Laurent-Perrier (LPE) H1 24/25 earnings summary

Executive summary

• Revenue for H1 2024-2025 declined 16.7% year-over-year to €132.0M, with a 17.8% drop in volumes, reflecting a challenging champagne market.

• Operating income fell 32.4% to €38.8M, and net income attributable to the group dropped 34.5% to €25.3M, representing 19.7% of revenue.

• Despite lower sales, operational margin remained high at 30.1%, above pre-COVID levels, supported by brand strength and value strategy.

• The group continues to invest in brand support and quality, maintaining its value strategy despite market headwinds.

Financial highlights

• Champagne sales for H1 2024-2025 were €128.8M, down 16.0% year-over-year; total group revenue: €132.0M.

• Operating margin was 30.1%, down 7.3 points from the prior year; net income per share: €4.28 (down €2.24 year-over-year).

• Cash flow from operations was negative at €-39.2M, impacted by stock rebuilding and working capital needs.

• Equity attributable to the group: €612.3M; net debt: €241.8M; gearing ratio: 0.40.

Outlook and guidance

• Management remains cautious due to geopolitical and economic uncertainties in key markets; H1 results cannot be extrapolated to the full year.

• Focus remains on value strategy, high-end champagnes, strong brands, and controlled distribution.