ZURICH (Reuters) -Cartier jewellery owner Richemont reported on Friday a 1% dip in sales during the three months to the end of September, the latest luxury company to report tougher conditions as China weakened.
The company, which also owns a string of Swiss watchmakers including IWC, Jaeger-LeCoultre and Piaget, said sales fell 1% at constant exchange rates to 4.81 billion euros ($5.19 billion), slightly ahead of analyst forecasts for 4.78 billion euros in a consensus cited by HSBC.
Big sales increases in the Americas, Japan and the Middle East helped offset a downturn in the Asia Pacific region, where Richemont’s sales dropped 18%.
Richemont, like other luxury companies, has been battling weaker demand in China caused by the economic slowdown in the world’s second biggest economy.
Richemont’s luxury rivals have reported mixed fortunes recently, with LVMH missing third quarter sales forecasts, saying consumer confidence in China had fallen to pandemic-era lows.
There was also a divergence between Richemont’s jewellery business, which remained more resilient during the downturn, and watches, which continued to struggle during the quarter.
The company, which makes necklaces, earrings and bracelets under the Cartier, Van Cleef & Arpels and Buccellati brands, reported sales increasing by 4% at its jewellery business, better than the 19% downturn in watches.
($1 = 0.9275 euros)
(Reporting by John Revill, Editing by Friederike Heine)