Hermès's Japan sales outgrew every other region in the third quarter, but the yen hid it in euros

Hermès International's revenue grew 5.5% at constant exchange rates over the first nine months of 2026, the French luxury house said on 22 October —and in the third quarter alone, Japan outgrew every other region it reports, only for a weaker yen to erase most of that gain once it reached Hermès's euro-denominated books.

Group revenue for the nine months to September reached €12.26bn, against €11.92bn a year earlier —a reported gain of just 2.9%, as currency swings alone cut roughly €310m off the total, Hermès said. Third-quarter revenue was €4.1bn, up 5.5% as reported and 4.3% at constant exchange rates.

Japan's constant-currency growth in the third quarter, at 9.6%, topped every region Hermès reports, narrowly ahead of Europe excluding France (9.5%) and the Americas (8.8%). Over the nine months to September, Japan revenue reached €1.2bn, up 10.5% at constant exchange rates —second only to the Americas (13.1%) among major regions —which Hermès attributed to "the loyalty of its local customer base."

In euros, though, the picture flips: Japan's reported nine-month revenue fell 0.3%, as the weaker yen converted that double-digit underlying growth into a net decline once translated into Hermès's reporting currency. The gap was narrower in the third quarter alone —a reported gain of 3.4% against the 9.6% constant-currency figure, roughly six points apart, versus almost eleven points over the nine months.

Hermès tied the Japan momentum to two concrete store moves: a renovated and expanded store at Hilton Plaza East in Osaka, reopened in May, and a new store in Nagoya that opened in June.

Hermès doesn't break Japan out by product line, but at group level its growth kept running on leather goods and saddlery —its largest and most capacity-constrained category, up 10.2% at constant exchange rates over the nine months even as ready-to-wear and accessories were nearly flat. For a house that rations supply of its best-known products, adding floor space —an Osaka renovation, a new Nagoya address —is the lever it pulls to grow, in Japan as everywhere else.

The currency math is the thing to watch from here. If the yen stays weaker against the euro than it was a year ago, Hermès's Japan network can keep expanding and outselling the rest of the group while its reported euro revenue understates it —a gap only visible to anyone reading past the headline number. Hermès's full-year 2026 results are due 12 February 2027.