Luxury group Richemont’s jewellery business maintained its winning streak, recording a 7 percent increase in sales for the year ended March 31, 2017 on the back of solid demand from major markets.
“The continued strength of jewellery was driven by a particularly strong momentum in Asia Pacific and the Americas. With sales growing by 7 percent, the contribution of jewellery products to overall group sales has risen from 35 percent to 39 percent,” noted Burkhart Grund, group deputy chief financial officer of Richemont.
Jewellery sales rose to EUR4.2 billion (US$4.6 billion) from EUR3.88 billion (US$4.2 billion) last year.
The company also said “good growth” in jewellery sales at Cartier and Van Cleef & Arpels partially offset a double-digit reduction in reported watch sales, thereby tempering the jewellery maisons’ overall sales decline to 2 percent. The launch of Cartier Magicien, Cactus and Love at Cartier, as well as Arche de Noé and Bouton d’or at Van Cleef & Arpels garnered positive reaction from the market.
Retail sales showed growth, in part supported by the reopening of the refurbished Cartier New York and Tokyo flagship stores, as well as ten net openings in the period, added Richemont.
“The year has seen a confirmation of the resilience of our retail network, thanks to the good performance of the jewellery category. Richemont’s strong balance sheet will allow us to manage the group with a long-term value creation and a focus on organic growth,” added Gary Saage, chief financial officer of Richemont.