Luxury goods maker LVMH reports that quarterly sales at its jewellery and watch division are up on last year after a flying start to 2016.
Organic revenues from the unit increased 7% in the first three months of the year, to £774m (£614m), making it the fastest growing part of LVMH’s business along with perfumes and cosmetics. However, it remains the smallest division by sales.
LVMH bosses said the division had outperformed the general jewellery and watch market for the opening period of the year, heralding TAG Heuer’s performance in particular.
“TAG Heuer had a good quarter, benefiting from its successful strategy of focusing on its core offering,” it stated. “The new connected smartwatch was an immense success.”
The firm added that Bulgari recorded an “excellent performance” driven by the success of its iconic jewellery collections and innovations. Additionally, a number of LVMH watch brand innovations were “extremely well received” at the Basel Watch fair, which had also provided a boost
Overall sales at the group rose 4% to £8.6 billion (£6.8 billion) for the first quarter of 2016.
“The US market is strong and Europe remains well oriented except for France which is affected by a fall in tourism. Asian markets are varied, but Japan continues to progress,” it reported.