Hermes Bounces Back: Inventory Levels Normalize Amid Expansion

Hermes plans to normalize its inventory levels following a Q4 sales surge, announcing intentions to expand its workforce by 1,000 to 1,500 employees in 2025. The low inventory issue primarily affected leather goods and is expected to resolve within weeks, according to executives Eric de Halgouet and Carole Dupont-Pietri.

Luxury fashion giant Hermes is poised to bring its inventory levels back to normal, following a significant drop due to high fourth-quarter sales. Executives Eric de Halgouet and Carole Dupont-Pietri have announced plans to restore stock levels within weeks, with leather goods being most affected.

In addition to tackling inventory challenges, Hermes has laid out a growth strategy aimed at adding between 1,000 to 1,500 new employees by 2025. This expansion reflects the company's ambition to strengthen its market position amidst fluctuating demand.

The company remains optimistic about its ability to stabilize inventory and meet consumer demand shortly. According to de Halgouet and Dupont-Pietri, this temporary setback is already being addressed, promising smoother operations moving forward.

(With inputs from agencies.)