HERMES

Solid sales growth in the 1st semester
+21% at current rates and +9% at constant rates

Paris, 21 July 2015

The group's consolidated turnover for the first semester is equal to € 2 299 million, an increase of 21% at current exchange rates. Before consideration of the positive currency impact, the growth amounts to 9%.

In the second quarter, the growth was sustained (+22% at current exchange rates and +10% at constant exchange rates).

Sales by region at the end of June
(At comparable exchange rates unless indicated otherwise)

In the first semester, the turnover increased in all regions of the world:

  • Japan (+20%) generated an excellent performance over the first six months of the year, thanks to its selective distribution network.
  • Asia excluding Japan (+7%) is maintaining its dynamism, despite the difficult context in Hong Kong and Macau.

             

  • In America (+10%), where the enlarged and renovated Seattle store reopened in June, the development potential has been confirmed.

             

  • Europe (+7%) generated a good performance in the Group's stores.

             
             
Sales by sector at the end of June
(At comparable exchange rates unless indicated otherwise)

The growth of Leather Goods and Saddlery (+14%) was remarkable. Its development was supported by the ramp-up of the production capacities of the two new sites that opened in Charente and in Isère in June, as well as by the construction project for two new production units in Franche-Comté.

The Ready-to-wear and Accessories division (+8%) benefited from the success of its latest collections, notably in fashion accessories.

The Silk & Textiles business line (+5%) is continuing to enhance its offer of exceptional products, while growing within a more difficult context in Greater China.

Perfumes, that in the first half of 2014 benefited from the launches of Jour d'Hermès absolu and Terre d'Hermès eau très fraîche, improved by +4%.

Watches (-1%) declined slightly within a general environment of a downturn in the watchmaking industry. During the watchmaking trade fair in Basel, the business line presented its new model Slim d'Hermès, to a very warm welcome.

The other Hermès business lines (+12%), including Jewellery, Art of Living and Hermès Tableware, are continuing their development and confirming themselves as springboards for growth, despite a particularly high comparison basis.

First quarter highlights

At the end of June, the exchange rate evolutions were favourable, resulting in a positive impact on the turnover of € 224 million.

In the first semester, Hermès International bought back 6,652 shares for €2.2 million, outside of transactions as part of the liquidity contract.

Results

The results for the first semester will be published on 28 August 2015. As a result of the weaker euro, the operational profitability should be down slightly in comparison with the first half of 2014.

Outlook

Thanks to the success of its unique company model, Hermès will continue its long-term development strategy based on creativity, control of know-how and safeguarding its procurements.

Despite economic, geopolitical and monetary uncertainties around the world, the medium-term objective of increasing the turnover with constant rates is in the area of 8%.

True to its Parisian roots, Hermès invites us to look at 2015 through the eyes of a loafer. A loafer is capable of heading off the beaten track and looking at the world with wide-open eyes: a chance encounter, the joy of discovery, and even the benefits of a little break.


 

INFORMATION BY GEOGRAPHICAL ZONE (1)

    First Half Evolutions
In millions of Euros   2015 2014 Published At constants exchange rates
France   328.3 307.9 6.6% 6.6%
Europe (excl. France)   406.7 370.8 9.7% 7.0%
Total Europe 735.1678.68.3%6.8%
Japan   279.7 220.8 26.6% 20.5%
Asia Pacific (excl. Japan)   842.2 662.3 27.2% 6.9%
Total Asia 1,121.9883.127.0%10.3%
Americas   403.8 306.7 31.7% 10.3%
Other   38.7 38.4 0.5% 0.0%
TOTAL   2,299.4 1,906.9 20.6% 8.8%

    2nd quarter Evolutions
In millions of Euros   2015 2014 Published At constants exchange rates
France   172.9 161.9 6.8% 6.8%
Europe (excl. France)   214.4 187,6 14.3% 10.9%
Total Europe 387.3349.410.8%9.0%
Japan   138.1 104.1 32.6% 26.5%
Asia Pacific (excl. Japan)   425.2 333.0 27.7% 6.0%
Total Asia 563.3437.128.9%10.9%
Americas   209.3 156.5 33.7% 10.9%
Other   17.3 20.3 -14.7% -15.2%
TOTAL   1,177.2 963.4 22.2% 9.7%

(1) Sales by destination.


INFORMATION BY SECTOR

    First Half Evolutions
In millions of Euros   2015 2014 Published At constants exchange rates
Leathergoods and Saddlery (1)   1,067.4 840.7 27.0% 13.6%
Ready-to-wear and fashion accessories (2)   534.1 440.6 21.2% 8.1%
Silk and Textiles   250.6 216.0 16.0% 4.6%
Other Hermès sectors (3)   154.9 124.5 24.4% 11.8%
Perfumes   120.3 114.6 5.0% 3.6%
Watches   75.0 67.2 11.5% -0.9%
Other products (4)   97.1 103.3 -6.0% -9.7%
TOTAL   2,299.4 1,906.9 20.6% 8.8%

    2nd quarter Evolutions
In millions of Euros   2015 2014 Published At constants exchange rates
Leathergoods and Saddlery (1)   556.1 430.8 29.1% 14.9%
Ready-to-wear and fashion accessories (2)   271.8 226.0 20.3% 6.4%
Silk and Textiles   116.7 101.5 15.0% 3.2%
Other Hermès sectors (3)   82.7 64.0 29.2% 15.2%
Perfumes   58.3 53.7 8.5% 6.8%
Watches   39.3 34.4 14.1% 1.2%
Other products (4)   52.4 52.9 -1.0% -5.0%
TOTAL   1,177.2 963.4 22.2% 9.7%

(1) The "Leather Goods and Saddlery" business line includes bags, riding, diaries and small leather goods.
(2) The "Ready-to-wear and Accessories" business line includes Hermès Ready-to-wear for men and women, belts, costume jewellery, gloves, hats and shoes.
(3) The "Other Hermès business lines" include Jewellery and Hermès home products (Art of Living and Hermès Tableware).
(4) The "Other products" include the production activities carried out on behalf of non-group brands (textile printing, perfumes, tanning.), as well as the John Lobb, Saint-Louis, Puiforcat and Shang Xia products.


REMINDER OF PREVIOUS PUBLICATIONS

INFORMATION BY GEOGRAPHICAL ZONE (1)

 

   1st quarter Evolutions
In millions of Euros  2015 2014 Published At constant exchange rates
France   155.4 146.0 6.4% 6.4%
Europe (excl. France)   192.4 183.2 5.0% 3.1%
Total Europe 347.8329.25.6%4.6%
Japan   141.6 116.7 21.3% 15.2%
Asia Pacific (excl. Japan)   417.0 329.3 26.6% 7.7%
Total Asia 558.6446.025.2%9.6%
Americas   194.5 150.1 29.6% 9.6%
Other   21.3 18.1 17.7% 17.0%
TOTAL  1,122.2 943.5 18.9% 8.0%

(1) Sales by destination.

 

INFORMATION BY SECTOR

   1st quarter Evolutions
In millions of Euros  2015 2014 Published At constant exchange rates
Leathergoods and Saddlery (1)   511.3 409.9 24.7% 12.4%
Ready-to-wear and Fashion accessories (2)   262.3 214.6 22.2% 9.8%
Silk and Textiles   133.9 114.5 17.0% 5.9%
Other Hermès sectors (3)   72.2 60.5 19.5% 8.1%
Perfumes   62.0 60.8 2.0% 0.8%
Watches   35.7 32.8 8.8% (3.1)%
Other products (4)   44.7 50.3 (11.3)% (14.5)%
TOTAL  1,122.2 943.5 18.9% 8.0%

(1) Leathergoods & Saddlery include bags & luggages, horse riding, memory holders and small leather goods.
(2) Ready-to-wear and Fashion accessories include ready-to-wear, men and women, belts, accessories jewellery, gloves, hats and Hermès shoes.
(3) Other Hermès sectors include jewellery and Hermès Maison products (Art of Living and La Table Hermès)
(4) Other products include John Lobb shoes, Saint-Louis, Puiforcat, Shang Xia as well as production activities realized for third parties (textile printing, perfumes, tanning.).


2nd quarter 2015 sales:
http://hugin.info/143440/R/1940007/700270.pdf



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Source: Hermès International via Globenewswire

HUG#1940007