Key facts
- LVMH reported a 9% growth in its watch and jewelry division for the latest half-year.
- Tiffany & Co.'s HardWear and Knot collections saw sales increases of approximately 75% and 50% respectively.
- Tiffany & Co. is shifting its focus to gold and high jewelry.
- Approximately 40% of Tiffany & Co.'s retail stores have been refurbished.
- LVMH's watch and jewelry division earned 5.23 billion euros ($5.94 billion) in the past six months.
Tiffany & Co. is proving to be a significant asset for its parent company, LVMH, driving substantial growth in the luxury conglomerate's watch and jewelry division. LVMH reported a 9% increase in this sector for the latest half-year compared to the same period last year, with strong sales contributions from the US, Asia, and Japan.
LVMH CEO Bernard Arnault highlighted Tiffany's performance, attributing the growth to its iconic product lines, particularly the HardWear and Knot collections, which saw increases of approximately 75% and 50% respectively in the past six months. The brand's strategic pivot towards high jewelry and gold offerings is also yielding positive results, aligning with increased market demand.
Further bolstering Tiffany's appeal, the company is undertaking a renovation of its retail stores, with about 40% of locations refurbished to date. Bulgari also contributed to the division's success with its high jewelry and watch lines, including the Serpenti, Diva, and B.zero1 collections.
These positive results offer a much-needed boost for LVMH, which has faced a challenging period with declining revenues since the first half of 2024. The luxury market has seen a slowdown as post-COVID aspirational shoppers reduced spending, compounded by economic pressures in China and the impact of tariffs. Despite these headwinds, LVMH's stock price saw a modest rise of 1.1% on Monday.