Pendulum swings for Richemont
● Richemont has swung from a massive profit warning to firing on all cylinders.
The luxury goods company reported that sales excluding currency movements rose 12% in the five months to August 31 — the fastest sales growth for the period since 2012, helped by consumers snapping up its Cartier watches and love bracelets.
It’s a far cry from last September, when Cie Financière Richemont reported a slump in sales and warned that its first-half profit would fall by 45%.
Richemont has been proactive in buying back and recycling excess stock to ease overcapacity. Its shares are up almost 50% over the past year. —