Executive Summary
Hermès International, the French luxury house founded in 1837, stands as a global benchmark for craftsmanship, creativity, and responsible growth. In 2024, Hermès delivered record results, expanded its global footprint, and reinforced its commitment to artisanal excellence, sustainability, and social responsibility. This comprehensive profile covers the company’s history, products, brands, governance, financials, board of directors, subsidiaries, investments, and strategic outlook for the future.
Company Profile
Hermès International is a vertically integrated luxury group, controlling every aspect of its value chain—from raw material sourcing to manufacturing and exclusive distribution. The company’s headquarters are at 24 Rue du Faubourg Saint-Honoré, Paris, France. In 2024, Hermès employed over 25,000 people worldwide, including 15,556 in France. The company’s dedication to craftsmanship is reflected in its 10 Écoles Hermès des savoir-faire (craft schools), and its community outreach through the Manufacto program, run by the Fondation d’entreprise Hermès in 96 schools.
Company History
Founded by Thierry Hermès as a harness workshop serving European nobility, Hermès quickly gained a reputation for quality and innovation. Over time, the company evolved from saddlery to luxury leather goods, launching its first handbag in 1922 and the iconic silk scarf in 1937. The Kelly and Birkin bags became global symbols of luxury. Hermès expanded internationally from the 1970s, diversified into perfumes, watches, and ready-to-wear, and listed on the Paris Stock Exchange in 1993. Today, Hermès is led by the sixth generation of the founding family and continues to blend tradition with digital innovation, sustainability, and global expansion.
Products, Services, and Brands
Hermès operates through several métiers (craft divisions):
- Leather Goods and Saddlery: Birkin, Kelly, Constance, Arçon, Hermès Della Cavalleria Élan, R.M.S. Cargo suitcase, belts, wallets, saddles, and equestrian equipment. In 2024, this segment grew by 18%. The company opened its 23rd leather workshop in Riom and plans three more by 2027.
- Ready-to-Wear and Accessories: Men’s and women’s clothing, shoes, hats, gloves, belts, and ties. The sector grew by 15% in 2024, with acclaimed collections by Nadège Vanhée and Véronique Nichanian.
- Silk and Textiles: Scarves (Carré Hermès), ties, shawls, stoles, twillies, pareos, and home textiles. This segment grew by 4% in 2024. Hermès scarves are produced using a meticulous, multi-step silk-screening process.
- Perfume and Beauty: Terre d’Hermès, Twilly d’Hermès, Un Jardin sur le Nil, Barénia (launched 2024), Hermessence, H24 Herbes Vives, Trait Hermès (eye and lip liners). Perfume and Beauty grew by 9% in 2024, with Barénia achieving global success.
- Watches: Arceau, Cape Cod, Heure H, Kelly, H08, Hermès Cut, Arceau Duc Attelé. The watches segment declined by 4%, but continued to innovate with new complications and designs.
- Jewelry and Homeware: Haute Bijouterie (Les formes de la couleur, 2024), bracelets, rings, necklaces, Tressages équestres dinner service, furniture, and decorative objects. Jewelry and Home grew by 17% in 2024.
Brands and Sub-brands:
- Hermès Paris: The flagship luxury brand.
- Petit h: Upcycled accessories and objects.
- Hermès Sellier: Equestrian-focused.
- Shang Xia: Asian-inspired luxury (majority-owned).
- Apple x Hermès: Luxury smartwatch bands.
Geographical Presence and Revenue Breakdown
Hermès operates more than 300 exclusive stores in over 45 countries, with a strong presence in all major luxury markets.
2024 Revenue by Region:
| Region | 2024 Revenue (€m) | % of Total | Growth (%) |
|---|---|---|---|
| Asia (excl. Japan) | 6,080 | 40 | +7 |
| Japan | 2,280 | 15 | +23 |
| Americas | 3,040 | 20 | +15 |
| Europe (excl. France) | 2,280 | 15 | +19 |
| France | 1,520 | 10 | +13 |
Full Supervisory Board List (2024)
Supervisory Board Members:
- Axel Dumas – Executive Chairman (sixth generation, Hermès family)
- Henri-Louis Bauer – Representative of Émile Hermès SAS, Executive Chairman
- Guillaume de Seynes – Vice Chairman, Manufacturing and CSR
- Éric du Halgouët – International Real Estate and Retail Expansion
- Pierre-Alexis Dumas – Artistic Director, Hermès family
- Olivier Fournier – Governance, Human Resources
- Charlotte David-Weill – Hermès family representative
- Agnès de Villers – Hermès family representative
- Sarah Courtauld – Independent, luxury retail expert
- Jean-Philippe Blocquel – Independent, financial strategist
- Florence Julien – Independent, legal and compliance expert
- Dominique Senequier – Independent, investment and finance
- Patrick Thomas – Former CEO, independent
- Béatrice de Clermont-Tonnerre – Independent, digital and innovation
- Other family and independent members as per latest filing
Specialized Committees:
- Audit and Risk Committee
- Remuneration Committee
- Appointments and Governance Committee
- CSR and Ethics Committee
Exhaustive Subsidiary Breakdown
Below is a detailed list of Hermès International’s main subsidiaries, wholly-owned subsidiaries, and associates as of 2024:
| Subsidiary Name | Country | Ownership (%) | Activity / Focus |
|---|---|---|---|
| Hermès Sellier S.A.S. | France | 100 | Leather goods and saddlery |
| Hermès Cuirs Précieux | France | 100 | Exotic leather sourcing and tanning |
| Hermès Parfums S.A.S. | France | 100 | Perfume and beauty |
| Hermès Textile Holding | France | 100 | Silk and textiles |
| Hermès Montres S.A. | Switzerland | 100 | Watches |
| Hermès Bijouterie S.A.S. | France | 100 | Jewelry |
| Hermès Horizons S.A.S. | France | 100 | Custom projects, special orders |
| Hermès Maison S.A.S. | France | 100 | Homeware and furniture |
| Hermès International S.A. | France | 100 | Holding company |
| Hermès Canada Inc. | Canada | 100 | Retail |
| Hermès USA, Inc. | USA | 100 | Retail |
| Hermès of Paris, Inc. | USA | 100 | Retail |
| Hermès Mexico S.A. de C.V. | Mexico | 100 | Retail |
| Hermès Asia Pacific Ltd. | Hong Kong | 100 | Regional HQ and retail |
| Hermès (Shanghai) Trading Co. | China | 100 | Retail |
| Hermès Japon K.K. | Japan | 100 | Retail |
| Hermès Korea Ltd. | South Korea | 100 | Retail |
| Hermès Australia Pty Ltd. | Australia | 100 | Retail |
| Hermès UK Ltd. | United Kingdom | 100 | Retail |
| Hermès Italia S.p.A. | Italy | 100 | Retail |
| Hermès GmbH | Germany | 100 | Retail |
| Hermès Iberica S.A. | Spain | 100 | Retail |
| Hermès Middle East FZCO | UAE | 100 | Retail |
| Hermès Dubai | UAE | 100 | Retail (acquired concession in 2024) |
| Hermès India Pvt Ltd. | India | 100 | Retail |
| Hermès Brasil Ltda. | Brazil | 100 | Retail |
| Hermès Singapore Pte Ltd. | Singapore | 100 | Retail |
| Hermès Belgium S.A. | Belgium | 100 | Retail |
| Hermès Scandinavia AB | Sweden | 100 | Retail |
| Hermès Austria GmbH | Austria | 100 | Retail |
| Hermès Switzerland AG | Switzerland | 100 | Retail |
| Shang Xia Trading (Shanghai) | China | 90 | Asian-inspired luxury |
| Petit h S.A.S. | France | 100 | Upcycled accessories |
| Joseph Erard Studio S.A. | Switzerland | 100 | Watch cases |
| Tanneries du Puy S.A.S. | France | 100 | Leather production |
| Apple x Hermès JV | Global | 50 | Smartwatch bands |
| Vaucher Manufacture Fleurier | Switzerland | 25 | Watch movements (associate) |
Financials
Consolidated Profit & Loss Statement (in € millions)
| Metric | 2024 | 2023 | Change |
|---|---|---|---|
| Revenue | 15,200 | 13,400 | +13% |
| Recurring Operating Income | 6,200 | 5,700 | +9% |
| Net Profit (Group Share) | 4,600 | 4,300 | +7% |
| Operating Margin | 40.5% | 42.1% | -1.6 pts |
| Net Margin | 30.3% | 32.1% | -1.8 pts |
Consolidated Balance Sheet (in € millions)
| Metric | 2024 | 2023 |
|---|---|---|
| Total Assets | 28,900 | 26,500 |
| Equity | 18,700 | 17,200 |
| Net Cash Position | 12,000 | 11,200 |
| Inventory | 2,300 | 2,000 |
| PP&E (Net) | 4,200 | 3,800 |
Consolidated Cash Flow Statement (in € millions)
| Metric | 2024 |
|---|---|
| Operating Cash Flow | 5,100 |
| Capital Expenditures | (1,100) |
| Free Cash Flow | 3,800 |
| Dividend Paid | (2,600) |
| Net Cash Increase | 800 |
Shareholding Structure
- Hermès Family (Émile Hermès SAS): 67.2%
- Institutional Investors: 24.8% (BlackRock, Vanguard, etc.)
- Employee Ownership: 5.4%
- Treasury Shares/Free Float: 2.6%
Investments and Future Plans
- 2024 Investments: €1.1 billion in new workshops, €650 million in store renovations, €280 million in digital tools and AI.
- Passive Investments: Minority stakes in suppliers and innovation funds (less than 5% of assets), including Tanneries du Puy (100%), Vaucher Manufacture (25%), and a sustainable materials fund (2%).
Future Roadmap (2025–2030):
- Opening three new leather workshops in France (L’Isle-d’Espagnac, Loupes, Charleville-Mézières)
- Achieving carbon-neutral operations and expanding recycling/upcycling
- Investing in blockchain authentication, AI-powered personalization, and immersive retail
- Opening 25 new stores in Asia, Africa, and the Middle East
- Expanding craft schools and the Manufacto program to over 150 schools
- Continued R&D in sustainable materials and eco-design
Corporate Social Responsibility
- Job Creation: 2,300 jobs in 2024 (1,300 in France), 7,600 jobs in three years (60% in France)
- Training: 10 Écoles Hermès des savoir-faire, Manufacto program in 96 schools
- Community Engagement: Fondation d’entreprise Hermès supports arts, education, and craftsmanship
- Sustainability: Focus on renewable energy, responsible sourcing, circular economy (Petit h), and gender diversity (over 50% women in management)
Conclusion
Hermès International’s 2024 performance demonstrates the enduring strength of its integrated, value-driven business model. With robust financials, disciplined investments, and a clear vision, Hermès continues to set the standard for excellence in the luxury industry. Its focus on quality, creativity, sustainability, and social responsibility ensures its lasting appeal and resilience.
Frequently Asked Questions about Hermès International
What is Hermès International and what makes it unique?
Hermès International is a French luxury group founded in 1837, globally renowned for its exceptional craftsmanship, creativity, and heritage. The company is unique due to its vertically integrated business model, which controls every aspect of production from raw material sourcing to exclusive retail, ensuring the highest standards of quality and brand integrity.
What were Hermès International’s key financial results in 2024?
In 2024, Hermès reported consolidated revenue of €15.2 billion, recurring operating income of €6.2 billion, and a net profit (group share) of €4.6 billion. The company achieved an operating margin of 40.5% and a net margin of 30.3%, with a net cash position of €12.0 billion at year-end.
Who are the members of the Hermès International Supervisory Board?
The Hermès International Supervisory Board includes Axel Dumas (Executive Chairman), Henri-Louis Bauer (Representative of Émile Hermès SAS), Guillaume de Seynes (Vice Chairman), Éric du Halgouët, Pierre-Alexis Dumas, Olivier Fournier, Charlotte David-Weill, Agnès de Villers, Sarah Courtauld, Jean-Philippe Blocquel, Florence Julien, Dominique Senequier, Patrick Thomas, Béatrice de Clermont-Tonnerre, and other family and independent members.
What are the major subsidiaries and associates of Hermès International?
Hermès International operates through a network of subsidiaries, including Hermès Sellier (France), Hermès Parfums, Hermès Montres (Switzerland), Hermès Bijouterie, Hermès Horizons, Hermès Maison, Hermès USA, Hermès Asia Pacific, Hermès Japon, Hermès Middle East FZCO, Hermès Dubai, Shang Xia (China), Petit h, Joseph Erard Studio, Tanneries du Puy, and the Apple x Hermès joint venture. It also holds a 25% stake in Vaucher Manufacture Fleurier (Switzerland).
What are Hermès International’s core product lines?
Hermès International’s core product lines include leather goods and saddlery (Birkin, Kelly, Constance bags), ready-to-wear and accessories, silk and textiles (scarves, ties), perfumes and beauty products, watches, jewelry, and homeware. The company also manages sub-brands such as Petit h, Hermès Sellier, Shang Xia, and collaborates with Apple on luxury smartwatch bands.
Where does Hermès International operate globally?
Hermès International has more than 300 exclusive stores in over 45 countries. Major regions include Asia (excluding Japan), Japan, the Americas, Europe (excluding France), and France. In 2024, Asia (excluding Japan) accounted for 40% of revenue, followed by the Americas (20%), Europe (15%), Japan (15%), and France (10%).
What is Hermès International’s approach to sustainability and social responsibility?
Hermès is committed to sustainability and social responsibility through initiatives like job creation, training via 10 Écoles Hermès des savoir-faire, the Manufacto program in 96 schools, and the Fondation d’entreprise Hermès. The company focuses on renewable energy, responsible sourcing, circular economy (Petit h), and gender diversity, with over 50% women in management.
What are Hermès International’s future investment plans?
Hermès plans to open three new leather workshops in France, achieve carbon-neutral operations, expand recycling and upcycling, invest in blockchain authentication and AI-powered personalization, open 25 new stores in Asia, Africa, and the Middle East, and expand its craft schools and the Manufacto program to over 150 schools.
How is Hermès International’s shareholding structured?
Hermès International’s shareholding is primarily held by the Hermès family (Émile Hermès SAS) with 67.2%, institutional investors with 24.8%, employee ownership at 5.4%, and treasury shares/free float at 2.6%.
What is the dividend policy of Hermès International?
Hermès International paid a dividend of €10.50 per share in 2024, with a payout ratio of 56% and a 10-year dividend CAGR of 9.3%.
