Richemont Revenue Growth Misses Estimates as China Sales Decline

Richemont | Source: Richemont

GENEVA, Switzerland — Cie. Financiere Richemont SA, the world’s largest jewelry maker, reported slower revenue growth for the first five months of its fiscal year that missed analysts’ estimates on lower sales in mainland China.

Sales rose 9 percent in the period through August, excluding currency shifts, the Geneva-based company said today in a statement. Analysts expected 10 percent growth, according to the median of 21 estimates gathered by Bloomberg News.

Total sales increased 4 percent in the five-month period, compared with the 6 percent median estimate of 14 analysts surveyed by Bloomberg. Full-year revenue rose 14 percent in the 12 months through March, Richemont said in May when Chairman Johann Rupert also announced plans for a one-year sabbatical following today’s annual general meeting.

Makers of luxury goods have boosted sales as the ranks of the rich expanded. The number of people with assets worth at least $30 million rose more than 6 percent to a record 199,235 this year, with a combined fortune of almost $28 trillion, according to the Wealth-X and UBS World Ultra Wealth Report.

Richemont reports five-month sales figures each year when it holds its shareholder meeting.

By Thomas Mulier; Editors: Celeste Perri, Kim McLaughlin