Shares of Cartier owner Richemont (CFRUY) jumped as much as 17% on Thursday, January 16th, after the luxury group reported a 10% increase in Fiscal third-quarter sales.
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Despite headwinds in Chinese demand, where consumers have scaled back purchases, sales rose to €6.2 billion ($6.38 billion) in the three months to the end of December.
The Swiss luxury brand, which also owns the Van Cleef & Arpels jewellery marque, described it as its “highest ever” quarterly sales figure, with growth in revenues coming in above the 1% increase expected.
It reported double-digit growth in all regions except Asia Pacific, where sales were down 7%. Within this region sales in the combined mainland China, Hong Kong and Macau region fell 18%.
Nevertheless, the company saw “marked improvement” against H1 in all business segments, with its four Jewellery Maisons – Buccellati, Carter, Van Cleef & Arpels, and Vhernier – reporting growth of 14%.
Richemont Shares Lead Luxury Brands Higher
Following the announcement, luxury stocks Hermes (HESAF), LVMH (LVMUY) and Burberry (BURBY) moved higher as the sales figures signalled a more upbeat holiday season for the sector.
Shares of CFRUY have had a bumpy ride lately as the wind has come out of the luxury sector. But the stock motored higher last May after new CEO Nicolas Bos, formerly of Van Cleef & Arpels, took the helm.
In October the Swiss company announced that it will sell its online luxury clothing and accessories subsidiary, Yoox Net-A-Porter, to Mytheresa (MYTE).
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