RICHEMONT ANNOUNCES RECORD-BREAKING SALES FOR 2023-2024 AND NAMES NICOLAS BOS AS NEW CEO

Following record years for Swiss watch exports and strong revenues for LVMH and the Swatch Group, the Richemont Group has also reported record sales for 2024. Revenues rose by 3% at actual exchange rates, reaching EUR 20.6 billion. Additionally, Richemont has announced significant leadership changes, appointing Nicolas Bos, currently CEO of Van Cleef & Arpels, as the new Chief Executive Officer. This will be effective from 1st June.

For the financial year ending March 31st 2024 (Richemont’s financial year starts on April 1), the company reported a 3% increase in sales at actual exchange rates and an 8% increase at constant exchange rates. This growth was primarily driven by its jewelry brands and retail, each contributing 69% to the group's sales. The group's revenues rose to EUR 20.6 billion from EUR 19.9 billion in 2023. However, operating profit decreased by 5% to EUR 4.8 billion due to "significant adverse currency movements and non-recurring charges," according to the communication. The group also saw sales growth across all regions and business areas at constant exchange rates, with most growth credited to Asia Pacific and Japan, while the Americas and Europe showed slightly slower growth. The US has now become the group’s largest individual market.

The Jewellery Maisons (Cartier, Buccellati, and Van Cleef & Arpels) contributed most to the sales and operating margin, with a 6% increase in sales. Combined sales for this division totaled €14 billion. Specialist watchmakers reported a less favorable outcome, with 2% growth at constant exchange rates (a 3% decline at actual exchange rates due to a strong Swiss franc). This division achieved €3.8 billion in sales, with both A. Lange & Söhne and Vacheron Constantin showing strong performances.

While sales have increased, it's important to note that due to the significant rise in individual prices of watches and jewelry pieces, sales volume might have decreased. The group did not disclose its volumes, but statistics indicate that the volume of Swiss watch exports declined at the beginning of 2024. The financial report also mentions that Richemont experienced a slight softening in sales during Q4 (January to March) and predicts that the recovery in China will take time.