Lvmh, revenue down 4% and profit down 22%

"In an uncertain geopolitical and economic environment, the Group confirms its confidence and will maintain a strategy focused on continuously strengthening the desirability of its brands by leveraging the excellent quality of its products and retail excellence," reads the statement, which continues: "The strategy of aiming for the highest level of quality in all activities, combined with the energy and exceptional creativity of the teams, will enable the Lvmh Group to further strengthen its global leadership in the luxury sector in 2025."

The board of directors, which approved the half-yearly report, approved an interim dividend of EUR 5.50 per share, to be paid on Thursday, 4 December 2025.

Bernard Arnault, chairman and CEO of Lvmh, commented that the group "has demonstrated solidity in a complex context", thanks to the strength of its brands and its inexhaustible capacity to innovate, while remaining faithful to its culture of incomparable craftsmanship. "Beyond the current uncertainties, we remain focused on the long-term vision that has always guided our group," highlighted the entrepreneur, who then indicated: "we will be vigilant in the second half of the year. I have full confidence in Lvmh's extraordinary long-term potential and in the commitment of our teams to further strengthen the group's leadership in the luxury sector. Our shared priority is to offer our customers the most exceptional products'.

Lvmh's CFO, Cecile Cabanis, stated during the conference call with analysts that the group espouses a 'wait and see' strategy in view of an agreement between the US and the United States on the trade front. A scenario with tariffs at 15 per cent, as has emerged in recent hours, would 'represent a good outcome' for the manager, since some of the group's brands, apart from certain wines and spirits such as Cognac Hennessy, still enjoy power in setting their own price lists. 'It seems we are close to an agreement on tariffs,' she said again, 'it would be good as it would reduce economic uncertainty,' she concluded.

"In the second quarter of 2025, Lvmh still showed signs of weakness, with the Fashion & Leather Goods (F&LG) division declining organically by 9%, worse than expected (-6.4% according to consensus)," reads Bernstein's commentary, which continues: "On the other hand, the other divisions held their own: Wines & Spirits (W&S) recorded a moderate decline to -4% (versus -7.5% expected), while the Selective Retailing division grew by +4%, above the estimate of +1.8%. Thanks to a strict cost containment policy - in response to weakening demand - EBIT exceeded estimates by about €150 million (+2%). Lvmh faced a number of critical issues, including slowing sales in flagship brands such as Dior, Hennessy and the DFS chain. For the second half of 2025, the corrective measures the group will take will be crucial'.