Big spenders helped boost LVMH revenue to €64.2bn last year as economies recovered from the Covid pandemic.
The luxury goods firm posted revenue of €64.2bn on Thursday evening, up 44 per cent compared to 2020 and up 20 per cent compared to 2019.
Fashion and leather goods hit record levels, with organic revenue growth of 51 per cent compared to 2019.
Europe returned to growth in the fourth quarter compared to pre-pandemic levels, as the region marks a gradual recovery, the group said.
Elsewhere,growth in the United States and Asia rose sharply over the course of the year.
Bernard Arnault, chairman and CEO of LVMH, said the company “enjoyed a remarkable performance in 2021 against the backdrop of a gradual recovery from the health crisis.”
Arnault also paid tribute to the fashion designer Virgil Abloh, who passed away last autumn.
“His immense visionary talent and his great wisdom will forever be embedded within the history of our group,” the CEO added.
Arnault said: “Our objective to strive for solid financial performance and our relentless quest for excellence remind us of our daily commitment to act in such a way as to make the world a better place.
“The group and its Maisons carried out numerous actions in 2021 to promote biodiversity, protect nature and to preserve skills and craftsmanship, and will continue to do so in the years to come.”
Although there were “uncertainties” going into into the new year, the firm was approaching the year ahead with “confidence”, Arnault said.
“LVMH is in an excellent position to further strengthen its lead in the global luxury market,” he added.
Harry Barnick, senior analyst for retail sector and luxury goods at Third Bridge, said: “Brand heat at Louis Vuitton and Dior is building as customers opt for expensive but value focused, long-lasting purchases.
“However, the huge growth figures posted over the last 6-12 months are likely to normalise in markets like China and the US in the medium term.”
“Our experts suggest that average selling prices rose high single digits at the Louis Vuitton brand, with the current scarcity in the raw material justifying the increases. “
“The Tiffany turnaround is in full motion, with a clear shift in communication style, a push towards gold jewellery and an increase in price points driving growth. “