Revenue: €84.7 billion.
Profit from recurring operations: €19.6 billion.
Free cash flow: €10.5 billion.
Acceleration in the fourth quarter, driven by Asia, the United States and Europe.
Major economic and social impact in France and around the world
LVMH Moët Hennessy Louis Vuitton, the world’s leading luxury goods group, recorded revenue of €84.7 billion in 2024. Growth continued (+1% on an organic basis) despite a challenging economic and geopolitical environment, as well as a high basis of comparison following several years of exceptional post-Covid growth. Europe and the United States posted growth on a constant consolidation scope and currency basis; Japan saw double-digit revenue growth; the rest of Asia reflected the strong growth in spending by Chinese customers in Europe and Japan.
In the fourth quarter, organic revenue growth came to 1%, accelerating with respect to the third quarter.
Profit from recurring operations for 2024 came to €19.6 billion, equating to an operating margin of 23.1%, significantly exceeding pre-Covid levels. Exchange rate fluctuations had a substantial negative impact during the year, particularly on Fashion & Leather Goods and Wines & Spirits. The Group share of net profit amounted to €12.6 billion. Free cash flow came to €10.5 billion, up 29%.
Bernard Arnault, Chairman and CEO of LVMH, commented: “In 2024, amid an uncertain environment, LVMH showed strong resilience. This capacity to weather the storm in highly turbulent times – already illustrated on many occasions throughout our Group’s history – is yet another testament to the strength and relevance of our strategy. The creativity and very high quality of our products, our steadfast commitment to excellence, the agility of our teams and the good geographic balance of our locations underpin the success of LVMH and its Maisons, backed by the dedication of all our people. This dedication was also behind one of the Group’s finest collective achievements of 2024: LVMH and its Maisons’ partnership with the Paris 2024 Olympic and Paralympic Games, which helped make the world’s foremost sports competition a resounding success and showcased French expertise and craftsmanship on the global stage. As part of our ongoing commitment to design, culture and heritage, we were also glad to witness the reopening of Notre-Dame Cathedral in Paris at the end of the year, even more beautiful following its restoration, which took place with support from donors including LVMH. We also recently celebrated the 10th anniversary of the highly successful Fondation Louis Vuitton, which has drawn 11 million visitors since it opened and maintained its mission of making cultural events accessible to the widest possible audience. While remaining highly vigilant with regard to cost management and our single-minded focus on the desirability of our designs, we enter 2025 with confidence. Guided by our mission – ‘Passionate about creativity’ – and our core values, the Group will rely on the agility and talent of its teams to set the stage for future success and further extend its leadership in the luxury market.”
Highlights of 2024 included the following:
Good resilience in a disrupted global environment
- Continued organic revenue growth.
- Growth in revenue in Europe and the United States; exceptional growth in Japan nevertheless related to a weak currency.
- Substantial negative impact on profit arising from exchange rate fluctuations, particularly on Fashion & Leather Goods and Wines & Spirits.
- 29% increase in operating free cash flow, which came to more than €10 billion.
- Performance of Wines & Spirits reflecting the ongoing normalization of demand that began in 2023.
- Solidity of Fashion & Leather Goods driven by the powerful appeal of its products, with its operating margin remaining at an exceptional level.
- Strong momentum in fragrances, driven in particular by the success of Dior’s Sauvage, which remained the world’s best-selling fragrance.
- Numerous innovations at all the Watches and Jewelry Maisons, and continued investments in communications and in the evolution of our stores.
- Remarkable performance by Sephora, which consolidated its position as world leader in beauty retail.
New progress made under our LIFE 360 environmental program
- Acceleration in the Group’s circular design policy: 31% of materials used to make the Maisons’ products and their packaging now sourced through recycling processes.
- Two years ahead of schedule, target met for reducing absolute energy-related GHG emissions (Scopes 1 and 2): 55% reduction in 2024 with respect to 2019 (Target for 2026: 50% reduction).
- Water withdrawal for production sites and workshops: 10% reduction with respect to 2023 (Target for 2030:30% reduction).
- As part of the Group’s biodiversity protection plan, flora and fauna habitat regenerated or restored increased to 3.8 million hectares by year-end 2024 (Target for 2030: 5 million hectares).
Major economic and social impact in France and around the world
- More than 215,000 employees worldwide as of year-end 2024 (including nearly 40,000 employees in France).
- France’s largest private-sector recruiter.
- Preserving and passing on skills and expertise in more than 280 professions in design, craftsmanship and customer experience, with over 3,300 apprentices trained by LVMH’s IME (Institut des Métiers d’Excellence) program since its launch in 2014.
- Support for over 910 nonprofits and charitable foundations in 2024, with around 65,000 Group employees taking part in a community involvement partnership, serving more than 1,900,000 people.
- Operating investments of €5.5 billion in 2024, mainly dedicated to the expansion of the store network and the development of production facilities, including €1.7 billion in France.
- 119 production facilities and craft workshops in France.
- €6 billion in corporate tax paid worldwide in 2024, around half of which in France.
LINK DIRECTLY TO SOURCE: LVMH achieves a solid performance despite an unfavorable global economic environments
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