| Mon 18 Jan 2010, 8:00 | | CFR - Compagnie Financiere Richemont SA Depositary Receipts - Trading |
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CFR
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CFR - Compagnie Financiere Richemont SA Depositary Receipts - Trading
Statement For The Three Months Ended 31 December 2009
Compagnie Financiere Richemont SA Depositary Receipts
issued by Richemont Securities AG
(Incorporated in Switzerland)
ISIN: CH0045159024
Depositary Receipt Code: CFR
PRESS RELEASE FOR IMMEDIATE RELEASE
TRADING STATEMENT FOR THE THREE MONTHS ENDED 31 DECEMBER 2009
Richemont presents its trading statement for the three months ended 31
December 2009.
Sales by business area
Oct-Dec Oct-Dec 2008 Movement at
2009
re-presented Constant Actual
EUR m EUR m rates(1) rates(1)
Jewellery Maisons 837 800 + 10 % + 5 %
Specialist watchmakers 417 404 + 9 % + 3 %
Writing instrument Maison 183 184 + 4 % - 1 %
Other 148 160 - 4 % - 8 %
Total sales 1 585 1 548 + 7 % + 2 %
(1) See appendix 1b for details of exchange rates used
Overview
Sales during the three months to December were 2 per cent higher than in the
same quarter of 2008. At constant exchange rates, sales increased by 7 per
cent, with the jewellery and watch Maisons benefitting from improving demand.
The improvement in trading is welcome in the context of a generally difficult
economic environment, although the figures should be viewed against the weak
comparative figures of the same period in 2008. The trend over the quarter
showed continued improvement, with growth in December of 12 per cent at
constant exchange rates.
During the three-month period most Maisons reported higher sales, reflecting
single-digit growth in retail sales, partly offset by a modest decrease in
wholesale sales. The rate of decrease in wholesale sales was significantly
lower than the decline reported over the first six months of the year.
In geographic terms, the Asia-Pacific region was the strongest performer
during the quarter, having grown by 25 per cent at actual rates. The Americas
region reported a decrease of 2 per cent for the period at actual rates
reflecting the weaker dollar. Constant rate sales in the Americas during the
quarter increased by 8 per cent.
Reflecting the depressed trading climate during the first six months of the
financial year, aggregate sales for the nine months ended 31 December 2009
decreased by 9 per cent at actual exchange rates. Further details of
cumulative sales for the nine-month period are given in Appendix 1a.
Jewellery Maisons
The Group`s Jewellery Maisons reported a 5 per cent increase in sales during
the three-month period. Cartier reported good growth in both retail and
wholesale sales. Van Cleef & Arpels also reported good retail sales during
the period.
Specialist watchmakers
Sales by the Group`s specialist watchmakers increased by 3 per cent at actual
exchange rates as watch retailers in the worst-hit regions began once again
to increase inventories. This followed a decrease of 17 per cent in the first
half of the financial year.
Writing instrument Maison
Montblanc reported a 1 per cent sales decrease. Consistent growth in the
level of retail sales was largely offset by a lower level of wholesale sales
during the period as a whole.
Other
Sales of the Group`s other businesses, including fashion and accessories
businesses and watch component manufacturing activities, decreased overall.
The fashion and accessories businesses reported generally flat sales over the
period, the decrease in respect of the business area as a whole largely
reflecting the depressed level of watch component supplies to external
customers.
Sales by geographic region
Oct-Dec 2009 Oct-Dec 2008 Movement at
re-presented Constant Actual
EUR m EUR m rates rates
Europe 656 686 - 2 % - 4 %
Asia-Pacific 492 395 + 34 % + 25 %
Americas 246 250 + 8 % - 2 %
Japan 191 217 - 11 % - 12 %
Total sales 1 585 1 548 + 7 % + 2 %
Europe
Sales in European markets decreased by 4 per cent, reflecting the
continuation of challenging market conditions throughout the region. The
European region accounted for 41 per cent of total Group sales.
Asia-Pacific
The Asia-Pacific region reported strong growth at both constant and actual
exchange rates, with sales in mainland China and in Hong Kong contributing
significantly to the increase. Sales in the Asia-Pacific region represented
31 per cent of Group sales during the quarter.
Americas
The Americas region reported higher sales in constant currency terms, the
performance during the period reflecting an improvement in consumer
confidence as well as some re-stocking by wholesale partners. All Maisons
benefitted from the better trading environment. The increase was more than
offset by currency movements, leading to a 2 per cent decrease at actual
exchange rates. Sales in the region represented 16 per cent of Group sales
during the quarter.
Japan
The challenging market conditions for luxury goods in Japan continued, with
reported sales 12 per cent lower in the period. In yen terms, the value of
sales decreased by 11 per cent.
Sales by distribution channel
At actual exchange rates, the Group`s retail sales increased by 8 per cent
during the three-month period. Wholesale sales decreased by 2 per cent.
Where appropriate, comparative figures have been re-presented to conform with
changes in presentation in the current period.
Financial position
The Group`s net cash position at 31 December 2009 amounted to EUR 1 398
million, an increase of EUR 496 million compared to the position at 30
September 2009. This increase primarily reflected seasonal net cash inflows
together with the close attention being paid to capital expenditure, working
capital and continuing cost control.
Corporate calendar
The Group`s results for the current financial year will be announced on
Thursday 27 May 2010.
The Compagnie Financiere Richemont SA annual general meeting will be held in
Geneva on Wednesday 8 September 2010.
Press inquiries:
Mr Alan Grieve, Director of Corporate Affairs
pressoffice@cfrinfo.net - tel: + 41 22 721 3507
Analysts` inquiries:
Ms Sophie Cagnard, Head of Investor Relations
investor.relations@cfrinfo.net - tel: + 33 1 5818 2597
Appendix 1a: Sales for the nine months ended 31 December
Sales by business area for the nine months ended 31 December
April-Dec April-Dec 2008 Movement at
2009
re-presented Constant Actual
EUR m EUR m rates(1) rates(1)
Jewellery Maisons 2 059 2 220 - 9 % - 7 %
Specialist watchmakers 1 072 1 198 - 12 % - 11 %
Writing instrument Maison 420 466 - 10 % - 10 %
Other 413 460 - 13 % - 10 %
Total sales 3 964 4 344 - 11 % - 9 %
Sales by geographic region for the nine months ended 31 December
April-Dec 2009 April-Dec 2008 Movement at
re-presented Constant Actual
EUR m EUR m rates(1) rates(1)
Europe 1 651 1 941 - 14 % - 15 %
Asia-Pacific 1 263 1 124 + 10 % + 12 %
Americas 570 747 - 25 % - 24 %
Japan 480 532 - 20 % - 10 %
Total sales 3 964 4 344 - 11 % - 9 %
(1) See appendix 1b for details of exchange rates used
Appendix 1b: Exchange rates
Foreign exchange rates
Average rates against the euro April-Dec 2009 April-Dec 2008
United States dollar 1.42 1.46
Japanese yen 133.03 150.03
Swiss franc 1.51 1.58
Actual exchange rates for the period 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 2009 are used to convert local currency sales into euros
for the current three-month period, the current nine-month period and
comparative figures. Exchange rate translation effects are thereby eliminated
from the reported sales performance.
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 four 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, A. Lange & Sohne and Roger Dubuis, as well as
the Ralph Lauren Watch and Jewelry joint venture; a Writing instrument
Maison, being Montblanc; and Other, which includes Alfred Dunhill, Lancel,
Chloe as well as other smaller Maisons and watch component manufacturing
activities for third parties.
Sponsor
RAND MERCHANT BANK (a division of FirstRand Bank Limited)
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
18 JANUARY 2010
Date: 18/01/2010 08:00:04 Produced by the JSE SENS Department.
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