Gross margin remained strong at 9,708 million euros, or 72.3 percent in FY23, compared to 8,213 million euros, or 70.8 percent in FY22, the company said in a press release.
Hermes reported a 21 percent year-on-year increase in sales to €13.4 billion in FY23, with operating income up to €5.65 billion. The company's gross margin increased to 72.3 percent. All regions saw growth of around 20 percent, with strong fourth-quarter results in the Americas and Asia. Sales of leather goods led with 5,547 million euros, an increase of 17 percent.
Geographically, all regions contributed to the positive results, showing strong performance with growth of around 20 percent. The Americas and Asia, in particular, stood out for their sustained activity, contributing to a strong fourth quarter in which sales amounted to €3.4 billion, up 17.5 percent at constant exchange rates and 12.5 percent at current exchange rates.
Revenue was strong across all Hermes sectors. The leather goods and saddlery sector led with €5,547 million in sales, up 17 percent at constant rates, while ready-to-wear and accessories followed closely with an increase of 28 percent. percent up to 3,879 million euros. Silk and textiles also experienced growth, with sales reaching €932 million, an increase of 16 percent.
Hermes was in line with the below 1.5°C climate trajectory (validated by SBTi) as it reported a 30 percent reduction in scope 1 and 2 emissions in absolute value in FY23 vs. prosecutor 22.
Fiber2Fashion News Desk (DP)
