Hermès boosts half-year sales thanks to second-quarter upswing

French luxury goods group Hermès slightly increased its sales in the first half of the 2026 financial year, exceeding market expectations despite negative currency effects. Its profit remained almost unchanged year-over-year, according to the latest figures released by the company on Wednesday.

Group sales for the months of January to June amounted to 8.16 billion euros (9.30 billion dollars). This represented a growth of 1.6 percent compared to the same period last year. Adjusted for currency fluctuations, revenue increased by 6.1 percent. The slight increase was due to a rise in sales in the second quarter (+4.8 percent; +6.7 percent at constant exchange rates), after revenues had declined in the first three months of the year (-1.4 percent; +5.6 percent at constant exchange rates).

Leather goods revenue grows strongly

The leather goods category was the main growth driver, with sales increasing by 5.1 percent (+9.8 percent at constant exchange rates) to 3.76 billion euros in the first half of the year. The silk and textiles division also performed well, with an increase of 4.8 percent (+9.7 percent at constant exchange rates) to 469 million euros.

In contrast, revenue from ready-to-wear and accessories decreased by 2.5 percent to 2.20 billion euros (+2.0 percent at constant exchange rates). In the perfume and cosmetics category, sales fell by 6.1 percent (-4.5 percent at constant exchange rates) to 233 million euros. The watches division saw a decline of 4.2 percent (+0.2 percent at constant exchange rates) to 269 million euros. The other product categories, which include jewellery and home goods, collectively generated sales of 1.06 billion euros, surpassing the previous year's level by 0.8 percent (+5.4 percent at constant exchange rates).

Negative currency effects impact sales development in key markets

Performance varied across the different market regions in the first half of the year. In Europe, group sales rose by 4.9 percent (+6.0 percent at constant exchange rates) to 1.92 billion euros. In the Americas, sales grew by 8.9 percent (+15.3 percent at constant exchange rates) to 1.58 billion euros.

In Asia, the group's most important region, revenues of 4.33 billion euros missed the previous year's level by 1.3 percent; however, at constant exchange rates, they increased by 4.0 percent. In the Middle East, sales decreased by 8.9 percent (-4.2 percent at constant exchange rates) to 330 million euros. The company emphasised that the region had shown “remarkable resilience” in light of the challenging conditions.

Group enters second half of the year with confidence

The operating result, adjusted for special items, was 3.35 million euros in the first six months of the year, an increase of almost one percent compared to the same period last year. The net profit attributable to shareholders amounted to 2.24 billion euros, remaining almost constant (-0.4 percent).

Executive chairman Axel Dumas described the results as “solid”. Given the upward trend in the second quarter, the group is now looking to the second half of the year “with confidence”.