LVMH’s wines and spirits division returned to growth in the first half of 2026, with Champagne and Cognac showing signs of recovery after two difficult years and helping to drive an improved performance across the luxury group.
LVMH’s Wines & Spirits division delivered one of the strongest performances across the luxury conglomerate during the first half of 2026, as Champagne and Cognac rebounded despite continued geopolitical and economic uncertainty.
Organic revenue in the division rose 5% during the first six months of the year, with profit from recurring operations climbing 11% to €582 million.
The improvement came as the wider LVMH group reported revenue of €38.6 billion, down 3% on a reported basis but up 2% organically, with second-quarter growth accelerating to 3%. Group operating profit slipped 4% to €8.7 billion, although net profit remained broadly unchanged at €5.7 billion.
Recovery for Champagne and Cognac
LVMH said its Champagne business showed “encouraging signs”, particularly for prestige cuvées, after two years in which the category has faced softer global demand.
Moët & Chandon also completed its second season as the Official Champagne of Formula 1, continuing the brand’s renewed marketing push.
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Cognac also showed signs of improvement. The group said Hennessy maintained the positive momentum seen during Chinese New Year, helping offset continued uncertainty in other markets. LVMH also expanded the Hennessy brand in the United States with the launch of its V.S. ready-to-serve cocktail range.
Elsewhere within the portfolio, Provence rosé wines continued to post growth, with LVMH saying brand desirability, innovation and disciplined cost control remained priorities for the division.
Confidence returns
Commenting on the results, chairman and CEO Bernard Arnault said: “LVMH demonstrated its solidity and effective strategy. Our Maisons, which remained focused on ensuring the utmost quality in our products, and several of which are pursuing their creative renewal, continued to inspire dreams and enhance their desirability.”
Arnault added that “the recovery in champagne and cognac” had contributed to stronger second-quarter momentum and said the group was entering the second half of the year with “renewed confidence”.
Long-awaited turnaround
The improved performance marks a notable change for Moët Hennessy after a prolonged slowdown that has fuelled questions over the future of the division.
As previously reported by the drinks business, speculation earlier this year suggested Diageo could sell its 34% stake in Moët Hennessy as part of a wider portfolio reshuffle. The FTSE 100 drinks group swiftly dismissed the reports, insisting it had “no intention” of selling either Guinness or its minority holding in the LVMH-owned wines and spirits business.
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