Richemont’s first-quarter sales almost halved

Image: GIULIA MARCHI

Johann Rupert’s Richemont, the luxury goods group that owns the Cartier brand, said sales in its first quarter to end-June almost halved due to the “unprecedented” effect of Covid-19.

Total sales fell 47% to €1.99bn (R37.8bn), with sales in Japan falling 64% in constant-currency terms due to stores remaining shut for most of the quarter.

The performance “reflected unprecedented levels of disruption and widespread temporary closures of internal, franchise or multi-brand retail partner stores, as well as the closure of online distributors’ fulfilment centres”, the group said in a trading update.

Sales in the Asia Pacific were the most resilient, however, due mainly to China.

The 29% sales decrease across the region reflected declines across all markets, with the exception of China, which delivered triple-digit online sales growth and strong domestic retail sales, the group said.

Sales in the Americas contracted by 61%, while sales in the Middle East and Africa fell 38%, the group said.


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