Luxury group optimistic about recapturing profitable growth.
LVMH has said that it is not ruling out more acquisitions in the watch sector, according to Bilanz magazine. The luxury group added watch brand Hublot to its portfolio in 2008.
In an interview with the Swiss magazine, LVMH’s head of watches and jewellery Philippe Pascal said that the group’s focus would remain on organic growth for the moment but would not rule out future acquisitions. He said: "With Hublot, we showed that we can undertake purchases if the financial terms are reasonable and the brand has potential for development."
Pascal said that LVMH is confident of returning to profitable growth. He added: "We, especially for the watches division, are optimistic that we can recapture profitable growth and gain market share.”
When asked if LVMH would consider buying Bulgari, Pascal said LVMH would “look at interesting offers, but Bulgari is not relevant now".
Watch and jewellery sales at LVMH fell 19 percent in 2009 on a like-for-like basis.