Richemont reports higher net profit for fiscal 2021 despite lower sales

   By Joshua Kirby 
 

Compagnie Financière Richemont’s net income increased in its 2021 fiscal year despite lower revenue, driven by core jewelry segment and sales in Asia, the company said on Friday with a dividend offer. for the year.

Net profit rose 38% to 1.29 billion euros ($ 1.58 billion) for the year at the end of March, from 931 million euros previously, the Swiss luxury conglomerate said. Revenue fell 8% to 13.14 billion euros, despite a strong sales increase in the fourth quarter.

Operating profit fell slightly to 1.48 billion euros, but the operating margin widened to 11.2%.

Analysts were forecasting net profit of 842 million euros on revenue of 12.96 billion euros, according to FactSet.

Richemont’s jewelry division contributed to performance, with slight positive sales growth over the year. By region, Asia-Pacific had the most positive performance, with sales up 19% year-on-year to € 5.94 billion, including a triple-digit increase in the last quarter, Richemont said. .

The company will propose a dividend of 2 Swiss francs ($ 2.23) per A share or per 10 B shares.

Write to Joshua Kirby at [email protected]; @joshualeokirby

(END) Dow Jones News Wire

May 21, 2021 at 2:05 am ET (6:05 am GMT)

Copyright (c) 2021 Dow Jones & Company, Inc.