The Wine & Spirits division of luxury group LVMH has reported revenue growth of 19% in its 2022 financial year (up 11% on an organic basis), which the group said was a new 'record' for the business.
Profit in the Moët Hennessy division from recurring operations was up 16% to €2.155 billion.
Champagne Performance
The group said that champagne volumes rose by 6%, driven by 'sustained demand', which in turn is leading to 'growing pressure' on supplies.
In particular, momentum was 'particularly' strong in Europe, Japan and emerging markets, in both 'high energy' channels and gastronomy.
Its Hennessy cognac brand also put in a strong performance, but this was largely driven by price increases, the group said, with China still affected by COVID-19 pandemic restrictions and the US impacted by logistics disruptions.
Wine Acquisition
In still wine, its Château d’Esclans rosé brand achieved an 'excellent performance', the group noted. Elsewhere, the Moët Hennessy portfolio was strengthened with he acquisition of the Joseph Phelps vineyard in Napa Valley, California.
Revenue in the Wine & Spirits division totalled €7.099 billion in 2022, up from €5.974 billion the previous year.
Overall, the French luxury goods group recorded revenue of €79.2 billion in 2022 and profit from recurring operations of €21.1 billion, both up 23%.
“Our performance in 2022 illustrates the exceptional appeal of our Maisons and their ability to create desire during a year affected by economic and geopolitical challenges," commented Bernard Arnault, chairman and CEO of LVMH. "The group once again recorded significant growth in revenue and earnings."
© 2023 European Supermarket Magazine – your source for the latest drinks news. Article by Stephen Wynne-Jones. Click subscribe to sign up to ESM: European Supermarket Magazine.
