| Tue 24 Apr 2007, 7:30 | | RCH - Richemont Securities AG - Unaudited Sales Fi |
|
RCH
RCH
RCH - Richemont Securities AG - Unaudited Sales Figures For The Financial Year
Ended 31 March 2007
Richemont Securities AG
(Incorporated in Switzerland)
Share code: RCH
ISIN: CH0013157380
("Richemont")
UNAUDITED SALES FIGURES FOR THE FINANCIAL YEAR ENDED 31 MARCH 2007
Richemont announces its unaudited sales for the year ended 31 March 2007.
Sales by business area for the year
March March Movement at
2007 2006 Constant Actual
Euro m Euro m rates rates
Jewellery Maisons 2 435 2 227 +14% +9%
Specialist 1 203 1 063 +17% +13%
watchmakers
Writing instrument 585 497 +21% +18%
Maisons
Leather and 307 283 +12% +8%
accessories Maisons
Other businesses 297 238 +29% +25%
Total sales 4 827 4 308 +16% +12%
The final quarter of the financial year saw a continuation of the strong growth
in sales of luxury products seen during the first nine months. Overall sales for
the year grew by 16 per cent at constant exchange rates. The underlying growth
was offset by the weakness of the dollar and yen such that sales at actual rates
grew by 12 per cent over the full year.
For the year as a whole, all business areas performed well and all geographic
regions showed double-digit growth in sales at constant rates, with the Asia-
Pacific region growing by 24 per cent at constant rates.
Jewellery Maisons
Of the Group`s Jewellery Maisons, Cartier reported double-digit growth at
constant rates in all regions with the exception of Japan, which saw modest
growth. Van Cleef & Arpels also enjoyed very good growth in sales; products
linked to the Maison`s centenary in 2006 and related communications activity
contributed to the strong performance.
Specialist watchmakers
High levels of demand continued in all regions, generating double-digit sales
growth for the Group`s specialist watchmakers. Most notably, sales of both
Panerai and A. Lange & Sohne grew strongly during the year.
Writing instrument Maisons
Montblanc also celebrated its centenary during 2006. Sales benefited from the
special centenary products, the programme of events surrounding the anniversary
and the launch of the new Montblanc female jewellery line, together with the
development of its retail network, which contributed 6 per cent to the growth in
sales at actual rates. The Maison performed well in all geographic regions.
Leather and accessories Maisons
Alfred Dunhill reported double-digit growth at constant exchange rates in the
Asia-Pacific region for the year, helped by the development of its retail
network. However, sales in the important Japanese market were flat in local
currency terms. Lancel reported a double-digit increase in sales for the year at
constant rates, reflecting growth driven by the success of its new products.
Other businesses
The growth in sales in the Group`s other businesses primarily reflects the
further development of Chloe. Chloe`s sales increased by some 50 per cent at
constant rates during the year, the Maison benefiting from the substantial
increase in its retail network. Exceptional growth in the first six months was
offset by more moderate growth in the latter part of the year, measured against
a higher comparative base.
Sales by geographic region for the year
March March Movement at
2007 2006 Constant Actual
Euro m Euro m rates rates
Europe 2 042 1 811 +13% +13%
Asia-Pacific 1 070 899 +24% +19%
Americas 984 875 +18% +12%
Japan 731 723 +10% +1%
Total sales 4 827 4 308 +16% +12%
Europe
The overall increase of 13 per cent reflects double-digit growth in all business
areas. Montblanc and the specialist watchmakers all performed very well over the
course of the year. Sales in Europe represent 42 per cent of total Group sales.
Asia-Pacific
Sales grew at a faster rate during the fourth quarter than had been seen during
the first nine months of the year. Excellent demand was seen in all business
areas. Both Montblanc and Alfred Dunhill benefited from the development of their
own retail distribution networks in China during the year.
Americas
The Americas region reported strong underlying growth of 18 per cent,
notwithstanding the good growth seen in the prior year and the challenging
comparative base. The decrease in the value of the dollar relative to the euro
during the year resulted in sales growth of 12 per cent at actual exchange
rates.
Japan
Double-digit sales growth in the domestic Japanese market was largely offset by
the weakness of the yen when translated into euros. At actual rates, sales grew
by 1 per cent. Sales in Japan represent 15 per cent of total Group sales.
Sales by distribution channel
At actual exchange rates, the Group`s retail sales increased by 14 per cent
overall to Euro 2 009 million. Wholesale sales increased by 11 per cent at
actual exchange rates.
Comparative figures
Prior year comparative figures include the sale of two businesses disposed of
during that year : Hackett is included for the two-month period to 31 May 2005
and Old England for the twelve-month period to 31 March 2006. Total sales in the
comparative period from these two businesses amounted to Euro 18 million.
Richemont`s results for the financial year ended 31 March 2007 will be released
on Thursday, 24 May 2007. As the Group is now in a closed period until the
release of the full year results in May, Richemont is not in a position to
comment further in connection with the information contained in this
announcement.
24 April 2007
Compagnie Financiere Richemont SA
50, Chemin de la Chenaie CH-1293 Bellevue - Geneva Switzerland
Telephone +41 (0)22 721 3500 Telefax +41 (0)22 721 3550 www.richemont.com
Appendix
Foreign exchange rates
Average rates against the euro 2007 2006
United States dollar 1.28 1.22
Japanese yen 150.00 137.70
Swiss franc 1.59 1.55
Pound sterling 0.68 0.68
Actual exchange rates for the year are calculated using the average daily
closing rates against the euro.
In terms of sales at constant exchange rates, average exchange rates for the
year ended 31 March 2006 are used to convert local currency sales into euros for
both the current year and comparative figures. Exchange rate translation effects
are thereby eliminated from the reported sales performance.
Richemont press release dated 24 April 2007
Notes for editors
Richemont owns a portfolio of leading international brands or `Maisons`, which
are managed independently of one another, recognising their individuality and
uniqueness. The businesses operate in five areas: Jewellery Maisons, being
Cartier and Van Cleef & Arpels; Specialist watchmakers, which is made up of
Jaeger-LeCoultre, Piaget, IWC, Baume & Mercier, Vacheron Constantin, Officine
Panerai and A. Lange & Sohne; Writing instrument Maisons - Montblanc and
Montegrappa; Leather and accessories Maisons, being Alfred Dunhill and Lancel;
and Other businesses, which includes, specifically, Chloe as well as other
smaller Maisons and watch component manufacturing activities for third parties.
In addition to its luxury goods business, Richemont holds a 19.0 per cent
interest in British American Tobacco. Richemont equity accounts its interest in
British American Tobacco; accordingly, the Group does not include sales reported
by British American Tobacco in its sales figures.
Sponsor: Rand Merchant Bank, Division of FirstRand Bank Ltd
Date: 24/04/2007 07:30:04 Produced by the JSE SENS Department.
