Richemont falls as Jewellery Maisons slowdown offsets Q2 beat

Hermes International SCA

Yesterday 08:31

**  Shares in Richemont CFR.S fall around 8% after the Cartier-owner reported sharper-than-expected growth slowdown in its key Jewellery Maisons division, despite group sales beating consensus
** Q2 group sales rise 13% at constant FX, slightly ahead of consensus for 12%, but Jewellery Maisons growth comes in at 14% vs expectations for 16%, and slower from 24% growth in Q1 
** Jefferies says it raises concerns over normalising growth at the group's key profit engine
** RBC says market will likely focus on the slight Jewellery Maisons miss
** Regional trends were also mixed, with Middle East & Africa down 7% vs consensus for +4%, hit by regional conflict weighing on tourist spend, while RBC notes Mainland China remains "persistently soft"
** If losses hold, Richemont shares will see their worst day since July 2023
** Shares in peers such as Kering PRTP.PA, LVMH LVMH.PA, Hermes HRMS.PA, Burberry BRBY.L and Salvat Ferragamo SFER.MI also down between 0.7% and 1.9%



 (Reporting by Basile Day)
 ((Basile.Day@thomsonreuters.com))