French luxury brand Hermes’ consolidated revenue reached €4.1 billion (~$4.37 billion) in the first quarter (Q1) of 2025, an increase of 9 per cent year-over-year (YoY) at current exchange rates and 7 per cent YoY at constant exchange rates.
Region-wise, Asia excluding Japan recorded a 1 per cent increase in sales. The growth was supported by strong client loyalty and the house’s value-driven strategy, with key store reopening in Taichung, Taiwan, and Bangkok, following renovations, Hermes said in a press release.
Japan saw robust growth of 17 per cent, fuelled by consistent support from local clientele. The Americas posted an 11 per cent increase, with the United States showing notable momentum in March.
Europe excluding France achieved solid gains of 13 per cent and France stood with a rise of 13 per cent, driven by strong local demand and vibrant tourist activity. Paris hosted the successful return of the 15th Saut Hermes at the Grand Palais, while Florence (Italy) saw the reopening of its renovated store in February. The Other area, primarily the Middle East, continued its upward trend with a 14 per cent increase in sales.
Segment-wise, the Leather Goods and Saddlery metier rose 10 per cent, supported by sustained demand and enriched collections, including the new Medor and Mousqueton bag models. The brand continued expanding its production capacity, with a new workshop opening in L’Isle-d’Espagnac (Charente) this year, and future facilities in Loupes (Gironde) and Charleville-Mezieres (Ardennes) planned for 2026 and 2027.
The ready-to-wear and accessories segment grew by 7 per cent, bolstered by successful presentations of the women’s and men’s Autumn/Winter 2025 collections. The silk and textiles segment recorded a 5 per cent increase, driven by a variety of formats and vibrant designs across both women’s and men’s ranges.
Despite ongoing economic, geopolitical, and monetary uncertainties, Hermes remains confident in its medium-term outlook and has reaffirmed its ambitious goal for revenue growth at constant exchange rates. Entering 2025 with assurance, the group credits its highly integrated artisanal model, balanced distribution network, creative collections, and strong client loyalty as key strengths, added the release.
Emphasising its deep-rooted commitment to craftsmanship, the group has chosen ‘Drawn to craft’ as its theme for the year—highlighting that every creation, from a saddle stitch to a pencil stroke, begins with the art of drawing.
Hermes continues to uphold its commitment to responsible and sustainable growth. The group will distribute over €500 million (~$533 million) in 2025 to its employees as profit-sharing for 2024, recognising their vital role in its success. Reinforcing its environmental stewardship, Hermes updated its climate strategy in early 2025, focusing on actionable initiatives to strengthen supply chains and enforce stringent natural resource conservation policies.
The group remains aligned with its 2030 climate goals, validated by the Science Based Target initiative (SBTi), progressing through decarbonisation efforts across direct operations and improved energy efficiency. Additionally, Hermes is intensifying work to cut scope 3 emissions in close collaboration with its suppliers and broader value chain.
“In a complex geopolitical and economic context, the house is strengthening its fundamentals more than ever: uncompromising quality, creativity at the heart of all development, and vertical integration, a guarantee of preserving unique savoir-faire. Despite a high comparison basis in the first quarter, the group achieved solid growth in sales, thanks to the trust of its customers and the commitment of the teams, whom I thank warmly,” said Axel Dumas, executive chairman of Hermes.
Fibre2Fashion News Desk (SG)
