Moet Hennessy woes seen as test of Arnault son's credentials

Bernard Arnault’s son Alexandre has been handed a daunting task: reviving LVMH's worst-performing unit, the famed Moet Hennessy drinks business, in the midst of a tariff war.

- MIMOSA SPENCER TASSILO HUMMEL

If successful, the 33-year old could gain a leg up in the closely watched succession contest among five siblings to lead the $280 billion luxury conglomerate headed by his father.

Last Tuesday, Alexandre accompanied his father to Washington, where they attended the swearing-in of Middle East envoy Steve Witkoff.

US President Donald Trump, who greeted the pair among others at the White House, was heard in the broadcast referring to the younger Arnault as “the future” and later held a meeting with them. LVMH declined to comment on the meeting.

All five Arnault children hold management roles in the luxury empire that spans over 70 brands, including fashion label Dior and jeweller Tiffany, though their 76-year-old father remains hands-on and has shown no sign of stepping down.

Delphine, 50, is CEO of Dior, while Antoine, 47, is head of group communications. Frederic, 30, recently took up the role of CEO of Loro Piana, and Jeanne, 26, heads marketing for Louis Vuitton’s watches business.

Alexandre, the third sibling, previously held a senior role at US jeweller Tiffany, joining Moet Hennessy in February as deputy to new CEO Jean-Jacques Guiony, a trusted adviser to Bernard who was LVMH's finance chief for two decades.

The asset-light division, which sells drinks through third-party distributors and whose initials make up half the LVMH name, has traditionally served as a cash generator for the group, generating nearly $6 billion in turnover in 2024.

But last year, as demand in both the US and China sagged, sales fell for the second consecutive year, while operating profit shrank by one-third.