LVMH Moet Hennessy Louis Vuitton SA, the world's largest luxury-goods company, reported first-half earnings that trailed estimates as the strength of the euro weighed on growth and the first stage of the Japanese tax hike hurt sales of fashion and leather goods.
Profit from recurring operations fell 5 percent to €2.58 billion ($3.5 billion), Paris-based LVMH said Thursday after European markets closed. Analysts expected €2.76 billion, according to the median of 18 estimates compiled by Bloomberg.
April's 3-point hike in the consumption tax added to the difficulties of softening demand for expensive liquor and watches. Fashion and leather-goods sales climbed 4 percent in the first half, LVMH said, trailing analysts' estimates by 2 percentage points.