The globe’s foremost luxury conglomerate, LVMH, announced on Tuesday, October 14, that its revenue for the third quarter decreased by four percent, amounting to 18.3 billion euros (US$21 billion), influenced by exchange rate shifts. Nevertheless, the organization attained 1% organic growth during the quarter, marking the initial rise after numerous months of contraction.
From January through September of the current year, the group recorded a turnover of 58 billion euros, indicating a 4% decrease compared to the previous year.
“Achieving 1% organic growth, the third quarter demonstrated advancement across all sectors and geographical areas, with the notable exception of Europe, where earnings from visitor expenditure lessened,” the group noted in an official announcement.
Sephora continues to deliver strong performance
The Perfumes & Cosmetics segment experienced a 2% revenue decline throughout the initial nine months of 2025, but maintained stability on an organic basis. Specifically, within the third quarter, the division’s organic sales (on a comparable basis) saw an increase of 2%.
“Regarding fragrances, Parfums Christian Dior benefited from the triumphant debuts of Miss Dior Essence and Dior Homme Parfum. Sauvage sustained its position as the globe’s top-selling fragrance. Within makeup, the newly introduced Rouge Dior On Stage lipstick, along with innovations in Forever and Dior Addict, further enhanced the Maison’s performance. Guerlain was supported by the recent additions to its Aqua Allegoria and L’Art & La Matière fragrance collections. Parfums Givenchy presented a fresh floral variant of its iconic scent with L’Interdit Parfum,” LVMH stated.
The Selective Retailing sector registered the strongest expansion, with revenue escalating by 1.65% during the third quarter (+7% on a like-for-like basis), reaching almost EUR 4 billion, demonstrating Sephora’s sustained “notable performance.”
Comparable sales within the key Fashion & Leather Goods segment, alongside the Wines & Spirits and Watches & Jewelry sectors, are all displaying an upward trend throughout the third quarter.
The firm affirmed it “demonstrated notable resilience and preserved its substantial innovative drive despite a turbulent geopolitical and economic landscape”.
Stable situation in China, while Europe struggles
Concerning the third quarter of 2025, the report cited “an improvement across all business groups and all regions, except for Europe” where “income from tourist spending receded, influenced by currency variations, which exerted a greater effect on the quarter compared to earlier in the year.”
Concerning China, “the macroeconomic circumstances have not materially shifted,” LVMH CFO Cécile Cabanis conveyed during a dialogue with market experts. “The property sector remains intricate, and joblessness remains elevated. We will consequently anticipate that a revitalization in China and Asia will require time.”
However, she highlighted the triumph of Shanghai’s “Le Louis,” a vessel-shaped Louis Vuitton establishment that has become a significant attraction.
LVMH also mentioned that demand decreased in Japan, as 2024 had partly been augmented by increased visitor expenditure due to a weaker yen.
