LVMH Reports Q3 2025 Results: Luxury Watches & Jewellery Show Modest Growth Amid Currency Headwinds

Group performance and context

For the first nine months of 2025, LVMH reported consolidated revenue of €58.1 billion, broadly stable compared with the same period in 2024. The group achieved 1 per cent organic growth in the third quarter, reflecting a slight improvement in demand across most business divisions and regions.

However, Europe was the notable exception: the region saw a decline in tourist-related turnover and suffered from a currency impact of about –5 per cent in the quarter. Asian markets, excluding Japan, showed meaningful improvement year on year, while Japan itself posted a contraction, largely because 2024’s figures had been inflated by tourism activity driven by a weak yen.

Watches & Jewellery division detail

Within the group, the Watches & Jewellery business recorded organic growth of 1 per cent for the first nine months of 2025 and 2 per cent in the third quarter alone. Total revenue for the nine-month period stood at €7.409 billion.

Bvlgari continued to perform strongly. Its iconic Serpenti watch line, together with the success of its high-jewellery collection Polychroma, helped bolster the division’s performance. Tiffany & Co. also contributed through the roll-out of its renewed store concept in key cities such as Milan and Tokyo and a strong focus on signature jewellery lines including the Bird on a Rock brooch.

In the watches segment, TAG Heuer gained visibility thanks to its partnership in Formula 1 and the unveiling of a carbon balance-spring oscillator at Geneva Watch Days. Zenith marked its 160th anniversary with the release of limited editions of the Chronomaster Original and Defy Skyline models, underlining the brand’s emphasis on high-frequency chronometry.

Nevertheless, the Watches & Jewellery division continues to face structural headwinds. High input-cost inflation, particularly in precious metals, along with currency pressures and a dependence on tourist spending, remain relevant factors. Industry analysts also note that rising gold prices and a weaker dollar are squeezing margins across the jewellery segment.

Wider business context

To set these results in perspective, the Fashion & Leather Goods division recorded a 2 per cent organic decline in the third quarter, following a sharper drop earlier in the year. The Selective Retailing business, which includes Sephora, achieved 7 per cent organic growth over the same period.

Strategic and operational notes

Across its luxury portfolio, LVMH highlights the growing importance of local demand over tourist-driven sales, particularly in the United States and in Asia outside Japan. Currency fluctuations remain a drag on reported results, with an estimated 5 per cent negative foreign-exchange impact in the third quarter.

The jewellery houses are focusing increasingly on full-price selling and reducing promotional activity, supporting profitability even as volumes soften. For the watch brands, continued investment in new materials, innovative movements and strong marketing activations remains a key differentiator.

The watch and jewellery division is structurally diverse. While Bvlgari and Tiffany are the primary drivers of growth, other watchmaking entities such as Louis Vuitton’s La Fabrique du Temps, Daniel Roth and Gérald Genta are reported under the Fashion & Leather Goods segment, making direct performance comparisons less transparent.

The group remains confident in its year-end outlook, although it acknowledges the persistence of economic and geopolitical uncertainty.

Implications for the watch industry

For observers of the global watch sector, the modest growth within LVMH’s Watches & Jewellery division suggests that the worst of the market slowdown may have passed. Brands that continue to focus on technical sophistication and high-end positioning appear best placed to benefit from stabilising demand.

Retail experience and brand storytelling remain decisive. The success of Tiffany’s flagship openings and Bvlgari’s strong boutique network demonstrates the continued importance of physical presence in the luxury watch and jewellery segment.

Macro and currency risks remain key considerations. Stronger local demand in the United States and Asia provides support, yet fluctuations in tourism and rising material costs could constrain margins.

For collectors and professionals alike, the most dynamic prospects within the LVMH portfolio lie in brands investing visibly in innovation and heritage - from TAG Heuer’s technical developments to Zenith’s commemorative releases and Bvlgari’s jewelled timepieces.

Summary

LVMH’s Q3 2025 results underline a cautious stabilisation in global luxury consumption, with watches and jewellery showing modest yet resilient growth. While the wider environment remains challenging, the group’s commitment to craftsmanship, brand equity and innovation continues to sustain its long-term momentum.