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3w ago

LVMH Extends CEO Age Limit as Tariff Negotiations Loom

The luxury giant faces slowing sales, U.S. trade uncertainties, and succession planning decisions after an 8% market-cap drop.

Lors de l’assemblée générale de LVMH, il sera proposé de prolonger jusqu’à 85 ans l’âge du PDG, permettant à Bernard Arnault, 76 ans, de rester plus longtemps à la tête du numéro un mondial du luxe.
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Bernard Arnault lors de l'assemblée générale annuelle des actionnaires de LVMH au Carrousel du Louvre, à Paris, le 17 avril.
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Overview

  • LVMH's general assembly approved extending the CEO age limit to 85, allowing Bernard Arnault, 76, to remain in leadership longer.
  • The company confirmed confidential succession plans are in place but did not disclose specifics, as all five Arnault children hold key roles within the group.
  • First-quarter 2025 sales declined by 2% to €20.3 billion, leading to an 8% drop in share price and LVMH losing its top CAC 40 position to Hermès.
  • U.S. tariffs on luxury goods, temporarily reduced to 10% for 90 days, remain a significant uncertainty, with Bernard Arnault advocating for EU–U.S. trade negotiations.
  • Arnault reassured shareholders that LVMH is not in a structural crisis, emphasizing the group's commitment to product quality over aggressive growth.