EXCELLENT FIRST HALF FOR LVMH

Extract from the press release published on July 26, 2022

Bernard Arnault, Chairman and Chief Executive Officer

Bernard Arnault, Chairman and CEO of LVMH, said: “LVMH has enjoyed an excellent start to the year, to which all of our business groups contributed. It is the creativity and quality of our products, the excellence of their distribution and the rich cultural heritage of our Maisons, fueled by their history and know-how, that enable the Group to excel around the world. We approach the second half of the year with confidence, but given the current geopolitical and health situation, we will remain vigilant and count on the agility and talent of our teams to further strengthen our global leadership position in luxury goods in 2022.”

HIGHLIGHTS FIRST HALF 2022

Highlights of the first half of 2022 include:

  • An excellent first half in a still disrupted environment,
  • Double-digit organic revenue growth for all business groups,
  • Strong growth in Europe, Japan and the United States,
  • Exceptional momentum in champagne and cognac,
  • Remarkable performance by the Fashion & Leather Goods business group, particularly Louis Vuitton, Christian Dior, Fendi, Celine, Loro Piana and Loewe, which gained market share across the board and achieved new record highs for profitability,
  • Rapid growth in fragrances and skincare,
  • Continued creative momentum within all our Watches & Jewelry Maisons, particularly Tiffany, Bulgari and TAG Heuer,
  • Strong rebound from Sephora,
  • Recovery in hotel activities,
  • Operating free cash flow of more than €4 billion.

LVMH Moët Hennessy Louis Vuitton, the world’s leading high-quality products group, recorded revenue of €36.7 billion in the first half of 2022, up 28% compared to the same period in 2021. Organic revenue growth was 21%. All business groups achieved double-digit organic revenue growth over the period.

In the second quarter, revenue increased by 27% against a particularly high basis of comparison. Organic revenue growth was 19%, in line with trends seen in the first quarter. Europe and the United States have been up sharply since the start of the year, while Asia saw a lower level of growth due to the new health restrictions in China.

Profit from recurring operations was up 34% at €10,235 million for the first half of 2022. Operating margin reached 27.9% of revenue, up 1.3 points compared to the first half of 2021. Group share of net profit was €6,532 million, up 23% compared to the first half of 2021.

ACCESS THE 2022 interim financial report ACCESS THE 2021 ANNUAL REPORT

Extract from the press release published on July 26, 2022

OUTLOOK 2022

Given the current geopolitical environment and taking into account the health situation, the Group will maintain a strategy focused on continuously strengthening the desirability of its brands, by relying on the exceptional quality of its products and the excellence of their distribution.

Our strategy of focusing on the highest quality across all of our activities, combined with the dynamism and unparalleled creativity of our teams, will enable us to reinforce LVMH’s global leadership position in luxury goods once again in 2022.

2022 INTERIM DIVIDEND

An interim dividend of €5.00 will be paid on Monday, December 5, 2022.

First half 2022 Key Figures

  • Revenue €36,729m +21% vs H1 2021(1)
  • Profit
    from recurring
    operations     €10,235m +34% vs H1 2021
  • Operating
    margin     27.9% 26.6% in H1 2021
  • Operating
    free cash flow     €4,046m -24% vs H1 2021
  • Net financial debt/
    Equity ratio     21.1%
  • 2022 Interim
    dividend     €5  (2)
  • The financial statements as of June 30, 2021 have been restated to reflect the purchase price allocation of Tiffany.

     (1) With comparable structure and constant exchange rates. The structural impact for the Group compared to the first half of 2021 was zero and the currency effect was +7%. (2) Payment on December 5, 2022.
  • 75 Maisons
  • 80 Countries
  • 179 Nationalities
  • 5,556 Stores
  • 31/12/2021 data
  • 110 Production sites
    in France
  • 280 Métiers d’Excellence
    within our 75 Maisons
  • More than 600,000 Hectares of regenerated
    fauna and flora habitat
  • More than 500 Nonprofits, foundations
    and initiatives
  • 31/12/2021 data

  • 31/12/2021 data

LES JOURNÉES PARTICULIÈRES 2022

LEARN MORE ABOUT LES JOURNÉES PARTICULIÈRES

BUSINESS GROUP INSIGHTS

LVMH SHARE

After a record year for stock markets in 2021, the CAC 40 reached an all-time high on January 5, 2022 before gradually falling in response to a series of shocks.

The Russia-Ukraine conflict and fears of an embargo on Russian oil and gas initially fueled a surge in commodity prices, swiftly followed by shortages in the agri-food sector. New health restrictions in China further weakened supply chains already stretched following the pandemic and pushed up inflation. In an attempt to control rising prices, the Fed and then the ECB hardened their monetary policy by winding up their asset purchase programs and hiking interest rates.

Like most global stock market indices, the CAC 40 plummeted, ending June 2022 below the 6,000-point level, making H1 2022 its worst half-year aside from in 2008 and 2020. The CAC 40 and Euro Stoxx 50 indices ended the half-year sharply down, having lost 17.2% and 16.5% respectively. Meanwhile, LVMH’s share price fell 20% to 581.7 euros.

LVMH is included in the main French and European indices used by fund managers: the CAC 40, DJ Euro Stoxx 50, MSCI Europe and the FTSE Eurotop 100, as well as the Global Dow and FTSE4Good, one of the key indices for socially responsible investing.

Comparison between the LVMH share price and the CAC 40 AS OF JUNE 30, 2022

Follow the real-time trade

LVMH share CAC 40 (2022 first half % change)

-20% -17%

SHARE PRICE AS OF JUNE 30, 2022

€582

STOCK MARKET CAPITALIZATION AS OF JUNE 30, 2022

€294bn

STOCK MARKET

Listed on Eurolist by Euronext Paris

Member of indices

CAC 40, Dow Jones Euro Stoxx 50, MSCI Europe, FTSE Eurotop 100, Global Dow and FTSE4Good.

TOTAL SHAREHOLDER RETURN

An LVMH shareholder who invested €1,000 on July 1, 2017 would have a capital of €2,870 on June 30, 2022, based on reinvested dividends. This represents nearly a threefold increase, equating to a compound annual growth rate of around 23% over five years.

LVMH SHAREHOLDERS’ CLUB

Louis Vuitton Family house and Asnières workshops, France

The LVMH Shareholders’ Club was set up in 1994 to give individual shareholders who are particularly interested in the life of the Group a better understanding of LVMH, its businesses and its brands.

The LVMH Shareholders’ Club can be joined free of charge by any shareholder who owns at least one LVMH share listed on the Paris stock exchange.

LATEST NEWS ABOUT OUR MAISONS

We send Club members several publications to keep them informed of the latest news about our Maisons, such as the Annual Report, the twice-annual Letter to Shareholders and the annual issue of Apartés, our Club magazine.

TOURS TO DISCOVER OUR MAISONS

La Galerie Dior, Paris, France

Throughout the year, the LVMH Shareholders’ Club holds exceptional in-person and virtual private tours of a number of its Maisons, such as Louis Vuitton’s workshops in Asnières, the Dior 30 Montaigne boutique and la Galerie Dior, the historic La Samaritaine department store by the Pont Neuf, the Maison Chaumet or the Guerlain 68 Champs-Élysées flagship in Paris. Club members can also reserve guided tours of unique sites such as Hennessy’s centuries-old cellars in Cognac, Veuve Clicquot’s magnificent crayères in Reims, and Moët & Chandon and Mercier’s champagne cellars in Epernay.

EXCLUSIVE OFFERS FOR THE GROUP’S PRODUCTS

In addition to special offers on a selection of the Group’s wines and spirits, for delivery in France only, Club members can purchase discounted subscriptions to Group media publications – Les Echos, Investir, Le Parisien and Connaissance des Arts – and order priority-access tickets for the Fondation Louis Vuitton.

Join the Shareholders’ Club

AGENDA

Tuesday, July 26, 2022

2022 half-year results

October 2022

2022 third-quarter revenue

Monday, December 5, 2022

Payment of an interim dividend (last trading day with dividend rights: Wednesday, November 30, 2022)

January 2023

2022 annual results

Thursday, April 20, 2023

Annual Shareholders’ Meeting

FocusAUGMENTED PRESENCE FOR LVMH AT VIVA TECHNOLOGY 2022

At VivaTech 2022, LVMH unveils its Apartment… and the vitality of the Group’s innovation ecosystem. Viva Technology – the No. 1 startup and tech event in Europe, which brings together business leaders, startups and investors each year – took place over four days in June. This year, LVMH will have an augmented presence, with interconnected physical and digital spaces throughout the event. The Group’s focus were on three key issues for our industry – data transformation, Web3 and sustainability.

In the 600-sq.m. “LVMH Apartment” set up at the Porte de Versailles exhibition center in Paris, the Group showcased innovations by 16 of its Maisons, solutions developed by the 21 startups shortlisted for the LVMH Innovation Award and collaborations with 5 startups from previous years. The “Open Kitchen” section of the LVMH stand also hosted the DARE intrapreneurship program and La Maison des Startups.

LVMH was also present on the VivaTech digital platform, which broadcasted four tech talks hosted by Livi – LVMH’s new “Face of Innovation” – on four different topics: Data & Beauty Tech; Blockchain, NFT & Metaverse; Sustainability and Startup acceleration by LVMH.

A highlight of the four-day event was the LVMH Innovation Award Ceremony, co‑hosted by Livi, in the presence of Group Chairman and CEO Bernard Arnault, who revealed the overall winner of the sixth LVMH Innovation Award.

LVMH was also present for the very first time in the virtual world with a microverse – an augmented version of LVMH’s physical stand – where Livi played hostess.

Episode 1 LIVI

Livi, for LVMH Innovation Virtual Insider, is the new ‘Face of Innovation’ of the LVMH Group, tasked with promoting innovative projects led by the Group and its Maisons across different LVMH digital channels. Modeled in 3D by Altava – a 2021 LVMH Innovation Award finalist – and dressed by LVMH Fashion and Jewelry Maisons, Livi had a lead role during the VivaTech event from June 15-18.

Episode 2 LVMH APARTMENT

At VivaTech 2022, LVMH unveils its Apartment… and the vitality of the Group’s innovation ecosystem.

Episode 3 LVMH 2022 INNOVATION AWARD CEREMONY

LVMH announces 2022 Innovation Award prize list, and its Grand Winner TOSHI, during Viva Technology.

FASHION SHOWS FROM Seville TO PARIS

Louis Vuitton WOMEN'S CRUISE 2023 SHOW

Louis Vuitton MEN'S SPRING-SUMMER 2023 SHOW

Dior WOMEN'S CRUISE 2023 SHOW

Celine WOMEN’S WINTER 2022 SHOW DANS PARIS

MORE ABOUT THE GROUP

OUR WEBSITE

The LVMH website (www.lvmh.com) gives access to a wide range of regularly updated information on the Group and its Maisons. A section specially aimed at the financial community and LVMH shareholders features the share price in real time, its chart relative to the CAC 40, the events schedule, press releases and presentations, in particular the Shareholders’ Meeting, which can be watched live or on replay.

Access the LVMH website

OUR NEWSLETTERS

Communications media can be viewed in the Publications section along with the Annual Report, the Social and Environmental Responsibility Report. LVMH also sends out Group news by email to web users who sign up for Press Release and Letter to Shareholders alerts. Lastly, a Calendar alert is available for those wishing to be advised of updates to this section and receive an email reminder the day before an event.

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Contacts

Investor and Shareholder Relations
Phone: +33 (0)1 44 13 27 27

Shareholders’ Club
Phone: +33 (0)1 44 13 21 50
E-mail: clubactionnaires@lvmh.com