TAG Heuer had its best-ever year in 2023, according to the financial report of its parent organisation, LVMH.
The French luxury group delivered sales of €86.2 billion, up 13% at constant currencies, with all its divisions reporting growing sales and profits except Wines & Spirits.
Watches and Jewellery revenue, where Bulgari and Tiffany dwarf its TAG Heuer, Hublot and Zenith specialist watchmakers, rose by 7%.
There were significant changes to the executive teams at LVMH’s watch maisons at the back end of last year.
Frédéric Arnault, who became CEO of TAG Heuer in 2020, was appointed CEO of a newly created LVMH Watches operation in charge of Hublot, TAG Heuer and Zenith.
It will be fascinating to see how this division performs in isolation from the group’s jewellery giants.
He reports to Stephane Bianchi, CEO of LVMH Watches & Jewellery Division, which also houses the mighty Bulgari.
Julien Tornare, CEO of Zenith since 2017, is now running TAG Heuer.
LVMH signaled cautious optimism about the year ahead.
“While the geopolitical and macroeconomic environment remains uncertain, LVMH is confident in its ability to continue to grow in 2024, in the highly distinctive quality and creativity that its products offer its customers, as well as in the professionalism of its management, to stand out and gain market share,” the company says in a statement accompanying its 2023 results.
LVMH shares rose 5% on the news. Its results and optimistic outlook for 2024 also boosted confidence in other luxury operations with Swatch Group’s share price enjoying a 2.5% bump today.
