Sales drop at Vuitton owner LVMH as virus forces store closures

PARIS/MILAN (Reuters) – Louis Vuitton owner LVMH on Thursday posted a 17% drop in comparable sales in the first quarter due to the coronavirus outbreak, as lockdowns imposed in Europe and elsewhere forced it to close stores and production sites.

The world’s biggest luxury goods group, which in late March had warned first-quarter sales would fall by between 10 and 20% compared to a year ago, said revenues stood at 10.6 billion euros ($11.48 billion) in the January to March period, down 15% on a reported basis.

That marked a 17% fall on a like-for-like basis, which strips out foreign exchanges swings and acquisitions.

LVMH, like rivals, has had to temporarily shut shops in key markets after the novel coronavirus first emerged in China late last year and later spread to Europe and the United States.

(Reporting by Silvia Aoilsi and Sarah White, Editing by Benoit Van Overstraeten)