Fashion house Hermes’ sales continued to grow last quarter, though economic uncertainties and tariff pressures contributed to a slowdown from 2024.
Sales increased across all regions, with its total rising by 7.2% year-over-year to €4.13 billion. However, this marks a significant slowdown in growth from the previous quarter, where sales were up by 17.6%.
“In a complex geopolitical and economic context, the house is strengthening its fundamentals more than ever: uncompromising quality, creativity at the heart of all development, and vertical integration, a guarantee of preserving unique savoir-faire,” said Hermes executive chair Axel Dumas.
The Americas, Japan, France, the remainder of Europe, and ‘Other regions’ all saw double-digit growth. Japan posted the highest growth at 17%, while the rest of Asia reported an increase of 1%, the lowest of any region.
Growth rates in all regions were lower than in 2024’s fourth quarter, though total sales increased.
The company’s Leather Goods and Saddlery division saw the largest growth in sales, at 10%. Its Watches division was its only arm to see a decline, with sales falling by 10%.
Hermes opened a new retail store in Florence last quarter and has renovated stores in Taiwan and Indonesia.
In the fourth quarter of 2024, the company reported EU€4.0 billion in sales, up by 17.6% year-over-year. All regions saw sales grow, with Japan also leading.
Its net profit grew to EU€4.6 billion across 2024, up from €4.3 billion in 2023.
“In the medium-term, despite the economic, geopolitical and monetary uncertainties around the world, the group confirms an ambitious goal for revenue growth at constant exchange rates,” the company said. This is unchanged from its statement in its 2024 full-year results.
