LVMH reports 1% growth in Q4 revenue as wine & spirits segment struggles

FRANCE – LVMH Moët Hennessy Louis Vuitton has reported a 1 percent year-on-year increase in fourth-quarter (Q4) organic revenue, reaching €23.93 billion (US$25.89 billion), surpassing analysts’ expectations of €23.50 billion (US$25.42 billion). 

For the full year 2024, the luxury goods giant recorded total revenue of €84.59 billion, reflecting a 2 percent decline from the previous year.  

However, Finance Chief Jean-Jacques Guiony described the overall year as “roughly stable,” highlighting improvements in the European and U.S. markets in the final quarter. 

Despite this, the Moët Hennessy wines and spirits division continued to face challenges amid a global slowdown in alcohol demand following the post-pandemic surge in spending.  

Cognac sales struggled, particularly in China and the U.S., where consumer preferences shifted away from the category despite price reductions aimed at maintaining market share. 

According to LVMH’s full-year report, the Wines & Spirits sector saw an 8 percent drop in organic revenues compared to 2023. This decline followed a 7 percent decrease in 2023, or 4 percent on an organic basis.  

Champagne brands within the group maintained a strong market presence, holding over 22 percent of all Champagne-appellation shipments, though sales of cognac and other spirits continued to fall. 

Moët Hennessy was also impacted by currency fluctuations, particularly the depreciation of the euro against major currencies, including the U.S. dollar. 

Despite these challenges, LVMH’s profit from recurring operations in 2024 totaled €19.6 billion, with an operating margin of 23.1 percent, significantly exceeding pre-pandemic levels. 

Bernard Arnault, LVMH’s chairman and CEO, expressed optimism regarding the group’s future, stating that several of its businesses had already achieved double-digit growth in early 2025.  

He also predicted a rebound in the Wines & Spirits segment over the next two years, with expectations of a strong recovery in the U.S. market. 

However, Arnault remained cautious about China’s economic outlook, suggesting that consumer demand in the country may take up to two years to fully recover due to lingering post-COVID effects and economic pressures. 

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