Richemont Sales Rise, Jewelry Shines, Watches Lag

Swiss luxury corporation Richemont’s sales raised 4 per cent year-on-year at continuous currency exchange rate to EUR21.4 billion in the year finished 31 March 2025, as a solid efficiency from its jewellery brands counter a decrease in the watches division.

He added that sharp price boosts are not on the cards. “We will certainly not make unexpected fast rate boosts, however undoubtedly looking at money, which may relocate quite significantly in the next year or two.”

Jewelry Brands Outperform Watch Division

“There are very good dynamics around our different jewelry maisons– Cartier, Van Cleef & Arpels, Buccellati or Vhernier– which we simply incorporated,” Richemont chief executive officer Nicolas Bos stated throughout a press telephone call. “We see a really active and favorable market around these maisons. We do not understand what the year that’s upcoming is mosting likely to appear like, however last quarter was an excellent signal.”

“We, in the last 3 or four years, have been extra careful in ramping up our prices than a few of our competitors,” Rupert informed reporters.” Inevitably, you’re taking care of long-term-standing customers who have count on the connection. We require global rates, otherwise individuals take a trip to make use of the prices differential like what took place when the Japanese yen was especially weak a while ago. And I believe it has benefited us. There is a little a backlash against several of the rate rises amongst some of our competitors.”

Cautious Pricing Strategy Benefits Richemont

“There are very excellent dynamics around our various jewelry maisons– Cartier, Van Cleef & Arpels, Buccellati or Vhernier– which we simply incorporated,” Richemont CEO Nicolas Bos said throughout a press call. Richemont chair Johann Rupert anticipated back in 2023 that recovery in China was a long method off. There is a bit of a backlash against some of the rate increases amongst some of our rivals.”

Richemont chair Johann Rupert anticipated back in 2023 that recuperation in China was a long way off. I don’t recognize, but I do anticipate that China will certainly be back.”

Sales at Richemont’s jewellery division, which includes Cartier, Van Cleef & Arpels and Buccellati, continued to exceed the others, growing 11 per cent in Q4; while sales at expert watchmakers, which houses brand names like Vacheron Constantin and Piaget, were down 11 percent. ‘Various other’ organizations, including style brands Chloé and Alaïa, were up 7 per cent.

Asked to comment on US tolls throughout journalism call, CFO Burkhart Grund said: “We are very closely checking the scenario. We are looking at all various choices that we need to reduce the influence. Those include our thoughts on prices.”

Citi handling director Thomas Chauvet created in a note: “We expect agreement for group sales in fiscal 2026 of EUR22.6 billion, up 6 per cent at continuous exchange, and an EBIT of EUR5 billion to be minimized by low-single-digit percentages, mirroring gold, Swiss francs and tariffs headwinds.”

Regional Sales Performance

Richemont has a global rates policy and has been a lot more mindful on cost rises than a few of its peers. “Numerous brand names went too high, too swiftly in terms of rate points,” states Erwan Rambourg, HSBC international head of customer and retail research; versus this background, Richemont still has room for uplifts.

By location, Japan, the Americas, the Middle East and Europe led development for Richemont in Q4 (up 22 percent, 16 percent, 14 per cent and 13 percent, respectively), while Asia-Pacific decreased 7 per cent. “Growth in Europe, the Americas and Japan were significantly more powerful than anticipated, countering lower-than-expected development in Asia-Pacific,” wrote Bernstein luxury goods analyst Luca Solca.

He included that sharp rate boosts are not on the cards. “We will proceed doing fair rates,” he claimed. “We will not make abrupt fast cost boosts, however clearly looking at currencies, which may move fairly considerably in the next year or two.”