LVMH Q2 2026 Organic Sales Rise 3% as US Recovery Accelerates

LVMH, the world's largest luxury group, reported its second-quarter and first-half results for 2026. In the second quarter, organic revenue rose 3% year on year, or 4% excluding the impact of the Middle East conflict. Growth was driven by an accelerating recovery in the US market and market acceptance of the first designs by Dior's new creative director, Jonathan Anderson. Tourism shopping demand in the Middle East was hit by the conflict, limiting business growth.

In the first half, the group generated revenue of EUR 38.644 billion, down 3% year on year, with organic growth of 2%. Recurring operating profit was EUR 8.691 billion, down 4%, while net profit was EUR 5.697 billion, roughly flat compared with the same period in 2025. The operating margin remained high at 22.5%, and operating cash flow reached EUR 4.1 billion. By region, the US market saw organic sales growth of 6% in the second quarter, Europe remained stable, Japan grew 14%, and Asia excluding Japan grew 4%.

The fashion and leather goods division posted first-half revenue of EUR 18.146 billion, down 5% year on year, but second-quarter organic revenue returned to growth of 1%. Louis Vuitton's second-quarter performance was in line with the division average, with strong results from its new flagship stores in Beijing and Seoul. Dior's second-quarter growth was slightly above the division average, with its Cigale handbag proving popular. Tiffany continued to lift sales by strengthening classic collections such as Knot and HardWear, while Bulgari set sales records with its high-jewelry and high-watch collection Eclettica.

The luxury industry's recovery remains uneven. Recent tourism spending in the Middle East has been affected by geopolitical conflict, further weighing on the sector's recovery. In contrast, jewelry, high-end leather goods, and classic products with strong brand influence continue to show resilience.