Deals
Richemont Slumps as Watch Inventory Buybacks Dent Earnings
- Shares slump as much as 8.2 percent as earnings miss estimates
- CFO Burkhart Grund signals that inventory buybacks are over
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Richemont shares fell the most in three years as the Swiss luxury-goods maker bought back more unsold watches from retailers, weighing on profit growth.
The stock fell as much as 8.2 percent. Richemont spent 203 million euros ($240 million) on inventory repurchases aimed at preventing watches from falling into the hands of unauthorized sellers, the Geneva-based company said Friday. That held back full-year operating profit, which rose 5 percent, less than analysts expected.