News 
The group’s consolidated revenue amounted to € 2,853 million in the first half of 2018, up +11% at constant exchange rates and +5% at current exchange rates.
Sales growth was solid and particularly sound in the group’s stores (+11% at constant exchange rates).
The sustained growth in the second quarter (+12% at constant exchange rates and +7% at current exchange rates) was driven by the continuing momentum across all business lines and in all geographical areas.
In the first half of 2018, revenue increased in all geographical areas worldwide:
- Asia excluding Japan (+15%) continued its outstanding performance, with positive momentum in continental China and the whole region. The group also benefitted from the January opening of the Landmark Prince’s store in Hong Kong. The Changsha store in China opened in May.
- Japan (+7%) confirmed its robust growth with no price effect.
- America (+12%) progressed well with high demand. In May, the group opened its 34th store in the USA, at Palo Alto in the heart of Silicon Valley. The Cancùn store opened in Mexico at the end of March.
- Europe excluding France (+7%) and France (+8%) achieved good performances despite the strengthening of the Euro. The Monaco and Nice stores reopened in June, and the third store in Istanbul, in Emaar Square, opened in May. The new website hermes.com was successfully deployed in Europe at the end of March, offering a one-stop address for both editorial content and products, reflecting the diversity of the Maison’s creations.
The performance in the first half was driven by solid growth across all business lines. Growth in Leather Goods and Saddlery (+8%) was sustained over the first half of the year, based on collections combining style, know-how, diversity of materials and functionality. Demand remains high, both for the Maison’s classics and other models, such as the Roulis, Lindy and Cinhetic bags. Production capacities continued to increase, with the opening of the Manufacture de l’Allan in April, completing the craftsmanship production capacities in Franche-Comté around the Seloncourt and Héricourt sites, and the start of the Guyenne and Montereau production site projects, scheduled for completion in 2020.
The Ready-to-Wear and Accessories division (+17%) pursued its growth, thanks to the pertinence and boldness of our men’s and women’s ready-to-wear collections and the success of fashion accessories and footwear. A men’s universe event was staged in Shanghai in April.
The Silk and Textiles business line (+7%) confirmed its favourable momentum with sustained demand, thanks to the diversity of materials and wealth of creations, particularly around silk twill and cashmere.
Driven by the successes of Terre d’Hermès and of Twilly d’Hermès, Perfumes (+15%) recorded a sharp increase.
The Watches business line (+9%) posted a good sales performance in the group’s stores.
Other Hermès business lines (+24%), which encompass Jewellery, Art of Living and Hermès Table Arts, recorded strong growth over the period.
In the medium-term, despite growing economic, geopolitical and monetary uncertainties around the world, the group confirms an ambitious goal for revenue growth at constant exchange rates.
August 16, 2018