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The world’s largest luxury group reports a 5% revenue decline, as Louis Vuitton and Dior sustain strong margins.
Financials
23 April, 2026
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LVMH Moët Hennessy - Louis Vuitton announced its full-year 2025 financial results for the fiscal year 2025 that ended 31 December. It displayed a year driven by market normalisation followed by years of exceptional growth. The group showcased a 5% decline in revenue, with performance affected by uneven global demand and currency fluctuations. However, LVMH continued to have solid profitability levels and earned strong cash flow.
Revenue remained more than €80 billion, while the operating profit touched €18 billion. Fashion and Leather Goods, led by Dior and Louis Vuitton, remained the primary value driver of the Group. Beauty and retail businesses, including Sephora and LVMH’s perfumes and cosmetics brands, demonstrated relative resilience. The Group highlighted a trend that intensified in the second half of the year.
LVMH’s 2025 results show a shift from post-pandemic growth to a normalised luxury market. Revenue faced a slump by 5% overall, with most of the drop driven by headwinds of the currency. Excluding these factors, the performance was widely stable, indicating that underlying demand remained resilient even though there are macroeconomic pressures.
Across categories, performance varied. Wines & Spirits was the most affected, impacted by weaker cognac demand in key markets such as the United States and Asia. Fashion & Leather Goods remained resilient, supported by strong local demand despite softer tourist spending. Watches & Jewellery and retail businesses, including Sephora, delivered more stable performance, backed by strong brand equity and solid retail execution.
| Metric | 2025 | 2024 | 2023 | 2022 | 2021 |
|---|---|---|---|---|---|
| Revenue (€ million) | 80.807 (-5%) | 84.683 (-2%) | 86.153 (+9%) | 79.184 (+23%) | 64.215 |
| Gross Profit (€ million) | 53.528 (-6%) | 56.765 (-4%) | 59.277 (+9%) | 54.196 (+24%) | 43.860 |
| Operating Income (€ million) | 17.755 (-6%) | 18.907 (-16%) | 22.560 (+7%) | 21.001 (+22%) | 17.155 |
| Operating Margin (%) | 22,0% (-1.1pp) | 23,1% (-3.4pp) | 26,5% (~0pp) | 26,5% (-0.2pp) | 26,7% |
| Net Profit, Group Share (€ million) | 10.878 (-13%) | 12.550 (-17%) | 15.174 (+8%) | 14.084 (+8%) | 13.036 |
LVMH’s 2025 performance showed a clear moderation with the strong post-pandemic growth cycle seen between 2021 and 2023. Revenue, which hiked more than €86 billion in 2023, declined to €80.807 million in 2025, signalling a return to more normalised demand rather than a structural slowdown.
This trend is reflected across profitability metrics. Gross profit reached €53.528 million, while operating income declined to €17.755 million. Operating margin eased to 22%, down from 23,1% in 2024 and 26,5% in 2023, showing a continued year-on-year contraction as revenue softened and costs remained elevated.
Net profit stood at €10.878 million, maintaining a gradual decline from peak levels
Overall, the multi-year trend spotlights a shift to a strong post-pandemic growth to a more moderate performance environment, with both revenue and profitability decreasing in 2024 and 2025.
| Business Group (€ million) | 2025 | 2024 |
|---|---|---|
| Wines and Spirits | 5.358 (-9%) | 5.862 (-11%) |
| Fashion and Leather Goods | 37.770 (-8%) | 41.060 (-3%) |
| Perfumes and Cosmetics | 8.174 (-3%) | 8.418 (+2%) |
| Watches and Jewelry | 10.486 (-1%) | 10.577 (-3%) |
| Selective Retailing | 18.348 (0%) | 18.262 (+2%) |
| Other activities and eliminations | 671 (+33%) | 503 (+55%) |
| Total | 80.807 (-5%) | 84.683 (-2%) |
The 2025 performance of LVMH highlights a clear divergence in the business categories with varying exposure to cyclical demand, geographic shifts and consumer behaviour.
Wines and spirits, including Moët & Chandon, Hennessy, Veuve Clicquot and Dom Pérignon, were affected the most, recording €5.358 million, generally driven by weaker demand for cognac in key markets such as the United States and Asia.
Fashion and Leather Goods, including Louis Vuitton, Dior, Fendi, Celine and Loewe, remain the core revenue driver of the group, earning €37.770 million, despite a 8% decline on a year-on-year comparison. Even though there are softer sales, the division maintained delivering exceptional profitability, supported by strong local demand and sustained brand desirability.
Perfumes and Cosmetics, including Dior Beauty, Guerlain, Givenchy and Fenty Beauty, reported a slump to €8.174 million, showing softer demand in Asia, Japan and the United States, despite continued stable performance on an organic basis driven by strong innovation and selective distribution strategies.
Watches and Jewelry, led by Tiffany & Co., Bulgari, TAG Heuer and Hublot, recorded a revenue of €10.486 million, driven by continued strength in iconic collections and retail transformation initiatives, though there is a marginal year-on-year decrease.
Selective Retailing, primarily driven by Sephora and DFS, displayed resilience with revenue that is broadly stable at €18.348 million. Growth was supported by continued global momentum of Sephora and enhanced operational performance.
Overall, the segment mix underscores the diversification strength of LVMH. While cyclical categories faced pressure, core luxury and retail-driven businesses provided relative stability.
| Region | 2025 | 2024 |
|---|---|---|
| France | 8% (0pp) | 8% (0pp) |
| Europe (excl. France) | 18% (+1pp) | 17% (0pp) |
| United States | 26% (+1pp) | 25% (0pp) |
| Japan | 8% (-1pp) | 9% (+2pp) |
| Asia (excl. Japan) | 26% (-2pp) | 28% (-3pp) |
| Other markets | 14% (+1pp) | 13% (+1pp) |
| Total | 100% | 100% |
The geographic mix in 2025 reflected a rebalanced global luxury demand with growth shifting toward Western markets as Asia normalised. The United States and Asia (excluding Japan) continued as the largest markets of the group, each accounting for 26% of revenue. However, Asia declined from 28% in 2024 to 26% in 2025, signalling a slowdown in the region, while the US gained more share.
Europe (excluding France) grew to 18%, driven by resilient local demand. France remained stable at 8%. Japan saw a slight decline after a strong 2024, driven by tourism. “Other markets” continued to expand gradually.
In the year, Maisons of LVMH sustained the global demand by being continuously creative on product innovation and revamping iconic items. Louis Vuitton and Dior had creative momentum through collaborations, runway collections and category expansion, including Louis Vuitton’s entry into beauty. In Watches & Jewelry, Tiffany & Co. and Bulgari launched extensions of high jewellery and core collections.
FY2025 had a significant phase of creative transition across the portfolio. Dior named Jonathan Anderson as Creative Director in Haute Couture, Men’s and Women’s collections. Across other Houses, such as Celine (Michael Rider) and Loewe (Jack McCollough and Lazaro Hernandez), new creative leadership was introduced during 2025, reflecting LVMH’s ongoing focus on long-term brand evolution and portfolio refresh.
LVMH amplified brand visibility with high-impact campaigns and cultural activations. Fashion & Leather Goods Houses used global fashion weeks, celebrity ambassadors and cinematic storytelling. Louis Vuitton leveraged its global placement through runway shows by Nicolas Ghesquière and Pharrell Williams, along with high-end collaborations like its role as an Official Partner of Formula 1, which included the creation of iconic trophy trunks. Dior showcased its presence with major fashion shows and global campaigns focused on its Cruise and Haute Couture collections.
In Wines & Spirits, Hennessy celebrated its 260th anniversary with the “The Decision” campaign featuring LeBron James, and Moët & Chandon focused on global partnerships, including Formula 1® and collaborations with Pharrell Williams.
LVMH chose to accelerate its experiential retail strategy in FY2025 with major flagship openings and renovations across key global cities, including Shanghai, New York, Milan, Tokyo and Seoul. Louis Vuitton opened an experiential space in Shanghai in June 2025 that had retail, dining and exhibition.
Additional flagship developments in New York, Milan and Tokyo reinforced the Group’s focus on immersive retail environments. Selective Retailing, led by Sephora, continued its global expansion throughout 2025.
In response to softer demand, particularly in Wines & Spirits, LVMH implemented efficiency programmes focused on organisational optimisation and cost control within the department, as it reported a weaker cognac demand in key markets like China and the United States.
At the same time, the Group continues to invest in its core capabilities. In Fashion & Leather Goods, houses focused on product innovation, craftsmanship and new experiential retail formats, such as Louis Vuitton’s multi-functional flagship in Shanghai that combines retail, dining and exhibition. Across the portfolio, investment in store networks and supply chains supported long-term scalability, with total stores reduced to 6.283 in 2025.
FY2025 performance of LVMH shows a transition from the strong growth recorded between 2021 and 2023 to a more moderate performance environment in 2024 and 2025. Both revenue and profitability declined year-on-year in 2025, following a peak in 2023.
Core divisions such as Fashion & Leather Goods and Selective Retailing continued to anchor performance, while more cyclical segments, particularly Wines & Spirits, faced macroeconomic pressure. The demand rebalancing toward the United States and Europe led to a move away from Asia-led growth toward more geographically diversified results.
Looking ahead to 2026, LVMH is expected to prioritise product innovation, brand desirability and selective distribution, while continuing disciplined cost management. Continued investment in experiential retail, creative renewal and category expansion, especially in beauty and high-value segments, will remain the core strategy.
Cover Image: Louis Vuitton Official Page
Read the full LVMH report Here.
For a deeper dive into the financial performance of other top luxury brands, explore the
LVMH Moët Hennessy - Louis Vuitton H1 and Q3 2024 Financial Report here,
Dior H1 2025 Financial Report here,
Loewe 2023 Financial Report here, and
Kering Q1 2024 Financial Report here.
Find more financial analysis here.