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RCH
RCH
RCH - Richemont Securities AG - Unaudited sales figures for the financial year
ended 31 March 2008
Richemont Securities AG
(Incorporated in Switzerland)
(Registration CH-170.3.013.861-6)
JSE Code: RCH
ISIN: CH00013157380
UNAUDITED SALES FIGURES FOR THE FINANCIAL YEAR ENDED 31 MARCH 2008
Richemont announces its unaudited sales for the year ended 31 March 2008.
Sales by business area for the year
March March Movement at
2008 2007 Constant Actual
Euro m Euro m rates (1) rates (1)
Jewellery Maisons 2 657 2 435 +16% +9%
Specialist watchmakers 1 378 1 203 +20% +15%
Writing instrument 637 585 +14% +9%
Maisons
Leather and accessories 309 307 +6% +1%
Maisons
Other businesses 320 297 +13% +8%
Total sales 5 301 4 827 +16% +10%
Overview
For the year as a whole, all business areas performed well with the Group`s
specialist watchmakers reporting particularly strong growth. The Asia-Pacific
region showed the highest rate of growth and all regions reported underlying
growth. The strong growth in sales of luxury products seen during the first nine
months continued during the final quarter of the financial year.
At constant exchange rates, underlying sales for the year grew by 16 per cent.
The underlying growth was offset by the weakness of the dollar and the yen. At
actual exchange rates, sales grew by 10 per cent over the year.
Jewellery Maisons
The Group`s jewellery Maisons saw sales for the year increase by 9 per cent. At
constant exchange rates, Cartier reported growth in all regions. Van Cleef &
Arpels enjoyed very strong sales growth in all regions, albeit from a
significantly lower base.
Specialist watchmakers
The Group`s seven specialist watchmakers enjoyed very strong demand in all
regions, leading to sales growth of 15 per cent. Sales at IWC and Jaeger-
LeCoultre were particularly strong.
Writing instrument Maisons
Montblanc`s sales growth of 9 per cent was driven by strong growth through its
expanding boutique network with an increasing proportion of sales generated by
leather goods, watches and jewellery.
Leather and accessories Maisons
Alfred Dunhill reported continuing sales growth, primarily through its own
boutique network. During the year, Lancel introduced new product ranges at
higher price points but experienced a decline in sales overall.
Other businesses
Chloe`s sales were in line with the prior year. The increase in sales of other
businesses included the impact of acquisitions made during the current financial
year.
(1) See appendix for details of exchange rates used
Richemont holds a portfolio of several of the most prestigious names in the
luxury goods industry including Cartier, Van Cleef & Arpels, Piaget, Vacheron
Constantin, Jaeger-LeCoultre, IWC, Alfred Dunhill and Montblanc. In addition to
its luxury goods interests, Richemont holds a significant investment in British
American Tobacco - one of the world`s leading tobacco groups.
www.richemont.com
Sales by geographic region for the year
March March Movement at
2008 2007 Constant Actual
Euro m Euro m rates rates
Europe 2 293 2 042 +14% +12%
Asia-Pacific 1 296 1 070 +31% +21%
Americas 1 014 984 +13% +3%
Japan 698 731 +3% -5%
Total sales 5 301 4 827 +16% +10%
Europe
The 12 per cent increase reflects good growth in established markets and double-
digit sales growth in developing markets in the region, including the Middle
East. Sales in Europe represent 43 per cent of total Group sales.
Asia-Pacific
Sales growth was very strong, particularly in China and Hong Kong. Despite the
negative impact of exchange rate movements relative to the euro, sales increased
by 21 per cent. Overall sales in the region now represent 25 per cent of total
sales.
Americas
The Americas region reported good underlying growth for the year as a whole.
Sales during the final quarter of the year proved to be very resilient in local
currency terms. The significant decrease in the value of the dollar relative to
the euro during the year resulted in sales growth for the year as a whole being
limited to 3 per cent at actual exchange rates. Sales in the Americas represent
19 percent of total sales.
Japan
The Japanese market was challenging throughout the year, with local currency
sales in the fourth quarter being slightly below the prior year`s levels. The
limited growth in sales in that market was more than offset by the weakness of
the yen resulting in lower sales in euro terms. Sales in Japan represent 13 per
cent of total Group sales.
Sales by distribution channel
At actual exchange rates, the Group`s retail sales increased by 10 per cent
overall to Euro 2 214 million. Wholesale sales also increased by 10 per cent at
actual exchange rates.
Richemont`s results for the financial year ended 31 March 2008 will be released
on Thursday, 22 May 2008. As the Group is now in a closed period until the
release of the full year results in May, Richemont does not wish to and is not
in a position to comment further in connection with the information contained in
this announcement.
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 For the year For the year
ended 31 ended 31
Average rates against the euro March 2008 March 2007
United States dollar 1.42 1.28
Japanese yen 161.59 150.00
Swiss franc 1.64 1.59
Pound sterling 0.71 0.68
Actual exchange rates for the year are calculated using the average daily
closing rates against the euro.
In calculating sales at constant exchange rates, average exchange rates for the
year ended 31 March 2007 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 sales comparison at constant rates.
Richemont press release dated 23 April 2008
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, being 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 19.3 per cent
interest in British American Tobacco. Richemont equity accounts its interest in
British American Tobacco; accordingly, the Group does not include turnover
reported by British American Tobacco in its sales figures.
23 April 2008
Date: 23/04/2008 07:30:04 Produced by the JSE SENS Department.
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