributed positively to regional results, and Japan posted growth of 17%.

Also noteworthy was the performance of the specialist watchmaking maisons, which saw sales increase by 7% - a significant figure in a context of weakness in the global high-end watch market. This result comes despite pressures from U.S. tariffs, currency fluctuations and rising raw-material costs, which had dampened expectations for brands such as Jaeger-LeCoultre and Piaget.

Cartier remains under the spotlight, with its popularity further boosted by visibility from international celebrities, including pop star Taylor Swift. Diamond-set jewelry and watches continue to stand out not only as status symbols but also as a perceived “safe haven,” more resilient than luxury apparel and leather goods.

The market welcomed the figures: Richemont shares rose by up to 3% on the Zurich exchange, lifting peers as well. Over the past twelve months, the group has gained 26%, outperforming giants such as LVMH. In a sector still marked by uncertainty - especially in China - Richemont raises the bar and kicks off the earnings season with a clear signal: luxury, when supported by strong brands and pricing power, can still grow.

Andrea Pelucchi