A new year brings a leadership shuffle to the ranks of Louis Vuitton Moët Hennessey, the world’s largest luxury goods group by sales, as its chairman and chief executive, Bernard Arnault, continues to promote his children to key posts within his empire.
Mr. Arnault, the world’s richest person, appointed his daughter, Delphine Arnault, to run Dior, LVMH’s second-largest brand. Pietro Beccari, who has been Dior chief executive since 2018, was named the chief executive of LVMH’s flagship brand, Louis Vuitton, which accounts for almost two-thirds of the company’s annual operating profit.
Michael Burke, the longtime Louis Vuitton chief executive and one of Mr. Arnault’s longest-serving executives, will remain at the group and continue to work alongside Mr. Arnault, the company said in a statement, without detailing his new role.
The appointments were first reported by the Business of Fashion. They are the latest moves by Mr. Arnault, LVMH’s 73-year-old chairman, to secure a succession plan at the luxury group by putting his children in key executive roles.
Ms. Arnault, 47, worked at Louis Vuitton for the past decade alongside Mr. Burke and previously spent a dozen years at Dior. Antoine Arnault, 45, is chief executive of Christian Dior SE, the holding company through which the Arnaults control LVMH. Alexandre Arnault, 30, is the executive vice president of product and communications at Tiffany & Company. Frédéric Arnault, 27, is the chief executive of TAG Heuer. Jean Arnault, 24, was promoted in November to the role of watches director at Louis Vuitton.
“Succession planning in strategic roles has been instrumental to the success of LVMH’s key brands over the past 20 years, hence today’s moves are significant,” said Thomas Chauvet, head of luxury goods equity research at Citi.
LVMH recorded revenue of 56.5 billion euros, or $55.1 billion, for the first nine months of last year and is set to publish its full year results for 2022 at the end of this month. Its stock gained nearly 2 percent in morning trading Paris on Wednesday, and is up more than 11 percent in 2023, adding nearly $40 billion in market capitalization.
Demand for LVMH handbags, shoes and designer clothes has proved robust, despite the global economic downturn and Covid restrictions hurting sales in mainland China, one of its most important markets.
Sumber: www.nytimes.com
