Richemont Q1 Total Sales Down 47%, Despite Growth In China - Quick Facts
(RTTNews) - Swiss luxury goods group Compagnie Financiere Richemont AG (CFRUY.PK) reported Thursday that its first-quarter total sales fell 47 percent to 1.99 billion euros from 3.74 billion euros, hurt by strong impact from Covid-19 pandemic. Sales for the quarter was down by 47 percent at constant exchange rates too.
Sales contracted significantly across all regions, channels and business areas, despite China, which recorded a 49 percent increase. The sales were impacted by widespread temporary store and distribution centre closures, a halt in tourism and subdued consumer sentiment in many markets.
In Europe, sales were 59 percent lower at 436 million euros. Sales in Asia Pacific fell 29 percent to 1.01 billion euros. Meanwhile, China delivered triple digit online sales growth and very strong domestic retail sales in the absence of overseas purchases from the Chinese clientele from the mainland.
Sales in the Americas contracted 61 percent, and in Japan, sales declined 64 percent. Sales in the Middle East and Africa fell 38 percent.
Retail and wholesale sales decreased by 43 percent and 65 percent, respectively. Online retail sales decreased 22 percent.
However, online retail sales showed stronger resilience than sales in other channels, the company said. Excluding Online Distributors, online sales contributed 8 percent of Group sales compared to 2 percent in the prior year period.
As of June 30, all distribution centres and most stores have reopened with exceptions in the Americas and travel retail.
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