{"id":2786,"date":"2026-04-13T16:45:50","date_gmt":"2026-04-13T16:45:50","guid":{"rendered":"https:\/\/retrotradingreport.com\/index.php\/2026\/04\/13\/lvmh-q1-sales-miss-estimates-as-middle-east-conflict-weighs\/"},"modified":"2026-04-13T16:45:50","modified_gmt":"2026-04-13T16:45:50","slug":"lvmh-q1-sales-miss-estimates-as-middle-east-conflict-weighs","status":"publish","type":"post","link":"https:\/\/retrotradingreport.com\/index.php\/2026\/04\/13\/lvmh-q1-sales-miss-estimates-as-middle-east-conflict-weighs\/","title":{"rendered":"LVMH Q1 sales miss estimates as Middle East conflict weighs"},"content":{"rendered":"
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Luxury conglomerate and industry bellwether LVMH reported quarterly sales that missed expectations on Monday.<\/p>\n

Organic sales grew 1% in the first quarter, but analysts surveyed by FactSet had expected 1.5% growth in the March quarter. <\/p>\n

The Middle East conflict had a 1% negative impact on organic growth in the quarter, LVMH said in a statement.<\/p>\n

“LVMH maintained its powerful innovative momentum and showed good resilience in a geopolitical and economic environment that remained disrupted, amplified by the conflict in the Middle East,” the company said, also flagging a good start to the year in the US.<\/p>\n

US-listed shares of the French company<\/a> fell 3.4% on Monday.<\/p>\n

Analysts broadly expect growth to pick up significantly in the next quarters as LVMH and others continue to try to reinvent themselves and win back customers. <\/p>\n

Many shoppers turned their back on brands following a luxury boom that ended in 2022, which saw significant price hikes and strategic decisions that alienated parts of their clientele.<\/p>\n

Fashion division drags performance<\/h2>\n

LVMH’s fashion and leather goods division \u2014 its biggest unit, home to Louis Vuitton, Dior and Fendi \u2014 declined 2% to \u20ac9.2 billion ($10.8 billion) in constant currencies in the quarter. <\/p>\n

Total revenue came in at \u20ac19.1 billion, slightly below expectations. <\/p>\n

On a reported basis, LVMH sales declined 6% in the quarter, impacted by unfavourable exchange rates.<\/p>\n

Watches and jewellery grew 7% in the quarter on an organic basis, driven by a strong performance from Tiffany.<\/p>\n

The group’s wine and spirits division grew 5% in the quarter.<\/p>\n

It comes as the sector has shown some signs of a long-awaited recovery after a years-long slump prompted by soft demand from Chinese consumers, formerly one of the sector’s main growth drivers. <\/p>\n

Asia excluding Japan saw strong growth, “confirming the improvement in trends observed starting in the second half of 2025,” the company added. <\/p>\n

Local demand helped to partly offset lower tourist spending.<\/p>\n

Geopolitical tensions weigh on sentiment<\/h2>\n

Luxury stocks have fallen since the Iran war broke out in late February. <\/p>\n

While the Middle East accounts for a relatively low percentage of total sales for most big luxury companies \u2014 typically around mid-single digits \u2014 stocks have fallen markedly since the US and Israel first struck Iran on Feb. 28. <\/p>\n

Global markets remain volatile as an energy crisis unfolds with the effective closure of the Strait of Hormuz.<\/p>\n

“Elevated global uncertainty has generated significant investor anxiety, particularly among those who had been anticipating a long-awaited recovery in luxury demand this year,” said UBS analyst Zuzanna Pusz in late March.<\/p>\n

Consumer sectors typically underperform during periods of oil and energy-related shocks, and heightened geopolitical uncertainty is likely to weigh on sentiment in the near term, Pusz said. <\/p>\n

Even so, there are still no signs of a demand slowdown, especially in Asia. <\/p>\n

“Against a backdrop of very negative market sentiment and depressed valuations, we think that even modest Q1 beats could be disproportionately rewarded,” she added.<\/p>\n

The post LVMH Q1 sales miss estimates as Middle East conflict weighs<\/a> appeared first on Invezz<\/a><\/p>\n

<\/p>\n","protected":false},"excerpt":{"rendered":"

Luxury conglomerate and industry bellwether LVMH reported quarterly sales that missed expectations on Monday.Organic sales grew 1% in the first quarter, but analysts surveyed by FactSet had expected 1.5% growth in the March quarter. The Middle East conflict had a 1% negative impact on organic growth in the quarter, LVMH said in a statement.”LVMH maintained…<\/p>\n","protected":false},"author":1,"featured_media":2787,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[3],"tags":[],"class_list":["post-2786","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-investing"],"_links":{"self":[{"href":"https:\/\/retrotradingreport.com\/index.php\/wp-json\/wp\/v2\/posts\/2786","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/retrotradingreport.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/retrotradingreport.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/retrotradingreport.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/retrotradingreport.com\/index.php\/wp-json\/wp\/v2\/comments?post=2786"}],"version-history":[{"count":0,"href":"https:\/\/retrotradingreport.com\/index.php\/wp-json\/wp\/v2\/posts\/2786\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/retrotradingreport.com\/index.php\/wp-json\/wp\/v2\/media\/2787"}],"wp:attachment":[{"href":"https:\/\/retrotradingreport.com\/index.php\/wp-json\/wp\/v2\/media?parent=2786"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/retrotradingreport.com\/index.php\/wp-json\/wp\/v2\/categories?post=2786"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/retrotradingreport.com\/index.php\/wp-json\/wp\/v2\/tags?post=2786"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}