The quarterly report, released on Monday evening, was expected by analysts to show a decline, but it was larger than expected for LVMH, with brands such as Louis Vuitton and Christian Dior in its portfolio.
In the fashion and leather goods category, where Louis Vuitton and Christian Dior are included and which accounts for approximately half of LVMH's revenue, sales fell by 5 percent during the first three months of the year. According to the news agency Bloomberg, analysts had expected a decline of 0.6 percent.
LVMH's depositary receipts on the New York Stock Exchange fell by around 6 percent after the report.
LVMH is the first among European luxury companies to report results from the first quarter. It does so against the backdrop of a pessimistic market that expected another quarter of declines, primarily on the American market.
Bloomberg described it in advance as a kind of stress test for the luxury sector following the tariff chaos under US President Donald Trump.
And in the US, which accounted for nearly a quarter of LVMH's revenue during the quarter, sales fell by three percent.
The previous quarterly report showed a sales decline of ten percent for LVMH in China, and now it was down eleven percent – more than double what was forecast.
It was only in Europe that LVMH made progress.
