■ Hermès' revenue in the first quarter increased by 17% year-on-year, and the Chinese market continued to lead
Image source: Hermès official Weibo
French luxury group Hermès Hermès recently released its results for the first quarter of 2024, with quarterly consolidated revenue of 3.805 billion euros, up 17% year-on-year at constant exchange rates, and achieving solid performance in all markets. It is worth mentioning that in Hermès' Asian markets (excluding Japan), Greater China footfall after the Chinese New Year was successfully offset by the attractiveness of Hermès' products and the company's value strategy, resulting in a 14% year-on-year increase in revenue in Asia (excluding Japan), with growth maintained in all markets in the region. In addition, in January, the 34th Hermès store opened in Wuxi, Jiangsu Province. In particular, the company noted that there was a decrease in footfall in Greater China after the Chinese New Year holiday. However, Eric du Halgouet, executive vice president of finance at Hermès, noted that demand from affluent customers in China remains strong, offsetting the negative impact of a decrease in the number of customers who only buy lower-priced products such as silk scarves and accessories.
In terms of segments, during the reporting period, the sales revenue of the leather goods and saddle division, to which Hermès platinum bags belonged, increased by 15.5% year-on-year to 1.628 billion euros, accounting for the highest proportion of total sales revenue, reaching 43%, the sales revenue of the ready-to-wear and accessories division increased by 11.7% year-on-year to 1.061 billion euros, the sales revenue of the silk fabrics division and the perfume and beauty division increased by 3.4% and 3% year-on-year to 242 million euros and 130 million euros, respectively, and the sales revenue of the watches division increased by only 0.1% year-on-year to 166 million euros.
■ Prada Group's revenue in the first quarter reached nearly 1.2 billion euros, and China became the largest market
Image source: Prada's official Weibo
A few days ago, the Prada Group released its financial report for the first quarter of 2024, according to the financial report, thanks to the brand's distinctive image, creativity and dynamic design, the group's net income achieved a solid growth, reaching 1.187 billion euros, a year-on-year increase of 16%. Group retail sales increased by 18% year-on-year to €1,071 million, driven by sales of comparable full-price products, with Prada retail sales outperforming the market by 7% year-on-year, while Miu Miu maintained its strong growth trajectory with retail sales up 89% year-on-year.
By region, the Group's retail sales increased by 16% year-on-year in Asia-Pacific, 18% year-on-year in Europe, 5% year-on-year in the Americas, 46% year-on-year in Japan and 15% year-on-year in the Middle East. Patrizio Bertelli, Chairman and Executive Director of the Prada Group, said: "The Group continues to make strategic progress while investing in long-term sustainable growth. In the face of an increasingly challenging market environment in the first quarter, we delivered solid results. In this context, we must remain agile and agile to respond to changing industry dynamics, while continuing to innovate and invest across our business, leveraging our solid organizational strength and the talents of our people. ”
■ Kering has added three new members to its Board of Directors
Image source: Kering's official Weibo
At its recent Annual General Meeting, Kering's Board of Directors proposed the appointment of three new independent directors: Rachel Duan, Giovanna Melandri and Dominique D'Hinnin. During her 25-year tenure at General Electric (GE), Rachel Duan held a number of senior leadership positions in the United States, Japan and China. Most recently, he served as Senior Vice President of GE and President and CEO of GE Global Markets. He will bring to Kering's Board a wealth of knowledge of the Asian market, as well as extensive international experience in operations and corporate governance. Giovanna Melandri is an economist and former Italian Minister of Culture, specializing in sustainable development and cultural issues. Kering's Board of Directors will benefit from its expertise in sustainability, social impact, and sustainable finance and economics.
At the same time, the Group's Board of Directors will benefit from the experience of Dominique D'Hinnin, former CFO of the French Lagardère Group and current Chairman of the Board of Eursat, in senior management positions, as well as his financial expertise and corporate governance experience. Jean-François Palus has stepped down from the board of directors to focus on Kering's Gucci brand, as have Tidjane Thiam and actress Emma Watson.
■ Arc'teryx has set a new vision for net-zero emissions, which is expected to be achieved by 2050 or earlier
ON THE OCCASION OF EARTH DAY 2024, ARC'TERYX ARC'TERYX ANNOUNCED NEW CLIMATE GOALS: A COMMITMENT TO REDUCE SCOPE 1* AND 2* EMISSIONS BY 90% AND 42% FROM A 2022 BASELINE, AND TO ACHIEVE NET-ZERO EMISSIONS BY 2050 OR SOONER. This target is more challenging because Archaeopteryx is based on absolute emissions. As early as the 50th Earth Day in 2020, Arc'teryx set a climate target of reducing absolute Scope 1 and 2 greenhouse gas emissions by 65% by 2030 (from a 2018 base year) and by 65% per unit of value added* by 2018 (from a 2018 base year), which means that Arc'teryx's business value chain will reduce carbon emissions per unit of value added, including those related to materials, products, factories, textile mills, All carbon emissions associated with transportation and distribution centers.
According to the 2022 Climate Action Report, Arc'teryx has reduced its overall Scope 1 and 2 emissions by 57% and its Scope 3 emissions intensity by 55% compared to the 2018 baseline, significantly ahead of its previously established sustainability schedule. Based on the company's already achievements, combined with its growing business, Arc'teryx wanted to increase its commitment to environmental protection and decided to set a new climate target in 2024, which means that the company needs to reduce carbon emissions across the entire business value chain while increasing its sales volume.
■ Tiffany & Co. debuts a new two-tone two-tone gold and diamond necklace in the Chinese market
Tiffany & Co. recently released a new 520 campaign and made the world premiere of the Tiffany Knot two-tone gold and diamond necklace in the Chinese market, to welcome this romantic festival symbolizing love. Inspired by an 1889 knotted piece from the Tiffany Antique Collection, the new two-tone gold and diamond necklace symbolizes the tenacious bond of love.
Since LVMH acquired Tiffany for $15.8 billion at the end of 2020, it has embarked on a premiumization strategy for the brand, raising prices globally by between 20% and 60%. Following the acquisition of Tiffany & Co., LVMH rapidly refurbished its boutiques and upgraded its retail network in the brand's key regional markets around the world. A number of boutique renovations and upgrades are scheduled to open in 2023, most notably the reopening of Tiffany & Co.'s flagship store on Fifth Avenue in New York, "The Landmark." In December 2023, Tiffany & Co.'s new boutique in Taikoo Li Qiantan, Shanghai officially opened.
■ TUMI进一步加深与1% FOR THE PLANET 组织的合作关系
TUMI recently announced that it has further expanded its partnership with 1% for the Planet. As a global organization, 1% for the Planet is committed to accelerating the efficiency of environmental donations by connecting businesses with environmental organizations and encouraging companies to donate a portion of their sales to environmental causes. TUMI's global commitment to donate 1% of sales from the 19 Degree line of polycarbonate products to a verified, non-profit environmental organization that has joined the 1% for the Planet organization marks the first global philanthropic partnership in TUMI.
TUMI is committed to creating products that are built to last, and we use as many recycled materials as possible to preserve the beauty of the planet. Made from recycled polycarbonate and post-consumer recycled PET fabrics, the 19 Degree collection has become one of TUMI's most popular collections. Kate Williams, CEO of 1% for the Planet, said, "We are pleased to see TUMI further expand its commitment to the environment as a member of the 1% for the Planet with the 19 Degree product line. Their footprint is expanding across the globe, which will significantly increase their impact. At TUMI, we recognize that everyone must act now to do their part to protect the planet, and we are proud to be a strategic philanthropic partner to them. ”
■ Moncler's revenue in Asia surged 26% in the first quarter, with strong growth in China
Image source: Moncler's official Weibo
Recently, luxury down jacket brand Moncler announced its results for the first quarter ended March 31, 2024, with group sales increasing by 13% year-on-year to 818 million euros, or 16% year-on-year at constant exchange rates, compared to 726 million euros in the same period last year. By brand, revenue from the core brand Moncler surged 20% year-on-year to 705 million euros, accounting for 86.2% of total sales. Stone Island fell 5% year-on-year to 113 million euros, accounting for 13.8% of total sales.
By region, Moncler brand revenue surged 26% year-on-year to EUR 360 million, driven by strong growth in the Chinese market and overseas spending by Chinese consumers. The EMEA market increased by 15 percent year-on-year to 250 million euros, while the Americas increased by 14 percent to 96.41 million euros. During the period, in terms of channel expansion, the number of Moncler's directly operated stores increased by 17 to a total of 275, and the number of wholesale stores decreased by 5 to 56.
■ Swarovski officially launched its lab-grown diamond products in China