Following today’s release of LVMH’s figures for the six months ending 30 June 2026; Sharon Iles, senior apparel analyst at GlobalData, a leading intelligence and productivity platform, offers her view: “LVMH’s organic sales growth reached 2% in the first half of 2026, with reported revenue down 2.9% to €38.6bn, an improvement from the 5.9% reported decline seen in the first. In Q2,Fashion and Leather Goods returned to organic growth for the first time in two years and Watches and Jewellery pushed further ahead, even against an ongoing disrupted geopolitical and economic environment in the Middle East. Profit from recurring operations declined 3.6% to €8.7bn, weighed down almost entirely by currency effects rather than any softening in underlying demand. Looking ahead, management struck a confident tone for the remainder of the year, pointing to new collections and store openings across its portfolio of brands, alongside continued investment in product quality and the retail experience, as the basis for sustaining a recovery through the second half.
“Regional performance improved broadly on an organic basis. Asia, excluding Japan, led the recovery with organic revenue growth of 6% for the first half, helped by standout new Louis Vuitton flagships in Beijing and Seoul. Japan swung from an organic decline of 3% in the first quarter to growth of 14% in the second, leaving it up 5% for H1 overall. Japanese yen weakened sharply through Q2, trading near its lowest levels against the dollar in decades, boosting tourist spending. The United States posted organic growth of 4%, driven by a rapid acceleration in fashion and leather goods demand in the second quarter. Europe was the one region still in decline, down 1% organically for H1, reflecting dampened consumer demand amid a weaker economic backdrop.
“By division, Watches and Jewellery led the growth, with organic revenue up 9% for the first half and accelerating to 11% in the second quarter, driven by Bulgari’s record-breaking Eclettica high jewellery launch. Wines and Spirits also turned a corner, posting 5% organic growth as champagne and cognac demand recovered from a weak prior year. Selective Retailing likewise posted 5% organic growth, with Sephora remaining the segment’s main growth engine, continuing to gain market share and expand its store network. Perfumes and Cosmetics organic sales stayed flat, with solid performances from Parfums Christian Dior and Guerlain offsetting softer performances elsewhere in the portfolio. Fashion and Leather Goods, the group’s largest division by revenue, saw organic revenue decline 1% for H1 yet return to a muted 1% growth in the second quarter. helped by the positive reception to Jonathan Anderson’s debut collection for Christian Dior, including its Cigale handbag, alongside standout new Louis Vuitton stores in Asia.”
