The Global Luxury Industry Seems To Be Showing Signs Of Recovery.

Compared with the negative growth in the income and profit of the group's fashion leather business in the first half of the year, the sector's revenue grew 5% to 2 billion 940 million euros or 3 billion 290 million US dollars in the third quarter, which is 2.5 times the analyst's forecast growth rate of 2%.

The LVMH group said that Asian markets, including China, grew most significantly, while the US market continued to remain strong.

The area outside the Division continued to be affected by the decrease in tourist volume, and organic sales showed a downward trend.

As of the third quarter of September 30th, LVMH Group recorded the strongest performance this year, with organic sales rising 6% to 9 billion 120 million euros or 10 billion 210 million US dollars. In the first nine months of this year, LVMH Group sales grew 4.1% to 26 billion 330 million euro, or 29 billion 490 million US dollars, which exceeded analysts' forecast growth rate.

The group said that the growth in the first three quarters of this year largely benefited from the new perfume series launched by Louis Vuitton, calling it a "very promising" start.

70 years later, Louis Vuitton re marched into the perfume business in September. Earlier, according to Bain's report, the sales of watches, garments and jewelry in luxury goods grew slowly, but the sales of advanced beauty and personal care, including advanced cosmetics, skin care, hair beauty and perfume, were remarkable. Obviously, the Louis Vuitton seized the opportunity firmly.

LV CEO Michael Burke said earlier that this is not just a simple perfume, it will be a business opportunity for the brand.

Under the market environment of luxury goods such as handbags and garments, increasing the profits of perfume category has become the magic weapon for improving the performance of luxury brands.

In the Chinese market, there is great potential in the field of make-up and perfume. A data shows that only about 16% of Chinese women regularly use make-up products, while 47% of Chinese women only use perfume occasionally.

Statistics show that the global perfume market is expected to reach US $45 billion 600 million in 2018, the main driving force comes from

The consumption capacity and the launch of innovative products.

Some analysts pointed out that in view of the fact that the perfume of Louis Vuitton will be launched in the Chinese market next year, the growth trend of Louis Vuitton will continue to be positive.

In addition, Marc Newson's newly launched Horizon suitcase is one of the major innovations of last quarter, in order to continue to consolidate.

Market leader, LVMH group again bought a deal last week, announced the acquisition of Germany's senior leather goods and suitcase manufacturer RIMOWA 80% stake in 7.19 billion, which is LVMH group's first acquisition of the German brand.

From the performance of other luxury brands of LVMH group, Fendi revenue increased significantly in the first nine months of this year. Organic income of Celine, Loewe and Kenzo showed a positive trend. However, Marc Jacobs needs to continue to relocate its series of products, without easing the burden of growth. In July of this year, its fashion brand DKNY was sold by G-III clothing group by LVMH for $650 million.

In other categories of the group, the organic growth of perfume and cosmetics in the third quarter was 10%, of which Christian Dior won market share in all countries by virtue of Sauvage and a series of cosmetics. Guerlain, another brand of the group, also successfully launched La Petite Robe Noire cosmetics line; Kenzo World

The release has also been sought after by consumers.

High jewellery and wrist watch organic income recorded a 8% increase. Its luxury jewelry watch brand Bulgari market share continued to grow in the third quarter, benefiting from the launch of the new series and smart watches. Another watch brand Tag Heuer also made great progress in the same period.

The organic revenue of the selected retail sector increased by 8%. The group's large cosmetics retail chain brand Sephora continued to grow. The third quarter recorded a two digit revenue growth. Online sales in all countries and regions grew rapidly, and the expansion of the entity store also continued.

However, LVMH group's duty-free shop DFS in the Asian market of Macao and Hongkong was affected by the tourism downturn. During this period, revenue did not perform well. In September, the newly opened T Galleria in Italy Venice was one of the plans for the group to expand its tourism destination business.

The results also showed that liquor sales increased by 4%.

Luca Solca, managing director of Exane BNP Paribas, said LVMH's third quarter bottom rebound was an important reason for the growth of share prices, and Julian Easthope of Barclays Bank also said in a very short statement: "the organic growth of the LVMH group in the third quarter is higher than expected, and we can see that the luxury industry is gradually recovering."