Companies

Conflict in the Middle East weighs on LVMH’s first-quarter sales

Apr 15, 2026 France

The France-based luxury group has reported a mixed first quarter, with resilient demand across key markets being partially offset by geopolitical tensions in the Middle East

In the first quarter of the 2026 financial year, LVMH reported revenue of 19.1 billion euros, reflecting a 6% decrease on a reported basis and a 1% increase on an organic basis, as compared to the same period of the previous year.

The group highlighted a positive start to the year in the US, resilient local demand in Europe and Japan, and growth in Asia, confirming the improving trends of the second half of 2025. However, the Middle East was “impacted by the conflict in March, following a very positive start to the year”, which negatively impacted organic growth by around 1%.

The Fashion & Leather Goods business segment accounted for nearly half of the quarter’s total revenue (9.2 billion euros), but was also impacted by the conflict. It recorded its first year-on-year decline in the first quarter, with a reported decline of 9% and an organic decline of 2%.

This performance also fell short of the expectations of several analysts, who had predicted sales of around 9.5 billion euros (shoeintelligence.com).

By contrast, all the other business groups reported organic growth (Wines & Spirits, Watches & Jewellery and Selective Retailing) or remained flat (Perfumes & Cosmetics) during this period.

“Amid a geopolitical and economic environment particularly disrupted by the conflict in the Middle East, LVMH remains vigilant yet confident at the start of the year”, the group concluded.

Image Credits: us.louisvuitton.com

France Companies Luxury LVMH Quarter Results Results