French luxury fashion house LVMH Moet Hennessy Louis Vuitton has delivered a resilient performance in the first quarter (Q1) of 2026, navigating a complex global environment shaped by geopolitical tensions and economic uncertainty. Despite disruptions linked to the Middle East conflict, the group maintained steady momentum.
The group has reported revenue of €19.1 billion (~$22.54 billion) in Q1, a decline of 6 per cent year-on-year (YoY) due to adverse currency effects of 7 per cent. It delivered modest organic growth of 1 per cent, with the conflict alone weighing on growth by around 1 per cent during the quarter.
Regionally, performance remained mixed but broadly stable. The US recorded a strong start to the year, reflecting steady consumer demand. Europe and Japan benefited from resilient local consumption, which helped offset weaker tourist flows. Asia, excluding Japan, posted robust growth, confirming the recovery trend that began in the second half of 2025. However, the Middle East experienced a slowdown in March after a strong start, as escalating tensions disrupted consumer activity and tourism, LVMH said in a press release.
Across business segments, Fashion & Leather Goods, the group’s largest revenue contributor, declined by 2 per cent on an organic basis, impacted by the Middle East disruption. Nevertheless, leading maisons continued to reinforce brand desirability and innovation. Louis Vuitton marked the 130th anniversary of its Monogram canvas with global activations and new flagship openings, while Dior saw strong consumer response to new collections, including designs by Jonathan Anderson. Loro Piana maintained excellent performance, and creative transitions at Celine, Loewe, Givenchy and Fendi signalled ongoing portfolio renewal.
Selective Retailing recorded organic growth of 4 per cent, driven primarily by Sephora’s continued global expansion and market share gains. The brand strengthened its presence, particularly in the United Kingdom, while DFS undertook strategic restructuring, including agreements to divest certain operations in Greater China and US airport locations. Le Bon Marché maintained its differentiation strategy through curated events and retail experiences.
Despite persistent macroeconomic uncertainty and geopolitical disruptions, LVMH remains cautiously optimistic. The group continues to focus on innovation, brand development and selective distribution, leveraging its diversified portfolio and balanced geographic exposure. Backed by strong creative momentum and sustained investment, LVMH aims to reinforce its global leadership in luxury goods throughout 2026, added the release.
