Hennessy Cognac proprietor LVMH was as soon as once more weighed down by its spirits phase in its full-year monetary outcomes for 2025.
LVMH posted a 5% drop in natural income for its wine and spirits division for the total yr 2025. Gross sales totalled €5.358 billion (US$6.414bn), down from 2024’s €5.862bn (US$7bn) determine.
The phase’s revenue from recurring operations fell by 25%.
Wine and spirits income for the third quarter of 2025 reached €1.330bn (US$1.592bn), up by 1% on the earlier yr. Nonetheless, fourth-quarter gross sales declined by 9%.
The group’s spirits portfolio consists of Hennessy Cognac, Belvedere Vodka, American whiskey Sir Davis, Scotch manufacturers Glenmorangie and Ardbeg, and Volcan De Mi Tierra Tequila.
LVMH singled out Hennessy Cognac for the drop in income, which it mentioned was ‘held again by weaker native demand, primarily because of points with customs duties in China and america’.
In June final yr, China’s Ministry of Commerce ended its anti-dumping investigation into EU brandy imports, which gave partial aid to a choose group of Cognac makers together with Hennessy.
Commerce tensions in China and the US, considered as key markets, have been additionally attributed to the decline.
Regardless of spirits lagging, the group’s Champagne homes “maintained their market share of twenty-two% of all Champagne-appellation shipments”, whereas Provence rosé wines “outperformed” the rosé class worldwide.
LVMH’s total income for 2025 was €80.8bn (US$96.7bn), down by 1% on an natural foundation. Its fourth quarter displaying, nonetheless, confirmed a slight carry of 1%.
Addressing the outcomes, Bernard Arnault, chairman and CEO, mentioned the outcomes “confirmed good resilience and maintained its progressive momentum regardless of a disrupted geopolitical and financial setting.”
He additionally supplied an outlook for the yr forward: “In an setting that is still unsure, our maisons’ skill to encourage goals – coupled with the very best ranges of vigilance with regard to value administration, and our environmental and social commitments – will as soon as once more be a decisive asset underscoring our management place within the luxurious items market.
“We’ll stay true to our entrepreneurial custom as a forward-looking household group targeted on sustainable creativity in high-quality merchandise, distinctive areas and the long-term way forward for our excellent craftsmanship.”
Arnault additionally highlighted the agency’s partnership with System One, of which a lot of its spirits manufacturers are official companions. “The primary yr of our 10-year partnership with System 1 was an thrilling opening right into a world that shares our ardour for excellence and innovation.”
Volcan was named the official Tequila companion of System One final yr, adopted by Glenmorangie for whisky and Belvedere for vodka.
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