Weak Euro Helps Counter Pressure From Tourism Drop for Richemont

14/01/2016 11:03

Sales in the luxury brand's fiscal third quarter ending December 31 declined by 4% at constant exchange rates but rose by 3% at actual rates as the weaker euro compensated for lower tourist numbers in Europe following November’s terrorist attacks in Paris, a favored destination for luxury shoppers. Jewelry continued to enjoy growth across most regions and product categories, partly compensating weak demand for watches, the firm added. Richemont owns the Cartier jewelry brand as well as watchmakers including Piaget and IWC. “The decline in the third quarter, which contrasted with the very strong sales growth seen in the first six months of the year, began in November and primarily reflects lower levels of tourism in the region,” Richemont said in a statement.