French luxury house Hermès lifted revenue to €16bn ($18.98bn) in 2025, up 5.5% at current exchange rates from €15.17bn in 2024, alongside improved operating profitability and higher cash generation.
Recurring operating income rose 7% to €6.56bn, while recurring operating profitability improved to 41% of sales from 40.5% a year earlier.
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Net profit attributable to the group totalled €4.52bn, down slightly from €4.60bn in 2024, equivalent to 28.3% of revenue versus 30.3% previously.
Adjusted for the exceptional contribution on profits of large companies in France, net profit reached €4.86bn, up 5.5% in line with sales growth.
Operating cash flow increased to €5.60bn from €5.37bn in 2024.
The company recorded operating investments of €1.16bn and adjusted free cash flow of €3.88bn, compared with €3.76bn a year earlier.
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By GlobalDataEquity attributable to the group rose to €18.84bn from €17.32bn, and the restated net cash position improved to €12.77bn at the end of 2025 from €12.03bn in 2024.
For the full year, Japan recorded growth of 14.1%, the Americas 12.4%, Europe excluding France 11.3%, France 9%, Asia excluding Japan 4.9% and the other region 14.9%.
By activity, leather goods and saddlery advanced 13%, ready-to-wear and accessories 6%, silk and textiles 5% and other sectors 11%.
Perfume and beauty declined 8% and watches fell 2%, despite a recovery in the second half.
Hermès plans additional leather goods workshops in Loupes in 2026, Charleville-Mézières in 2027, Colombelles in 2028 and Les Andelys by 2030.
The workforce increased to 26,494 employees in 2025 from 25,185 a year earlier, with more than 1,300 hires during the year, including 800 in France.
The group proposed a dividend of €18 per share for 2025, including a €5 interim dividend payable later this month.
Hermès executive chairman Axel Dumas said: “The Hermès model based on an exclusive and qualitative network, as well as strong vertical integration, has once again proven successful. In an uncertain environment, Hermès is moving into 2026 with confidence, underpinned by its creativity and exceptional savoir-faire.”
Fourth-quarter revenue reached €4.08bn, up 10% at constant exchange rates, with double-digit growth across Japan, the Americas and the Middle East.
Hermès said it entered 2026 “with confidence” and confirmed a medium-term objective of revenue growth at constant exchange rates despite economic and geopolitical uncertainties.
