LONDON – Strong jewelry sales in the run-up to the Christmas holiday fuelled a 1 percent gain in third-quarter revenues at Cartier parent Richemont to 3.12 billion euros, the company said in a trading update Thursday.
At constant exchange, sales were up by 7 percent, with 11 percent growth in both Asia-Pacific and the Middle East. The Americas region notched 8 percent growth and Japan, 5 percent.
Europe lagged behind, with sales down 1 percent, which Richemont said was due to the strength of the euro and “challenging” comparisons with last year when the lower pound boosted U.K. consumers’ appetite for luxury goods.
Jewelry performed strongly in the period, with sales up 11 percent, while watch sales, which began to recover last year, climbed 1 percent in the three months. Retail rose 13 percent, while wholesale was down 3 percent.
The company said double-digit growth in Asia Pacific was driven by mainland China, Korea, Hong Kong and Macau, with jewelry and watches the top drivers of growth.
Jewelry sales boosted Richemont’s performance in the Americas region, while sales in the Middle East and Africa benefitted from favorable currency exchanges, the buyback of external sales points, and the anticipated introduction of a VAT in the United