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LVMH (Aa3, AA-; S) {MC FP Equity}

CONSUMER CYCLICALS
  • Q1 revenue at €20.7b at +3% organic revenue growth - slight miss on consensus €21.2b/+3.3%. Headline revenue dragged on by -4% currency headwind.
  • US & Europe both saw +2% yoy organic growth, Japan +32% while Asia (ex. Japan) fell -6%. Asia fall looks heavy vs. consensus - only comments in press release is Asia "reflected the strong growth in spending by Chinese customers in Europe & Japan".
  • Wines & Spirits contracted -12% (it is saying soft demand & high yoy comparable) & Watches & Jewellery -2% - all other segments including perfumes & cosmetics (+7%) & Fashion & leather (+2%) were up.

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