Bernard Arnault, 77, joined X to deny rumors of rivalry among his five children over his succession at LVMH’s helm, posting an open letter that garnered 4.5 million views in 24 hours. Yet LVMH’s financial results tell a different story: the Watches & Jewelry segment, run by executive Jean-Christophe Babin rather than an Arnault child, is the best performer with 9% organic revenue growth and 9% profit growth, driven by Tiffany and Bvlgari. In contrast, the Fashion & Leather Goods segment, which includes Christian Dior Couture run by Delphine and Loro Piana run by Frédéric, posted a 1% decline in organic revenue and 7% decline in profit, to 6.2 billion euros. Wines & Spirits, run by Alexandre, grew 5% organically. The Arnault family holds 50.2% of LVMH shares and 66.4% of voting rights, with a holding structure allocating equal 20% stakes to each child locked in for 30 years. The succession question occupies investors’ minds but does not constitute an immediate threat, according to analysts who note LVMH could follow Kering or Prada’s example by appointing a professional non-family CEO.
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