Richemont posts sales growth, promotes Jérôme Lambert to Group CEO

Compagnie Financière Richemont SA has announced that Jérôme Lambert, currently the company’s chief operating officer, has been promoted to Group Chief Executive Officer with immediate effect. Ahead of it annual general meeting, the group also said that its sales for the five months ended August 31, 2018 increased by 25 percent at constant exchange rates and by 22 percent at actual exchange rates. Excluding YNAP and Watchfinder, which have been consolidated in the Group’s accounts since May 1, 2018 and June 1, 2018 respectively, sales for the period increased by 10 percent at constant exchange rates and by 7 percent at actual exchange rates.

Commenting on Lambert’s appointment to Group CEO, Johann Rupert, Chairman of Richemont, said in a statement: “Jérôme’s new role sees him taking responsibility for the Group’s future growth at a time when consumer habits are changing significantly. As first amongst equals, he will work in partnership with his fellow senior executives on the board: Cyrille Vigneron, Chief Executive of Cartier, Nicolas Bos, Chief Executive of Van Cleef & Arpels and Burkhart Grund, Chief Finance Officer, to ensure a coherent approach to achieving our common goals while respecting the individuality of our maisons.”

Jérôme Lambert takes on CEO’s role at Richemont

Lambert, the company added, has had an extensive career with Richemont, having led Jaeger-LeCoultre and Montblanc and overseen the Group’s specialist watchmakers, Montblanc and the Group’s fashion and accessories businesses prior to taking on the role of group chief operating officer last year.

Richemont’s specialist watchmakers, online distributors and other businesses, as well as central and regional functions, will report to Lambert. The company said, he will continue to be supported by Sophie Guieysse, Group Human Resources Director, Federico Marchetti, CEO of Yoox Net-A-Porter Group, Emmanuel Perrin in overseeing the group’s specialist watchmaker maisons and by Eric Vallat, Head of fashion and accessories maisons.

Richemont posts double-digit sales growth

The company added that double-digit sales growth during the first five months was primarily driven by strong performance by the jewellery maisons, where sales grew 14 percent, and the first-time consolidation of online distributors. For this new business area, which regroups YNAP and Watchfinder, sales grew at a double-digit rate.

All regions, with the exception of the Middle East, Richemont said, posted growth, led by solid momentum in Asia Pacific and the Americas. Hong Kong, Korea and Macau all generated double digit increases while China showed good growth. Europe had mixed performances throughout the region and was impacted by the strength of the euro and a challenging year-on-year comparison in the United Kingdom. In Japan, growth reflected both higher domestic and tourist spending.

Retail sales increased by 14 percent, with growth in all regions, most notably in Asia Pacific and the Americas driven by strong performances by the jewellery maisons and the specialist watchmakers. Wholesale sales increased 2 percent, reflecting the company’s continued focus to align inventories with end-client demand.

Picture credit:Olaf_Tamm_Hamburg_Germany for Richemont