Customers browse luxury products for sale inside a Cartier store, a unit of Richemont, in the GUM department store on Red Square in Moscow. Richemont sales in Europe reached €1,43bn, up 11% in constant currency terms, for the three months to June 30, 2026.
Image: Supplied
The share price of Compagnie Financière Richemont sparkled on the JSE on Wednesday morning as the top performer, with the price soaring by 7.5% after its luxury brands businesses reported strong first-quarter global sales.
The share price of the group, which has well-known South African businessman Johann Rupert as chairman and major shareholder, traded at R3968.90 on the local bourse in the morning. This price was 19.4% higher than a year ago.
The group, listed on the Switzerland Stock Exchange and the JSE, reported that sales reached €6.3 billion in the three months to June 30, marking a 20% increase at constant exchange rates and a 17% increase at actual exchange rates.
The group directors described the growth at its Jewellery Maisons as “excellent,” having increased by 24% at constant rates. The rise in sales of the group’s four jewellery maisons – Buccellati, Cartier, Van Cleef & Arpels, and Vhernier – marked the seventh consecutive quarter of double-digit growth.
Both jewellery and watch lines performed strongly, fuelled by “innovation underpinning the desirability of iconic creations.” Growth was broad-based, with sales up across all Maisons, regions, and channels.
Specialist Watchmakers' sales increased by 8%, improving sequentially. There was also a solid performance in the 'Other' business segment, including Fashion & Accessories Maisons, with a 9% sales growth.
There was strong local demand across all regions, with double-digit increases in the Americas, Asia Pacific, Japan, and Europe at both constant and actual rates, along with a return to growth in the Middle East & Africa.
Sustained growth was observed across all distribution channels, led by retail, which was up by 24% at constant rates.
Investment continued at the Jewellery Maisons to support and cultivate their growth against a persistently volatile macroeconomic and geopolitical backdrop driving elevated raw material costs
.
The cash position was robust at €9.1bn, including a €0.4bn cash inflow from the disposal of the Avolta stake.
In Europe, sales grew by 11%, compared to a double-digit comparative in the prior-year period, driven by strong demand from local clients and tourist spending, notably from North American and Middle Eastern clients.
Growth was solid across most markets, with significant contributions from France, the UK, and Germany. All business areas saw their sales increase, led by the Jewellery Maisons.
In the Americas, sales growth accelerated sequentially to +27%, fueled by continued strength in local demand. Growth was broad-based across all markets, channels, and business areas, with particularly noteworthy performances at the Jewellery Maisons and Specialist Watchmakers.
Asia Pacific sales increased by 21% compared to the prior-year period, led by strength at the Jewellery Maisons and, to a lesser degree, at the Fashion & Accessories Maisons. Driven by strong demand in Hong Kong and Macau, sales rose by double digits in China, Hong Kong, and Macau combined. All other main Asian markets posted strong growth, most notably South Korea and Taiwan.
In Japan, sales rose by 36% due to local demand and tourist spending, against a 15% drop in the prior-year period. Sales were up by double digits across all business areas, led by the Jewellery Maisons.
In the Middle East & Africa region, sales grew 3%, as robust local demand more than offset the significant drop in tourist spending due to the conflict in the region. Sales at Jewellery Maisons and Specialist Watchmakers grew, with the latter increasing by double digits.
While the United Arab Emirates market recorded modestly lower sales, other main markets in the region saw solid growth.
Sales in Europe reached €1.43bn, up 11% in constant currency terms. Sales in the Asia Pacific region increased by 27% in constant currency rates to €2.07bn. Sales in the Americas increased to €1.67bn. Middle East and Africa sales reached €530m, up by 3% in constant currency terms. Japan sales increased by 36% in constant currency terms to €632m.
Visit:www.businessreport.co.za