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Richemont SA Shines with Record Sales and Strategic Acquisitions in FY 2024 | Rateweb
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Richemont SA Shines with Record Sales and Strategic Acquisitions in FY 2024

Compagnie Financière Richemont SA recently announced its financial results for the fiscal year ended March 31, 2024. The company’s performance highlights its resilience in a challenging economic environment.

Record Sales and Profit

Richemont achieved record-breaking sales of €20.6 billion, showcasing its robust market presence. Despite facing adverse foreign currency movements, the company’s operating profit remained strong at €4.8 billion.

Dividend Increase and Acquisitions

Shareholders will be pleased with Richemont’s increased proposed dividend of CHF 2.75 per share, reflecting the company’s commitment to delivering value. Additionally, Richemont’s acquisition of a controlling stake in Gianvito Rossi expands its portfolio and market reach.

Key Financial Metrics

Let’s delve into some key financial metrics that define Richemont’s performance:

MetricFY 2024FY 2023Change
Sales (€ million)20,61619,953+3%
Operating Profit (€ million)4,7945,031-5%
Profit for the Year (€ million)2,355301+683%
Dividend per Share (CHF)2.752.50+10%
Earnings per Share (Diluted) (€)4.0770.543+650%

Regional Performance and Market Trends

Richemont’s sales growth was notable across all regions, with Asia Pacific and Japan leading the pack. The US emerged as the company’s largest market, signaling evolving consumer preferences.

Segment-wise Analysis

  1. Jewellery Maisons
    • Operating Margin: 33.1%
    • Sales Growth: 6% (actual exchange rates), 12% (constant exchange rates)
  2. Specialist Watchmakers
    • Operating Margin: 15.2%
    • Sales Growth: -3% (actual exchange rates), +2% (constant exchange rates)
  3. Other Business Areas
    • Operating Loss: €43 million
    • Sales: Slightly lower than the prior year

ESG Commitments and Certifications

Richemont’s milestones in environmental, social, and governance (ESG) initiatives include achieving global gender EQUAL-SALARY certification, reinforcing its dedication to sustainable practices.

Conclusion

Richemont’s FY 2024 results demonstrate resilience, strategic acquisitions, and a commitment to shareholder value. Despite economic challenges, the company’s strong financial performance and ESG achievements position it as a leader in the luxury goods sector.