PARIS - Strong brands and a focus on innovation have helped strengthen luxury goods group LVMH in the economic downturn, according to CEO Bernard Arnault.
The French conglomerate posted a 1% decrease in revenues, to €17 billion (€23.2bn; £14.8bn), over the course of 2009 as a whole, with net profits falling by 13%, to €1.75bn.
More positively, figures improved by 1% in the final three months of last year compared with the same period in 2008.
Arnault suggested LVMH's annual results demonstrated its "excellent performance given the current global economic crisis."
"This performance in 2009 was the result of the strengthening of our star brands, our flagship brands, that have all continued to increase their market share throughout the world," he stated.
Louis Vuitton was one of the success stories, recording a double-digit increase in sales. Premium watch line Tag Heuer, Hennessy cognac and fragrance and beauty unit Christian Dior were also in high demand, offsetting declines in the business elsewhere.
Looking to the future, Arnault said: "The key drivers of our strategy will continue to be innovation and the expansion of our presence worldwide."
Louis Vuitton will launch some "powerful products" and the Wines & Spirits and Watches & Jewellery activities should benefit from a more favourable environment in 2010.