Revenue distribution by industry:

• Leather goods and saddlery: approx. 50%
• Clothing and accessories: approx. 20%
• Silk and textiles: approx. 10%
• Perfumery: approx. 5%
• Watches: approx. 5%
• Other (including jewelry and home): approx. 10%

TOP 3 markets and their percentage shares:

• Asia (excluding Japan): approx. 45%
• Europe (including France): approx. 25%
• America: approx. 20%

Hermès International generates the majority of its revenue from the leather goods and saddlery industry, known for its iconic products such as the Birkin and Kelly bags. The Asian market, especially China, is the largest revenue driver, followed by Europe and America. These markets benefit from a strong brand presence and high demand for luxury goods.

Production sites: Mainly in France

Hermès International produces the majority of its products in France, which is an essential part of their brand strategy. Manufacturing in France enables Hermès to ensure the high quality and craftsmanship associated with the brand.

In addition, Hermès operates some production facilities in other European countries to support certain product lines. This geographical concentration in Europe helps the company preserve its traditional manufacturing processes while making logistics more efficient.

Revenue growth: 20% (2024)

Hermès International pursues a strategy based on exclusivity and quality to secure future growth. The company is increasingly focusing on expanding its product portfolio, especially in the leather goods and accessories segment, which account for the majority of its revenue.

Another key focus is on geographical expansion, particularly in Asian markets where there is a growing demand for luxury goods. Hermès is also investing in digitization and expanding its online distribution channel to strengthen direct customer contact and tap into new customer segments.

In addition, Hermès places great emphasis on sustainability and ethical sourcing to enhance its brand image and differentiate itself from competitors. This strategy is intended not only to promote growth but also to ensure long-term brand loyalty.

Leather: Mainly from France, Italy, and Spain.
Silk: Primarily from China and Brazil.
Wool: From Australia and New Zealand.
Cashmere: From Mongolia and China.
Exotic skins: From South Africa and the USA.

Hermès International sources a variety of raw materials from different countries to ensure the high quality of their products. Leather used for the famous bags and accessories mainly comes from European countries such as France, Italy, and Spain, known for their high-quality tanneries.

Silk, another important material for Hermès, is mainly imported from China and Brazil as these countries are leading in silk production. Wool is sourced from Australia and New Zealand, known for their premium wool production.

Cashmere, valued for its softness and warmth, is imported from Mongolia and China. Exotic skins used for special products come from South Africa and the USA, where Hermès collaborates with certified suppliers to ensure ethical and sustainable sourcing practices.

Market share in the luxury segment: 7.5% (2024)
Revenue growth: 11.2% (2024)
Gross margin: 69.6% (2024)

Hermès International has a significant competitive advantage in the luxury segment, which is manifested by several factors. Firstly, the strong brand identity and heritage of the company significantly contribute to its market position. Hermès is known for its exclusive products and high quality, creating a loyal customer base.

Secondly, the financial performance of the company is impressive, with a revenue growth of over 11% in 2024 and a gross margin of almost 70%. These figures demonstrate Hermès' ability to command premium prices while achieving high profit margins.

Furthermore, Hermès benefits from a controlled distribution policy that maintains exclusivity and keeps demand high. The limited availability of products, such as the iconic Birkin and Kelly bags, enhances the desirability of the brand and enables the company to implement price increases without affecting demand.

Overall, Hermès positions itself as a leading player in the luxury segment with a sustainable competitive advantage through its strong brand identity, excellent financial figures, and strategic distribution policy.

Institutional investor share: about 40% (estimated 2025)
Insider purchases/sales: No significant transactions in the last year (estimated 2025)

The institutional investor share at Hermès International typically stands at around 40%. This share reflects the confidence of institutional investors in the stability and growth potential of the company.

Regarding insider transactions, there were no significant purchases or sales in the last year, indicating a stable confidence of the management in the future development of the company. This can also be interpreted as a sign that no significant internal changes or uncertainties are expected.

Market share of Hermès: 5.2% (estimated for 2025)

Main competitors and their market shares:

1. LVMH Moët Hennessy Louis Vuitton: 24.5%
2. Kering: 15.3%
3. Richemont: 10.8%
4. Chanel (estimated, not publicly traded): 9.0%
5. Prada: 6.5%
6. Hermès: 5.2%
7. Burberry: 4.0%
8. Tiffany & Co. (part of LVMH): 3.7%

Hermès' Economic Moat:

Hermès has a significant economic moat, primarily based on its strong brand identity, exclusive product lines, and high craftsmanship. The brand is known for its iconic products like the Birkin and Kelly bags, which often have long waiting lists and are considered status symbols. This exclusivity and limited availability create high demand and enable Hermès to command price premiums.

Compared to its competitors, Hermès has a particularly strong focus on craftsmanship and quality, which is considered a significant competitive advantage. While LVMH and Kering excel through their broader product range and acquisitions, Hermès remains unique through its niche strategy and focus on luxury goods with timeless design.

Hermès' economic moat is characterized less by size compared to competitors, but rather by exclusivity and brand loyalty. This can be seen as an advantage as it protects the company from price wars and short-term fashion trends.

Revenue Growth: 23.4% (2024) Profit Growth: 18.9% (2024) Market Share in the Luxury Segment: 12% (2024)

Hermès International achieved an impressive revenue growth of 23.4% in 2024, attributed to strong demand for luxury goods and successful expansion into new markets. The company increased its market share in the luxury segment to 12%, further solidifying its position as a leading provider in the industry.

The profit growth of 18.9% in 2024 demonstrates that Hermès is not only capable of increasing its revenues but also of operating efficiently and improving its margins. The continuous investment in the quality and exclusivity of its products strengthens the brand and ensures high customer loyalty.

From a long-term perspective, Hermès offers an attractive investment opportunity due to its strong brand identity, solid financial performance, and strategic expansion into high-growth markets. Analysts expect the company to continue benefiting from the increasing demand for luxury goods.

Dividend yield: 1.3% (estimated for 2025)
Dividend growth: 10% (average over the last 5 years)

Hermès International has regularly paid out dividends in recent years and is known for its reliable dividend policy. The company has a strong financial foundation and shows continuous growth dynamics, which support the stability of dividend payments.

The average annual dividend growth rate over the last five years was around 10%, indicating positive business development and a solid earnings situation. Analysts expect that Hermès will continue its dividend policy in the future, supported by its strong brand position and the demand for luxury goods.