Stock prices of French luxury powerhouse Moet Hennessy Louis Vuitton (LVMH) dropped 8% on Tuesday after the luxury industry leader reported an unexpected decrease in sales for the first quarter.
In its earnings report released Monday after market closure, the company disclosed a 2% decrease in first-quarter sales compared to last year, falling short of analysts' projections for modest growth. The steepest revenue decline occurred in wines and spirits, dropping 8%, citing reduced demand for cognac in the US and China. Fashion and leather goods revenue decreased by 4%, while perfume and cosmetic sales remained unchanged.
The stocks of the fashion conglomerate went down by 8.16% to €487.00 at 9:37 am CET.
