In the past year, jewellery sales at Richemont have increased seven per cent. According to Rapaport, this stands out as a rare growth sector for the luxury house, which owns Cartier and Van Cleef & Arpels.
Richemont reports that revenue from jewellery rose to USD $4.55 billion in the year that ended March 31. This partially offset the group’s weak watch sales, which slid 15 per cent.
“The continued strength of jewellery was driven by a particularly strong momentum in Asia Pacific and the Americas,” says Richemont’s deputy CFO, Burkhart Grund.
This being said, overall revenue from Cartier and Van Cleef & Arpels dropped 2 per cent to USD $6.48 billion. Moreover, profit fell 11 per cent to USD $1.84 billion for the year. Rapaport notes that this decline was due to lower wholesale revenue from timepieces: this year, the company bought back inventory from retail partners that were overstocked.
Overall, group sales fell 4 per cent to USD $11.64 billion. Profit plummeted 46 per cent to USD $1.32 billion for the year, which chairman Johann Rupert says “posed challenges” for Richemont.
Author: Canadian Jeweller Magazine Staff
Canadian Jeweller Magazine Staff is the shared byline for reporting filed by the magazine's editorial desk. Founded in 1879, Canadian Jeweller is the longest running jewellery business publication in Canada, covering market reporting, retail strategy, watches, diamonds, coloured gemstones and the commerce of the Canadian jewellery trade. Work published under this byline is edited and verified by the Canadian Jeweller editorial team in Toronto.
