In 2025, Hermès’ performance in the Chinese market has attracted widespread attention. Renowned Chinese entrepreneur Lan Shili recently revealed in a program:
The news of Hermès’ 94 percent crash is shocking to many. Hermès has always been a powerhouse—loaded with cash, never short on sales, and raking in profits. But this year, everything changed. For the first time, the brand’s taken a brutal hit. The annual report from Hermès’ Chinese agent, Ai Peiqi, shows net profit plummeting from 367 million yuan to a mere 21 million yuan in 2024—a jaw-dropping 94.2 percent drop, nearly wiping it out. On top of that, the company slashed its workforce by 20 percent, cutting staff from 560 to 456. This is the first time Hermès has faced such a steep decline in China, a clear sign of the high-end consumer market’s slump. Plenty of people still dream of owning Hermès, but their wallets are empty.
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