Tue Apr 15 08:30:00 UTC 2025: ## LVMH Shares Plummet After Disappointing Q1 Results
**PARIS** – Shares of LVMH, the world’s largest luxury goods group, fell sharply on Tuesday following the release of its first-quarter results, which significantly missed analyst expectations. The stock dropped 5.2% in early trading, pulling down shares of competitors Kering and Hermes.
LVMH reported a 3% decline in first-quarter sales, a stark contrast to the 2% growth analysts had predicted. The shortfall is attributed to weakened demand in the US, particularly for beauty products and cognac, alongside persistent weakness in the Chinese market.
Analysts are now expressing concern that the luxury sector may face another challenging year, citing the impact of recent tariff announcements and the broader threat of a recession. RBC analyst Piral Dadhania lowered his organic sales growth forecast for LVMH to flat for the year, down from a previous prediction of 3% growth. The decline is particularly notable within LVMH’s key fashion and leather goods division (Louis Vuitton and Dior), which experienced a 5% sales drop. This reverses what had appeared to be improvement late in 2024. The disappointing results suggest a tougher trading environment for the entire luxury goods sector.
First Piper 