Luxury conglomerate Richemont reported a 4% increase in annual sales, reaching €21.4 billion, driven by strong demand for its high-end jewellery brands. The group’s Jewellery Maisons—including Cartier and Van Cleef & Arpels—grew sales by 8%, offsetting a 13% decline in its specialist watch division. All regions except Asia Pacific delivered double-digit growth, with particularly strong performances in Europe (10%), the Americas (16%), and Japan (25%). Direct-to-client sales, spanning both retail and online channels, now account for 76% of total revenue.
Despite higher sales, operating profit fell 7% to €4.5 billion, partly due to one-off costs, while net profit dipped slightly to €3.76 billion. Chairman Johann Rupert credited the resilience to strategic investments in craftsmanship, manufacturing, and digital distribution. He highlighted successful leadership transitions across brands and a rebalanced global presence as key strengths. The board proposed an unchanged dividend of Sf3 per share, signaling confidence in long-term stability.
Rupert acknowledged ongoing economic and geopolitical uncertainties but emphasized Richemont’s agility and the enduring appeal of its heritage brands. With watchmakers struggling, the group’s reliance on jewellery—a segment less vulnerable to market fluctuations—proved decisive. The results underscore a luxury sector divide, where iconic jewellery houses thrive even as traditional watchmaking faces headwinds. Richemont’s regional diversification and direct sales focus position it to navigate volatile demand in key markets like China.