LVMH Predicts Tough Future Ahead

INTERNATIONAL NEWS

LVMH Predicts Tough Future Ahead


October 13 , 2017



LVMH, the world’s biggest luxury goods company predict tough period ahead after producing stronger than expected sales growth in the third quarter which sent its shares towards record highs. Chinese demand for LVMH’s high-end clothing labels and spirits helped sales to rise more than expected in the third quarter, boosting its shares and those of its rivals.

LVMH, like its rivals, is grappling with a strengthening euro that could dampen tourist spending. It also faces tougher comparisons between October to December, when earnings will compare to a year earlier when a recovery in Chinese spending following a recession was already in full swing.