Driven by a unique artisanal model and consistently strong demand for its iconic products, Hermès posted a second quarter of 2025. Revenue reached €3.9 billion, up 9 percent at constant exchange rates compared to 2024, a faster increase than in the first quarter. For the first half of the year, revenue totaled €8 billion, with a recurring operating margin of 41.4 percent, demonstrating disciplined execution in a luxury more selective
Asia is progressing, Japan is leading the way
The geographical picture remains mixed but positive. In Asia Pacific excluding Japan, the quarter saw moderate growth, while Japan posted double-digit growth and continues to drive the region. The Americas andEurope also progressed, supported by the loyalty of local customers and a targeted recovery in tourism. This balanced network confirms Hermès' ability to weather economic cycles, relying on high-quality distribution and in-store experiences that strengthen customer trust.
Leather goods remain the driving force
Unsurprisingly, the leather segment remains the driving force. Leather Goods and Saddlery grew by 14.8 percent at constant exchange rates in the second quarter, fueled by sustained demand for iconic bags and new formats. Birkin, Kelly , and Constance remain highly desirable, while ready-to-wear and silk lines are showing more moderate growth. Fragrances and beauty products declined due to the base effect, and watches normalized after recent surges in attention.
A meticulously executed retail experience
Value creation also lies in the details of retail. Hermès continues to cultivate its hospitality, curate curated selections by city, and enhance the presentation of its boutiques, while simultaneously accelerating the development of valuable services. These services include demanding clienteling, cultural events that showcase craftsmanship and materials, appointment booking, and a omnichannel . This continuous approach strengthens customer loyalty and anchors desirability in the long term, far removed from fleeting trends.
Industrial capacity and French roots
To meet demand while preserving exclusivity, the company is investing in its production capacity, with the opening of new leather goods and the expansion of existing sites. Starting in L'Isle d'Espagnac in September, followed by projects in the Gironde and Ardennes regions, Hermès is pursuing controlled growth that creates jobs and maintains quality. This strategy of limited supply, a cornerstone of perceived value, secures growth without diluting its core identity.
Sustainability and transparency: from promise to proof
Beyond financial performance, the company reaffirms its commitment to sustainability: traceability of materials, streamlined processes, repair and restoration services, and clear education about its craftsmanship. These concrete examples meet the expectations of a discerning clientele and contribute to extending the lifespan of its pieces, a hallmark of luxury .
Reading the numbers: what you need to remember
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Q2 2025 sales: €3.905 billion, +9% at constant rates, improvement compared to Q1.
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H1 2025.8.034 billion euros, +8% at constant rates, recurring operating margin at 41.4%.
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Regions. Japan on the rise, Americas and Europe well positioned, Asia excluding Japan moderate but positive growth.
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Trades. Leather in clear lead, ready-to-wear and silk in more measured growth, perfumes in decline, watches in normalization.
Outlook for 2025: Precision rather than one-upmanship
The roadmap prioritizes precision: protecting prices, finely calibrating product ranges, enhancing services, and continuing industrial investment to deliver more without overproducing. In an environment where many players are experiencing a slowdown, Hermès confirms the effectiveness of its model: controlled exclusivity, artisanal excellence, curated collections, and impeccable retail execution. In short, the house is transforming growth into a sustainable trajectory without sacrificing its unique identity.
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