Hermès International stock faces China drag as leather goods hold up

Published on 11/11/2026 at 18:22 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

Hermès International stock traded at 1,356.00 euros on Wednesday evening. Leather goods outpaced weaker categories as Chinese demand weighed on growth.

Hermès Growth Splits By Category

Third-quarter revenue rose 4.3 percent at constant exchange rates to 4.10 billion euros.
Leather goods and saddlery sales increased 10.8 percent, while ready-to-wear and accessories declined 2 percent.
Weak Chinese demand remains a key risk as management maintains its long-term investment plans.

Hermès International, FR0000052292, Illustration mit AI erstellt.

Hermès International's third-quarter performance exposed a sharper divide between its core leather business and adjacent luxury categories. In a report published Wednesday, November 11, ad-hoc-news.de, citing Reuters, said currency-adjusted third-quarter sales rose 4.3 percent year on year to 4.10 billion euros, below the 5.2 percent analyst expectation.

Leather Goods Remain The Anchor

Leather goods, including the Birkin and Kelly handbag franchises, delivered the strongest support. Sales in the division increased 10.8 percent from a year earlier, highlighting continued demand for Hermès products with tightly controlled supply and strong pricing power.

The wider portfolio was less resilient. Ready-to-wear and accessories sales fell 2 percent year on year, reversing several years of growth. Finance chief Eric du Halgouet attributed the contraction to weak Chinese demand, while the division continued to grow in other regions.

China Tests Portfolio Breadth

Management described the Chinese market as very difficult but maintained confidence in its long-term prospects and plans to keep investing there. The company also retained its plan to increase total production volumes by about 6 percent in the coming years.

For investors, the key question is whether leather goods can continue to offset weaker demand in watches, beauty and other categories. A prolonged slowdown in China would test the breadth of Hermès' growth even if its flagship handbag business remains strong.

Hermès International stock traded at 1,356.00 euros on Lang & Schwarz at 18:15 CET on Wednesday, November 11, 2026, 0.30 percent above the Xetra close of 1,352 euros on Wednesday, November 11. The quote was higher than the previous own-report reference, but the latest Xetra session provides the relevant daily comparison.