LVMH (MC) Q2 2024 earnings summary

Executive summary

• H1 2024 revenue was €41.7B, up 2% organically but down 1% reported due to a -3% currency impact.

• Profit from recurring operations was €10.7B, down 8% year-over-year, with a significant negative currency impact.

• Net profit, Group share, was €7.3B, a 14% decrease year-over-year; EPS at €14.55.

• Operating margin stood at 25.6%, above pre-COVID levels but down from 27.4% in H1 2023.

• Operating free cash flow exceeded €3B, up 74% year-over-year.

Financial highlights

• Organic revenue growth of 2% offset by a 3pt negative currency effect; reported revenue down 1% to €41.7B.

• Profit from recurring operations: €10.7B (down 8% year-over-year).

• Net profit, Group share: €7.3B (down 14% year-over-year).

• Gross margin: €28.7B (68.8% of revenue, down 0.6pts year-over-year).

• Interim dividend set at €5.50 per share, payable December 2024.

Outlook and guidance

• Management expects easier comps in H2 2024, with a focus on brand desirability, market share gains, and cost control.

• No specific forecasts provided; cautious stance due to macro and geopolitical uncertainties.

• Continued investment in omnichannel, store network, and sustainability initiatives.