DFS Group posts first quarter sales growth

Print Article E-Mail Article

The company capitalises on a rebound in Asian travel markets as owner LVMH's sales surge

DFS Group has posted a sales increase in the first quarter of 2004 on the back of rebounding Asian travel markets, according to parent group LVMH Moët Hennessy-Louis Vuitton. The luxury group's selective retailing division, which comprises DFS and perfumery chain Sephora, reported 11% organic growth in the first three months of the year, with sales rising to Eu756m ($922m), while LVMH as a whole reported organic growth of 10% in the first quarter.

The group said its leading brands had delivered strong sales increases, particularly in the US and Asia. In particular Wines & Spirits delivered organic growth of 19% during the first quarter, with LVMH pointing to good performances by Moët & Chandon, Veuve Clicquot and Dom Pérignon champagne brands in the US, UK and Japan. And the group's Watches & Jewellery division also recorded sales growth during the first quarter of 2004, up 30% on the same period in 2003. The group was pleased with results from TAG Heuer, Chaumet and Montres Dior, and said it will showcase several innovations at the Basel Watch Fair this month.

In a results statement the group said: "LVMH will continue to pursue growth in 2004 by taking advantage of the strength of its brands, new product launches and penetration of new markets. Increasing market share and the profitability of our leading brands as well as improving the performance of our developing companies and cash generation remain LVMH's most important priorities."