Hermès International: 2026 Half-year Results
Half-year information report as at the end of June 2026
Solid sales momentum and excellent results in the first half
Revenue amounted to €8.2 billion
(+6% in the first quarter and +7% in the second quarter, at constant exchange rates)
Recurring operating profitability reached 41.0% of sales
Adjusted free cash flow grew by 18%
Paris, 29 July 2026
The group’s consolidated revenue in the first half of 2026 amounted to €8.2 billion, up 6% at constant exchange rates and 2% at current exchange rates compared to the same period in 2025. All the regions recorded growth, with the exception of the Middle East, which showed good resilience in a challenging environment. The Americas, Japan and Europe excluding France recorded remarkable progression in both the first and second quarters. Recurring operating income amounted to €3.4 billion (41.0% of sales), slightly up.
In the second quarter, sales reached €4.1 billion, up 7% at constant exchange rates, marking a slight acceleration from the first quarter, notably in France, in Japan and in the Middle East.
Axel Dumas, Executive Chairman of Hermès, commented:
“In the first half of 2026, Hermès delivered a solid performance, which reflects the strong desirability of its 16 métiers and the trust of its clients. Convinced by the strength of our unique artisanal model and in control of our key balances, we look to the second semester with confidence.”
Sales by geographical area at the end of June
(at constant exchange rates unless otherwise indicated)
At the end of June 2026, all the geographical areas posted growth with the exception of the Middle East, slightly down.
Sales by sector at the end of June
(at constant exchange rates unless otherwise indicated)
At the end of June 2026, all the métiers, with the exception of Perfume and Beauty, delivered positive growth. The Leather Goods and Saddlery, Ready-to-wear and Accessories, Silk and Textiles as well as Watches métiers accelerated in the second quarter.
High profitability and strong cash flow growth
Recurring operating income amounted to €3.4 billion compared to €3.3 billion in the first half of 2025, slightly up. Despite the negative impact of currencies, recurring operating profitability reached 41.0%, compared to 41.4% at the end of June 2025.
Consolidated net profit (group share) remained stable at €2.2 billion. It includes, as in the first half of 2025, the exceptional contribution levied on the profits of large companies in France. Excluding this contribution, consolidated net profit (group share) amounted to €2.5 billion, representing 30.7% of sales.
Cash flow from operating activities grew strongly by 16% to €2.7 billion, driven by a stable change in working capital requirement, resulting notably from effective inventory management and exceptional
sell-through rates on the latest collections.
Adjusted free cash flow reached €2.2 billion, up by 18%, after accounting for operating investments
(€0.3 billion) and repayment of lease liabilities (€0.2 billion).
After distribution of dividends of €1.9 billion and share buybacks dedicated to employee share ownership plans for €0.2 billion, the restated net cash position amounted to €12.9 billion at the end of June 2026, compared to €12.8 billion at the end of December 2025.
A sustainable and responsible model
In line with its commitments as a responsible employer, Hermès continued to create employment, increasing its workforce by more than 600 people over the first six months of the year, including 300 in France. At the end of June 2026, the group employed 27,107 people, 16,656 of whom are based in France.
In February, the house distributed a bonus of €3,000 to all its employees worldwide for 2025, in order to share the fruits of growth with those who contribute to it daily.
In March 2026, Hermès conducted a new employee survey, entitled “Hermès Hears”, inviting all its employees worldwide to share their views on their workplace well-being and their level of engagement. This survey, which 90% of employees completed, highlighted their strong engagement as well as their pride in belonging to the house.
Hermès pursued its action in favour of nature, successfully completing the first two steps of the Science Based Targets for Nature (SBTN) initiative. The materiality assessment and the prioritisation of impacts provide a rigorous scientific basis for setting ambitious and measurable targets. This independent validation demonstrates the strength of Hermès’ approach and its commitment to placing biodiversity conservation at the heart of its strategy.
Furthermore, Hermès participated in the launch of the fourth Livelihoods Fund, of which it has been a partner since 2012. The fund combines action to fight climate change, support for the transition to regenerative agriculture, and improvement of local livelihoods.
Finally, Hermès has been recognized by the Transparency Awards “Vigilance Plan” award, which recognizes the clarity of its communication on its supply chain and the quality of its non-financial disclosures.
Other highlights
At the end of June 2026, currency fluctuations represented a significant negative impact of more than €360 million on revenue.
During the first six months of the year, Hermès International redeemed 94,846 shares for €160 million, excluding transactions completed within the framework of the liquidity contract.
Outlook
In the medium-term, despite the economic, geopolitical and monetary uncertainties around the world, the group confirms an ambitious goal for revenue growth at constant exchange rates.
The group continues its development with confidence, thanks to the highly integrated artisanal model, balanced distribution network, the creativity of collections and the loyalty of clients.
Thanks to its unique business model, Hermès is pursuing its long-term development strategy based on creativity, maintaining control over know-how and singular communication.
The theme for the year, Venture beyond, is an invitation to discover new horizons and renew our curiosity, constantly.
Limited review procedures have been carried out on the condensed interim consolidated financial statements by the Statutory Auditors in accordance with applicable regulations.
The half-year financial report, the press release and the presentation of the 2026 half-year results are available on the group's website: https://finance.hermes.com
Upcoming events:
FIRST HALF 2026 KEY FIGURES
(1) Growth at constant exchange rates is calculated by applying, for each currency, the average exchange rates of the previous period to the revenue for the period.
(2) Recurring operating income is one of the main performance indicators monitored by Group Management. It corresponds to operating income excluding non‑recurring items having a significant impact that may affect understanding of the group’s economic performance.
(3) Adjusted free cash flows are the sum of cash flows related to operating activities, less operating investments and the repayment of lease liabilities recognised in accordance with IFRS 16 (aggregates in the consolidated statement of cash flows).
(4) Net cash position includes cash and cash equivalents presented under balance sheet assets, less bank overdrafts which appear under short‑term borrowings and financial liabilities on the liabilities side. Net cash position does not include lease liabilities recognised in accordance with IFRS 16.
(5) The restated net cash position corresponds to net cash plus cash investments that do not meet the IFRS criteria for cash equivalents due in particular to their original maturity of more than three months, less borrowings and financial liabilities.
(6) Permanent + fixed-term employment contracts with no length of service condition.
* After restatement of the exceptional contribution on the profits of large companies in France, consolidated net profit (group share) represented 30.7% of revenue in the first half of 2026, compared to 31.2% in the first half of 2025 and 30.3% for full-year 2025.
REVENUE BY GEOGRAPHICAL AREA ( 1 )
(1) Sales by destination.
REVENUE BY SECTOR
(1) The “Leather Goods and Saddlery” business line includes women’s and men’s bags, travel items, small leather goods and accessories, saddles, bridles and all equestrian objects and clothing.
(2) The “Ready-to-wear and Accessories” business line includes Hermès Ready-to-wear for men and women, belts, costume jewellery, gloves, hats and shoes.
(3) The “Other Hermès sectors” include Jewellery and Hermès home products (Art of Living and Hermès Tableware).
(4) The “Other products” include the production activities carried out on behalf of non-group brands (textile printing, tanning…), as well as John Lobb, Saint-Louis and Puiforcat.
REMINDER – 1st QUARTER 2026
REVENUE BY GEOGRAPHICAL AREA ( 1 )
( 1 ) Sales by destination.
REVENUE BY SECTOR
(1) The “Leather Goods and Saddlery” business line includes women’s and men’s bags, travel items, small leather goods and accessories, saddles, bridles and all equestrian objects and clothing.
(2) The “Ready-to-wear and Accessories” business line includes Hermès Ready-to-wear for men and women, belts, costume jewellery, gloves, hats and shoes.
(3) The “Other Hermès sectors” include Jewellery and Hermès home products (Art of Living and Hermès Tableware).
(4) The “Other products” include the production activities carried out on behalf of non-group brands (textile printing, tanning…), as well as John Lobb, Saint-Louis and Puiforcat.
APPENDIX – EXTRACT FROM FIRST HALF CONSOLIDATED ACCOUNTS
CONSOLIDATED INCOME STATEMENT
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
CONSOLIDATED BALANCE SHEET
ASSETS
LIABILITIES
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
CONSOLIDATED STATEMENT OF CASH FLOWS
Attachment