On February 14, 2025, Hermes reported a significant increase in fourth-quarter sales, demonstrating strong demand for luxury goods. The fashion house’s revenues rose 17.6% to 3.96 billion euros ($4.15 billion) for the three months ending December 31, surpassing analyst expectations.
- Hermes Birkin bag displayed in Berlin.
- Fourth-quarter sales exceeded analyst expectations.
- Revenue rose 17.6% to 3.96 billion euros.
- Full-year sales increased 14.7% to 15.2 billion euros.
- Strong customer loyalty drives sales growth.
- Hermes forecasts continued revenue growth in 2025.
Hermes, known for its exclusive products like the Birkin bag, has shown resilience in the luxury market, which has faced challenges in recent years. The company’s full-year sales increased by 14.7% to 15.2 billion euros, exceeding the expected 14.94 billion euros. This growth highlights Hermes’ ability to maintain its allure and exclusivity, even as other brands struggle with rising costs and innovation issues.
Key statistics from the report include:
- Fourth-quarter revenues: 3.96 billion euros ($4.15 billion).
- Full-year revenues: 15.2 billion euros.
- Fourth-quarter growth: 17.6% at constant exchange rates.
- Annual growth: 14.7% at constant exchange rates.
Executive Chairman Axel Dumas attributed the strong performance to customer loyalty and the adaptability of the Hermes team in a volatile economic landscape. He expressed confidence in continued revenue growth for 2025, although he noted it was too early to determine a turning point for the broader luxury industry.
In summary, Hermes has demonstrated robust sales growth, both in the fourth quarter and for the full year, indicating a strong demand for its luxury products. The company’s ability to navigate a challenging market and maintain exclusivity continues to set it apart from competitors.
