Half Year 2024 Hermes International SCA Earnings Call Transcript
Key Points
- Hermes International SA (HESAF) reported a solid performance with a turnover of EUR7.5 billion, up 15% at constant exchange rates.
- All regions recorded double-digit growth, with France and Europe showing particularly robust performance.
- The company continues to invest in production capacity, securing its supply chain, and expanding its distribution network.
- Hermes International SA (HESAF) has increased its headcount by 1,200 people in H1 2024, reflecting its commitment to growth and employee welfare.
- The company maintains a strong financial structure with a net cash position of EUR10 billion, providing assurance for its long-term strategy.
- The gross margin rate dropped to 70.6% from 72.2% in H1 2023, impacted by currency hedges and increased costs.
- There was a noticeable slowdown in the watch sector, which did not perform as well as other divisions.
- The company faces challenges due to the depreciation of the Japanese yen and the Chinese yuan, affecting financial results.
- Increased administrative costs and cost of sales have grown slightly faster than revenue, impacting overall profitability.
- The company anticipates further gross margin pressure in H2 2024 due to continued currency impacts and inventory adjustments.
Ladies and gentlemen, and welcome to the 2024 first half financial results. Now going to hand over the floor to Mr. Axel Dumas, Executive Chairman of (inaudible) , Mr. Eric du Halgouët, Executive VP for Finance. Gentlemen, over to you.
Good evening, everyone, and thank you very much for joining us for the publication of our 2024 first half results, which take place just before the opening ceremony of the Olympics. I'm very happy today to share the robust H1 results with you against the more complex global economic and political backdrop in H1, we have continued our strategic investment in production capacity in our network and also secured our supply chain.
We've beefed up our teams. We currently have 23,200 people working for MS, 62% of which in France MSA carried on with its D&I initiatives. And currently we have 7.12% of disabled employees above the legal requirements. These H1 results capture the loyalty of our customers all around the world as well as the strength of our international
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
