LVMH boosted by luxury goods rebound

(EPA)

Moet Hennessy Louis Vuitton (LVMH) confirmed the luxury goods industry's stronger-than-expected rebound yesterday as it posted a 14 per cent rise in underlying third-quarter sales, driven by the solid recovery of its fashion, wines and champagne businesses.

Demand for wine, and in particular Hennessy cognac in Asia, helped to push underlying sales in the Paris-based group's drinks division up 17 per cent. Its leather goods maker, Louis Vuitton, which accounts for more than half of group operating profits, saw double-digit growth.

The world's biggest luxury group also said the growth of its business in China in the third quarter was about the same as during the first half, or 26-27 per cent in local currency. But China still represented only 7 per cent of LVMH's total sales.

Overall group sales in the three months to 30 September reached €5.1bn (£4.5bn).