Swiss firm Richemont's sales surge 8% to €5403 mn in Q3 FY23

Japan continued to lead growth with Q3 FY23 sales up by 43 per cent YoY, followed by Europe where sales grew by 19 per cent YoY. Sales in the Middle East and Africa region rose by 10 per cent YoY, benefitting also from the Qatar World Cup, which added inbound tourist purchases to sustained local demand. In the Americas, sales growth moderated to 3 per cent YoY, partly reflecting a greater share of purchases abroad given the strong US dollar. Overall, sales to the American clientele remained solid, growing by high-single digits. In Asia Pacific, sales declined by 9 per cent YoY overall as marked sales growth in South Korea and Southeast Asia, notably in Australia and Singapore, only partially mitigated lower sales in mainland China, Hong Kong, and Macau, the company said in a media release.

In Q3 FY23, the retail and online retail channels drove growth, with sales up by 6 per cent each. Retail posted higher sales in all regions with the exception of Asia Pacific. Online retail increased its contribution to 7 per cent of group sales such that direct sales to consumers represented 76 per cent of group sales. Wholesale sales were 1 per cent above the prior-year period, adversely impacted by trading in Asia Pacific.

The company’s fashion and accessories maisons delivered a 6 per cent sales growth, fuelled by higher sales across most maisons, and in particular at Alaia and Peter Millar.

Sales over the nine-month period to December 2022 increased by 18 per cent at actual exchange rates, on top of significant growth in the prior-year period (up 55 per cent YoY at constant and actual exchange rates). The group’s net cash position on December 31, 2022, amounted to €5.5 billion (2021: €4.9 billion).

Fibre2Fashion News Desk (DP)