Cognac slowdown hits LVMH spirits sales
Hennessy owner LVMH reported a 12% decline in spirits sales for the first nine months of 2025 due to the ‘slower trend’ for Cognac in its two biggest markets.
The wine and spirits arm of French conglomerate LVMH, Moët Hennessy, declined by 4% in organic sales to €3.91 billion (US$3.4bn) for the first nine months of 2025.
Wine and spirits revenue for the third quarter was up by 1%. It followed a decrease of 7% for Moët Hennessy in the first half of 2025, with spirits plunging by 15%.
Spirits sales for the first nine months of the year dropped by 12% to €1.75bn (US$2bn), with the third quarter delivering €568m (US$660.2m) in revenue – an 11% decrease year on year.
Wine, on the other hand, posted a 3% rise over the nine months to €2.15bn (US$2.5bn).
LVMH noted that the trends seen in Cognac since of the beginning of this year were similar to 2024, which it attributed to the ‘impact of trade tensions weighing on demand’ in the US and China.
LVMH’s total group revenue fell by 2% to €58bn (US$67.4bn) for the first nine months of 2025, with its fashion and leather goods division experiencing the biggest drop (down by 6%).
The group’s third-quarter revenue rose by 1% to €18.3bn (US$21.2bn).
Throughout 2025, LVMH has released new products for Belvedere vodka and Eminente rum, and opened a boutique hotel on Islay for its Ardbeg whisky brand.
LVMH’s Glenmorangie and Volcan de mi Tierra also became official partners of Formula One.
In July, China ended its anti-dumping investigation into EU brandy imports, providing large Cognac makers, such as Hennessy, with partial relief.
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