Richemont profit drops one-third
But Swiss luxury goods maker earned CHF 1.62 billion in net profit for 2008-2009.GENEVA - Richemont, a world leader in luxury products, reported a 31 percent drop in net profit for the year to March, but this was a better figure than analysts expected.
Net profit for the 2008-2009 year was EUR 1.075 billion (CHF 1.62 billion, USD 1.46 billion). Analysts questioned by financial agency AWP had expected a net outcome of about EUR 792 million.
Operating profit fell by 12.0 percent to EUR 982 million, although sales rose by 2.0 percent to EUR 5.418 billion.
Richemont said the global economic crisis was also affecting markets for luxury goods and it could not foresee when activity would increase.
It said it expected market conditions to remain difficult until September.
Among the watch and other product brands owned by the group are Cartier, Vacheron-Constantin, Lange and Sohne, Officine Panerai, Piaget, and Baume and Mercier.
AFP / Expatica