The strong performance from the wine and spirits arm of luxury goods giant LVMH helped its parent company to post first-quarter revenues of just under €14bn, up 30% on last year and 8% higher than the first three months of 2019.
Moët Hennessy’s first-quarter revenues of €1.51bn were 36% higher than the same period in 2020, and 17% up on the first three months of 2019, the company said. That made the wine and spirits division the second-best performer for LVMH, behind Fashion & Leather Goods.
LVMH highlighted ‘good performances’ for its wine and spirits brands in Europe and the US, adding that sales volumes of Hennessy Cognac were 28% higher than in 2020. ‘China, which is the first market to have been affected by the pandemic, experienced a strong rebound,’ LVMH said. ‘Demand in the United States remained robust.’
COVID-19 severely impacted LVMH’s business in 2020: the company’s first-quarter revenues of €10.6bn were down 17% on the same period of 2019, with Moët Hennessy’s sales falling 14% to €1.18bn.
Champagne volumes suffered a ‘significant’ drop in the second quarter of 2020, but rebounded somewhat later in the year, especially in the US.
The year also saw the integration into the business of 2019 acquisitions Château d’Esclans and Château du Galoupet, makers of high-end Provence rosé wine, including d’Esclans’ popular Whispering Angel label.
In February this year, Moët Hennessy bought a 50% stake in luxury Champagne brand Armand de Brignac from rap star and entrepreneur Jay-Z for an undisclosed sum.
The company has taken over global distribution for the Champagne, also known as ‘Ace of Spades’ and famed for its metallic bottles, pewter labels and high price-tags.
Moët Hennessy owns a formidable roster of Champagne, wine and spirits brands, including Moët & Chandon, Ruinart, Krug, Château d’Yquem, Cloudy Bay, Clos des Lambrays, Glenmorangie and Ardbeg.