Overview

• Second-quarter sales fell 4% year-on-year to €19.5 billion, driven by a 9% drop in the fashion and leather goods division.
• First-half net profit declined 22% to €5.7 billion as high-end consumer spending slows globally.
• The fashion and leather goods arm underperformed forecasts with a sharper-than-expected 9% slump in organic sales.
• Other segments showed resilience with perfumes and cosmetics up 1%, selective retailing rising 4% and watches and jewellery flat in Q2.
• Shares rebounded 3.9% on July 25 and CFO Cécile Cabanis cited pricing power as key in anticipation of U.S.-EU trade agreement outcomes.