Revenue from Richemont’s jewellery brands, which include Buccellati, Cartier, and Van Cleef & Arpels, increased by 2 per cent to €7.09 billion ($AUD11.52 billion) for the six months ending 30 September.
Operating profit for the jewellery brands decreased by 5 per cent on a year-on-year comparison. This was attributed to the rising cost of materials, including gold.
“Richemont demonstrated sustained resilience against a challenging macroeconomic and geopolitical backdrop,” said chairman Johann Rupert.
“Benefiting from the group’s balanced geographic mix and continued strength at our jewellery maisons [brands], sales from continuing operations were stable at constant exchange rates.”
Revenue generated by watch brands, such as Piaget and Vacheron Constantin, decreased by 17 per cent to €1.66 billion ($AUD2.7 billion).
Richemont appointed Nicolas Bos, formerly of Van Cleef & Arpels, as CEO in June. Addressing the disparity between jewellery and watch sales, he suggested jewellery remains an attractive option for price-sensitive consumers.
"In periods where sometimes the customer considers that purchasing power may be challenged, you will find in a jewellery offer that sometimes more affordable creations, which are beautiful, extremely desirable and still have long-term investment value, are more affordable than a high-end watch,” Bos explained.
Richemont’s total revenue decreased by 1 per cent to €10.08 billion ($AUD17.56 billion), while operating profit declined by 17 per cent.
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