Hermès Reports €8.16 Billion in Revenue for the First Half of 2026

Červenec 30, 2026 - 02:00

French luxury house Hermès reported consolidated revenue of €8.16 billion for the first half of 2026, representing a 1.6% increase at current exchange rates and a 6.1% rise at constant exchange rates compared with the same period last year.

Second-quarter revenue reached €4.09 billion, up 4.8% at current exchange rates and 6.7% at constant exchange rates. Growth accelerated slightly from the 5.6% recorded in the first quarter, supported by strong demand in the United States, recovering tourist traffic in France and solid sales in Japan.

Summary

Hermès reported first-half revenue of €8.16 billion, up 6.1% at constant exchange rates
Second-quarter revenue reached €4.09 billion, representing growth of 6.7% at constant exchange rates
Second-quarter sales rose 13.7% in the Americas and 12.3% in Japan, while France returned to 6.2% growth as tourist traffic recovered
Leather Goods and Saddlery recorded growth of 9.8% in the first half and 10.2% in the second quarter

The Americas, Japan and Europe Drive Growth

By region, the Americas delivered the strongest growth among Hermès’ major markets. Sales increased 15.3% at constant exchange rates in the first half and 13.7% in the second quarter, reflecting solid and balanced momentum across countries and product categories.

Japan recorded growth of 11.0% in the first half, accelerating to 12.3% in the second quarter. Strong store traffic and the loyalty of local customers supported the performance. Hermès expanded and renovated its Hilton Plaza East store in Osaka in May, followed by the opening of a new store in Nagoya in June.

Europe excluding France maintained solid momentum, with sales rising 8.8% in the first half and 8.3% in the second quarter. In France, sales declined 2.8% in the first quarter before rebounding by 6.2% in the second quarter, supported by local demand and a recovery in tourist traffic. The market ended the first half with growth of 1.8%.

Asia-Pacific excluding Japan posted more moderate second-quarter growth of 2.5%, highlighting the uneven pace of recovery across markets. The Other geographical area, which mainly comprises the Middle East, declined 2.4% in the second quarter and 4.2% in the first half amid geopolitical instability. The second-quarter result nevertheless marked an improvement from the 5.9% decline recorded in the first quarter.

Leather Goods Achieve Double-Digit Growth as Beauty Sales Decline

Leather Goods and Saddlery, Hermès’ largest business line, grew 9.8% in the first half and 10.2% in the second quarter. Strong demand for the collections across all regions drove the performance, with new models including the Cliquetis, Kelly Hobo and Double Longe receiving a positive response.

Hermès also continued to expand its production capacity. In early April, the house opened its 25th leather goods workshop in Loupes, in France’s Gironde department. Three additional workshops are scheduled to open in Charleville-Mézières in 2027, Colombelles in 2028 and Les Andelys by 2030.

Silk and Textiles delivered strong growth of 9.7% in the first half and 12.2% in the second quarter. Ready-to-wear and Accessories rose 2.0% in the first half, with growth accelerating to 3.6% in the second quarter.

Watches remained broadly stable in the first half, increasing 0.2%, before returning to 4.4% growth in the second quarter. Perfume and Beauty was the only major business line to decline, falling 4.5% in the first half and 9.5% in the second quarter.

Operating Margin Remains High at 41%

Recurring operating income reached €3.35 billion, slightly above the €3.33 billion recorded in the first half of 2025. Despite the negative impact of currency movements, recurring operating profitability remained high at 41.0% of revenue.

Consolidated net profit attributable to owners of the parent remained broadly stable at €2.24 billion. Excluding the exceptional contribution levied on the profits of large companies in France, net profit attributable to owners of the parent reached €2.5 billion, representing 30.7% of revenue.

Adjusted free cash flow increased 18% to €2.18 billion. Effective inventory management and exceptional sell-through rates for the latest collections contributed to the improvement in cash generation.

Hermès’ Resilience Stands Out in a Slower Luxury Market

The pace of recovery remains uneven across the global luxury industry. Moët Hennessy Louis Vuitton reported organic revenue growth of 2% for the first half of 2026, while its Fashion and Leather Goods division declined 1% over the six-month period before returning to 1% growth in the second quarter. LVMH’s official results

Although the two groups have different business structures, Hermès’ double-digit growth in Leather Goods and Saddlery, combined with a recurring operating margin of 41.0%, underscores the house’s relative strength amid the prolonged adjustment across the luxury market.

Axel Dumas, Executive Chairman of Hermès, commented: “In the first half of 2026, Hermès delivered a solid performance, which reflects the strong desirability of its 16 métiers and the trust of its clients. Convinced by the strength of our unique artisanal model and in control of our key balances, we look to the second semester with confidence.”

Despite ongoing economic, geopolitical and monetary uncertainties worldwide, Hermès maintained its ambitious medium-term objective for revenue growth at constant exchange rates.

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