Pursuits
Richemont Forecasts 45% Profit Slide as Hermes Abandons Goal
- Hermes abandons mid-term goal for 8% annual sales growth
- Reports add to gloom spreading across luxury-goods industry
Richemont 5-Month Constant FX Sales Miss Estimates
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Richemont, the maker of Cartier jewelry, said first-half operating profit will probably decline about 45 percent, while Hermes International SCA abandoned its annual sales growth target, adding to the gloom spreading across the luxury-goods industry.
Revenue slid 13 percent excluding currency shifts in the five months through August, Geneva-based Richemont said Wednesday, missing the median analyst estimate for an 11 percent decline. Hermes said it’s no longer forecasting annual revenue growth of about 8 percent excluding currency shifts, and instead has “an ambitious goal” for growth.