The Revenue LinesWide moat

LVMH (MC) — moat facet

One business group earns three-quarters of the profit; jewelry and fashion compound, beauty and drink barely grow.

LVMH reports five business groups, and they have grown at very different rates. Between 2016 and 2025 Watches & Jewelry revenue grew about 13.1% a year and Fashion & Leather Goods about 12.8%, while Perfumes & Cosmetics grew about 5.7%, Selective Retailing about 4.9% and Wines & Spirits about 1.1%.123

Revenue growth a year by business group, 2016 to 2025 (%)Watches & Jewelry13.1%Fashion & Leather12.8%Perfumes & Cosm.5.7%Selective Retail4.9%Wines & Spirits1.1%LVMH 2017 and 2025 annual results releases; compound annual growth, reported
Two groups roughly tripled in nine years; wine and spirits barely grew.

In 2025 the groups brought in €37,770 million, €18,348 million, €10,486 million, €8,174 million and €5,358 million, in the chart's order: Fashion & Leather Goods, Selective Retailing, Watches & Jewelry, Perfumes & Cosmetics and Wines & Spirits.4 A sixth line, Other activities and eliminations, added €671 million of revenue and lost €491 million; it holds smaller businesses and holding-company costs, and is explained here rather than given a page.5

Profit is far more concentrated than revenue. Fashion & Leather Goods earned €13,209 million of the group's €17,755 million of profit from recurring operations, about 74.4%, on about 46.7% of the revenue.67 Its margin was 35.0%; the next best was Wines & Spirits at 19.0%, and the lowest was Perfumes & Cosmetics at 8.9%.89

The first half of 2026 reversed some of that. Fashion & Leather Goods profit fell 7% while Wines & Spirits rose 11% and Watches & Jewelry 9%, and group organic growth accelerated to 3% in the second quarter.10 Why a portfolio of this shape is a moat is argued under The Maison Portfolio; these pages carry each group's own series.

The number that ties them together is Fashion & Leather Goods' share of group profit, about 74.4% in 2025 and 71.3% in the first half of 2026.1112 If it keeps falling because the other groups grow, LVMH is diversifying; if it falls because fashion shrinks, it is not.

Moat trajectory: Holding steady

Fashion's share of profit fell to 71.3% in H1 2026 as jewelry and drink grew and fashion fell.

The number that tests this moat
Moat Explorer calc
Fashion & Leather Goods share of group recurring profit, first half
71.3% in H1 2026, from 73.6%

Falling because the other groups grow means diversification; falling because fashion shrinks does not.

How it's calculated: 6,195 / 8,691 against 6,636 / 9,012.
Source: LVMH first-half 2026 results release (Moat Explorer calc) ↗
Dig deeper
DIG DEEPER 01
Fashion & Leather Goods
The richest business LVMH has, two years into a decline and only just growing again.
DIG DEEPER 02
Selective Retailing
A retailer inside a luxury group: Sephora earns the margin, DFS is being sold.
DIG DEEPER 03
Watches & Jewelry
Tiffany doubled the profit and has not yet held the margin it briefly reached.
DIG DEEPER 04
Perfumes & Cosmetics
The widest door into the brands and the thinnest margin in the group.
DIG DEEPER 05
Wines & Spirits
Champagne holding, cognac falling: the only group smaller than in 2021.
References
  1. ReportedBetween 2016 and 2025 Watches & Jewelry revenue grew about 13.1% a year and Fashion & Leather Goods about 12.8%, while Perfumes & Cosmetics grew about 5.7%, Selective Retailing about 4.9% and Wines & Spirits about 1.1%.
    LVMH 2017 annual results release - revenue and profit from recurring operations by business group, 2016 and 2017 — FY2016-FY2017 · publ. January 2018 · source ↗
  2. ReportedBetween 2016 and 2025 Watches & Jewelry revenue grew about 13.1% a year and Fashion & Leather Goods about 12.8%, while Perfumes & Cosmetics grew about 5.7%, Selective Retailing about 4.9% and Wines & Spirits about 1.1%.
    LVMH 2025 annual results release - revenue by business group with organic change, profit from recurring operations by business group, and business-group commentary, 2024 and 2025 — FY2024-FY2025 · publ. January 2026 · source ↗
  3. Moat Explorer calcBetween 2016 and 2025 Watches & Jewelry revenue grew about 13.1% a year and Fashion & Leather Goods about 12.8%, while Perfumes & Cosmetics grew about 5.7%, Selective Retailing about 4.9% and Wines & Spirits about 1.1%.
    Moat Explorer calculation from LVMH's annual results releases 2017-2025, the 2023 and 2024 URDs and the H1 2026 release: operating margins, shares of group profit and revenue, compound growth rates — FY2016 to H1 2026 · publ. 2026-09-23 · source ↗
  4. ReportedIn 2025 the groups brought in €37,770 million, €18,348 million, €10,486 million, €8,174 million and €5,358 million, in the chart's order: Fashion & Leather Goods, Selective Retailing, Watches & Jewelry, Perfumes & Cosmetics and Wines & Spirits.
    LVMH 2025 annual results release - revenue by business group with organic change, profit from recurring operations by business group, and business-group commentary, 2024 and 2025 — FY2024-FY2025 · publ. January 2026 · source ↗
  5. ReportedA sixth line, Other activities and eliminations, added €671 million of revenue and lost €491 million; it holds smaller businesses and holding-company costs, and is explained here rather than given a page.
    LVMH 2025 annual results release - revenue by business group with organic change, profit from recurring operations by business group, and business-group commentary, 2024 and 2025 — FY2024-FY2025 · publ. January 2026 · source ↗
  6. ReportedFashion & Leather Goods earned €13,209 million of the group's €17,755 million of profit from recurring operations, about 74.4%, on about 46.7% of the revenue.
    LVMH 2025 annual results release - revenue by business group with organic change, profit from recurring operations by business group, and business-group commentary, 2024 and 2025 — FY2024-FY2025 · publ. January 2026 · source ↗
  7. Moat Explorer calcFashion & Leather Goods earned €13,209 million of the group's €17,755 million of profit from recurring operations, about 74.4%, on about 46.7% of the revenue.
    Moat Explorer calculation from LVMH's annual results releases 2017-2025, the 2023 and 2024 URDs and the H1 2026 release: operating margins, shares of group profit and revenue, compound growth rates — FY2016 to H1 2026 · publ. 2026-09-23 · source ↗
  8. ReportedIts margin was 35.0%; the next best was Wines & Spirits at 19.0%, and the lowest was Perfumes & Cosmetics at 8.9%.
    LVMH 2025 annual results release - revenue by business group with organic change, profit from recurring operations by business group, and business-group commentary, 2024 and 2025 — FY2024-FY2025 · publ. January 2026 · source ↗
  9. Moat Explorer calcIts margin was 35.0%; the next best was Wines & Spirits at 19.0%, and the lowest was Perfumes & Cosmetics at 8.9%.
    Moat Explorer calculation from LVMH's annual results releases 2017-2025, the 2023 and 2024 URDs and the H1 2026 release: operating margins, shares of group profit and revenue, compound growth rates — FY2016 to H1 2026 · publ. 2026-09-23 · source ↗
  10. ReportedFashion & Leather Goods profit fell 7% while Wines & Spirits rose 11% and Watches & Jewelry 9%, and group organic growth accelerated to 3% in the second quarter.
    LVMH first-half 2026 results release - revenue by business group with organic change for the half and the second quarter, profit from recurring operations by business group, and business-group commentary — H1 2026 · publ. 27 July 2026 · source ↗
  11. ReportedThe number that ties them together is Fashion & Leather Goods' share of group profit, about 74.4% in 2025 and 71.3% in the first half of 2026.
    LVMH first-half 2026 results release - revenue by business group with organic change for the half and the second quarter, profit from recurring operations by business group, and business-group commentary — H1 2026 · publ. 27 July 2026 · source ↗
  12. Moat Explorer calcThe number that ties them together is Fashion & Leather Goods' share of group profit, about 74.4% in 2025 and 71.3% in the first half of 2026.
    Moat Explorer calculation from LVMH's annual results releases 2017-2025, the 2023 and 2024 URDs and the H1 2026 release: operating margins, shares of group profit and revenue, compound growth rates — FY2016 to H1 2026 · publ. 2026-09-23 · source ↗
Sources
Generated September 23, 2026