LVMH shares rocketing to a new record high
Luxury goods giant LVMH has seen a "significant rebound" in sales in Asia which has helped boost its first quarter numbers.
IGTV’s Jeremy Naylor looks at the numbers and what’s been happening since 1985 when Bernard Arnault started investing in luxury brands with the purchase of Christian Dior.
Arnault, who is now the world’s richest man, owning around half of LVMH, hailed an "excellent" start to the year, despite ongoing global economic uncertainty amid the Ukraine war and concerns over inflation.
(Video Transcript)
LVMH shares soar
The world's largest luxury goods company LVMH is at a new all-time record high on the French markets this morning as a result of earnings that we saw out late last night in the French economy.
Let's take a look at the numbers for LVMH. It saw a significant rebound in sales in Asia which helped boost its first quarter (Q1) numbers. The easing of Covid-19 lockdowns, particularly in China, has been a big generator of that climate in sales.
According to the company sales were up 17% globally, fashion and leather organic sales were up 18%, with estimates on Bloomberg for a 9.5% rise at the French luxury goods company which owns brands including Moet, Hennessy, Louis Vuitton, is almost 50% owned by the world's richest man, Bernard Arnault.
He held an excellent start to the year despite ongoing global economic uncertainty amid the Ukraine war and concerns over inflation.
Share price chart
Look at the stock chart today. Absolute stunning performance. Up almost 5% on the session. You can quite clearly see here we've gone past the previous record at 85528 - 7445 is where we are trading now after 40 minutes of the session today.
Look at where the stock has come from though. Going back to the very beginnings of this chart back in February 1990 you can see the direction of travel very much on the upside and why Bernard Arnault is now the world's richest man, as I say, owning around about half of the company, and his family has benefited, this rise in the stock since 1985 when he did that deal worth $15 million to buy Christian Dior.
Since then, there's been a lot of collection of big assets across the business culminating in today's first quarter numbers which has seen a new record high in the stock.
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