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Business News: Richemont Sales Halve in First Quarter of 2020 SJX Watches
Panerai suffered from widespread store Jul 16, 2020

Business News: Richemont Sales Halve in First Quarter of 2020

Just days after the Swatch Group posted dismal half-year results, Richemont reported predictably poor sales for its first quarter, with revenue falling 47% to €1.99 billion compared to a year earlier. Like its rival the Swatch Group, Richemont was hit hard by the COVID-19 pandemic. The owner of almost two dozen watch and jewellery brands, including Cartier, IWC and Panerai, suffered from widespread store and distribution centre closures, a worldwide halt in tourism, and dampened consumer interest in many of markets, although China was a bright spot. Degrees of resilience The group’s business across the world was affected to varying degrees from region to region, depending on a combination of factors, namely the duration of closures, tourist spending, and spending of the domestic buyers. Although Richemont reported double-digit sales declines across all regions, distribution channels and business areas, the decreases were less pronounced in the Middle East, Africa, and Asia Pacific – the latter benefitted from a 47% year-on-year growth in sales in China, which exited its lockdown earlier than the rest of the world. China’s performance helped keep sales in the Asia Pacific resilient, to a degree. Sales in the region decreased by 29% at actual exchange rates to €277m, declining in all Asian markets, except China. Amongst the hardest hit were Japan and the Americas, where sales dropped 62% and 60% respectively due to widespread closure. The 2020 Cartier Privé Tank...

Hands On: Breguet Classique Répétition Minutes 7365 Blue Enamel SJX Watches
Breguet Classique Répétition Minutes 7365 Feb 20, 2026

Hands On: Breguet Classique Répétition Minutes 7365 Blue Enamel

One of the most complicated offerings rolled out during Breguet’s landmark 250th anniversary collection from last year, the Classique Répétition Minutes 7365 is a new take on a complication (and movement) that’s been in the brand’s catalogue for decades. The 7365 repackages a historical, but reworked, calibre inside the new style case also used for the Classique Souscription, matched with a striking blue enamel dial that nonetheless retains the classic Breguet hands and numerals. The result is bolder and brighter than the average Breguet, but still recognisable. Initial thoughts More than any other anniversary model, the minute repeater 7365 demonstrates the rejuvenation of Breguet led by chief executive Gregory Kissling and his team. Even though the foundations of the watch go back decades, the 7365 looks fresh. It still looks and feels like a Breguet, but it doesn’t feel derivative. The case is similar to that found on other anniversary models, and a good diversification away from the old-school Breguet wristwatch case with straight lugs. Importantly, the case is quite a bit smaller than that of the 7365’s predecessor, which gives this a much more elegant profile. The dial is beautifully furnished with solid gold numerals and hands, but the bleu de France dial is too bleu for my tastes. It’s a few shades too bright for something this classical. That said, I can see the appeal of the colour, especially for someone who feels the average Breguet is too conser...

L’Epée 1839’s Surprising Imperial Hot Air Balloon Desk Clock SJX Watches
Louis Vuitton tapped L’Epée 1839 May 19, 2025

L’Epée 1839’s Surprising Imperial Hot Air Balloon Desk Clock

Swiss clock maker L’Epée 1839’s latest desk-bound timekeeper is the Imperial Hot Air Balloon, a unique piece that is uncharacteristically classical compared to the brand’s recent launches that have tended towards modernity. It’s essentially a highly decorated, elaborately styled variant of the no-frills Hot Air Balloon clock of 2018. L’Epée 1839 was absorbed into LVMH last year, and this shift towards more traditional clocks chimes with the luxury group’s focus on higher-end and artisanal watchmaking. Notably, Louis Vuitton tapped L’Epée 1839 for its own hot air ballon-shaped desk clock. Initial thoughts While most of L’Epée’s creations are undoubtedly interesting, blending sculptural mechanics with proprietary clock movements, the clockmaker was historically a maker of classically traditional mantlepiece clocks. Most of its creations from earlier decades were styled after carriage clock. While entirely sculptural in form, the Hot Air Balloon manages to look as it belongs to a bygone era of watchmaking. A métiers d’art creation, the unique piece is restrained and ornate, while being modern only in the way it displays the time. Otherwise, the miniature flying object would sit comfortably in a historical residence. Not to say that other L’Epée are not well executed, but their modern and structural constructions don’t usually allow for classic artisanal crafts to be put to good use. The Hot Air Ballon’s centrepiece is the blue enamelled surface...

Business News: Richemont First Quarter Results, Jewellery Faring Better Than Watches SJX Watches
Vacheron Constantin were singled out Jul 16, 2024

Business News: Richemont First Quarter Results, Jewellery Faring Better Than Watches

The first quarter results of Richemont, the Swiss luxury group that just announced a new chief executive, illustrate a well-established trend in the luxury goods industry, with the group’s jewellery brands outperforming its watchmakers in the three months to end June 2024. Dominated by Cartier and Van Cleef & Arpels, the Swiss group’s jewellery division eked out a 4% increase in sales, reflecting the strength of the group’s twin jewellery giants. Notably, the revenue growth was “supported by both jewellery and watches”, reflecting the brand equity of each jeweller has carried over into their respective watch offerings. The three jewellery brands – the smallest is Buccellati – accounted for 70% of Richemont’s turnover. Although profit was not announced, the jewellers are also responsible for an even greater share of the group’s profits. Watch weakness In contrast, the watch division saw revenue fall 13%. Amongst the division’s brands are IWC, Panerai, Piaget, and Jaeger-LeCoultre. Interestingly, A. Lange & Söhne and Vacheron Constantin were singled out for their “resilience”. Unsurprisingly, both are haute horlogerie brands that derive the highest proportion of revenue from in-house boutiques, as opposed to third-party retailers. Whether this resilience is durable is an open question, although odds are not in the brands’ favour given their respective product mix, sales strategies, and consumer sentiment. Only available at boutiques At a group leve...

Business News: Richemont Sales Recover in Third Quarter SJX Watches
Panerai Jan 20, 2021

Business News: Richemont Sales Recover in Third Quarter

In the third quarter of its financial year – the three months to end-December 2020 – Richemont reported a modest recovery, with sales rising 5% over the same period a year before at constant exchange rates. This modest recovery was enough to moderate its results for the nine months to date, with revenue for the period down 14%, as compared to the drastic 38% plunge in sales for the first half of the year. Owners of over two dozen watch and jewellery brands including Cartier, IWC, and Panerai, the Swiss luxury conglomerate was buoyed by robust demand in Asia, its biggest regional market, as well as the Middle East and Africa. Combined, the two regions make up approximately half of Richemont’s global sales. The Asia Pacific enjoyed a 25% rise in sales, driven largely by exceptional demand in mainland China, where revenue rose an impressive 80% for the period, with sales in Taiwan also seeing a marked 29% increase – both consequence of a return to regular economic activity as the pandemic was brought under control, and the inability to travel and shop overseas. Paradoxically, the results in the Middle East were driven by a revival of tourist spending in Dubai as flights resumed, and domestic spending in Saudi Arabia where citizens cannot easily go abroad. This contributed towards a remarkable 27% increase in sales for the region. Elsewhere, sales too rose, albeit in smaller, single-digit increments. Bolstered by domestic demand, sales in the Americas rose by 3%. Jap...

Business News: Richemont Fortifies Balance Sheet with €2 Billion Bond Sale SJX Watches
Panerai which make up about May 19, 2020

Business News: Richemont Fortifies Balance Sheet with €2 Billion Bond Sale

Having just announced its full-year results while predicting a gloomy outlook for the business, Richemont has successful placed €2 billion of bonds, with coupon ranging from 0.75% for the 8-year note to 1.625% for the 20-year note. The bond placement boosts the Swiss luxury group’s robust balance sheet, which had a gross cash position of €6.34 billion and a net cash position of €2.40 billion at the end of March 31, 2020. The notes received an A+ rating from credit ratings agency S&P;, which also lowered its outlook for Richemont from stable to negative, “citing the possibility of a downgrade if the coronavirus pandemic causes the company’s credit metrics to worsen”. Widely regarded as a savvy investor who transformed his family’s tobaccco-and-banking empire into an even larger one focused the “hard” luxury of watches and jewellery, Mr Rupert’s belief in the severity of the pandemic-induced recession is obvious. That, in turn, does not bode well for the luxury watch business. Richemont’s biggest earner is Cartier – the jewellery division is half the group’s turnover – it also owns a host of luxury watch brands, including A. Lange & Söhne, IWC, and Panerai, which make up about 20% of its sales. During Richemont’s earning conference call on May 15, Mr Rupert explained the bond issue: “We have always believed in protecting our balance sheet… For years, a lot of investment banks questioned us about that it’s a lazy balance sheet. But h...

Business News: LVMH Buys Tiffany & Co. for US$16.2 Billion SJX Watches
Louis Vuitton Nov 25, 2019

Business News: LVMH Buys Tiffany & Co. for US$16.2 Billion

After several weeks of negotiations, LVMH has sealed the deal to buy Tiffany & Co. in a US$16.2 billion, all-cash deal. Despite several years of listless growth and a declining share price – though its current management was in a midst of engineering a turnaround – Tiffany & Co. is the biggest acquisition ever in the luxury goods industry. The French luxury conglomerate, which owns Louis Vuitton and Christian Dior, is paying US$135 a share, about 35% above the last traded price before news of the takeover broke. With the acquisition of the storied American jeweller, LVMH strengthens its presence in the “hard” luxury business of jewellery and watches, a segment traditionally dominated by its Swiss rival Richemont, the owner of Cartier, Van Cleef & Arpels, and most recently, Buccellati. The addition of Tiffany’s to its 75-strong stable of brands, which includes watchmakers like Hublot and TAG Heuer, will also help LVMH grow its presence in China and the United States, where the jeweller’s baubles are popular. And the deal also means Tiffany’s well regarded chief executive, Alessandro Bogliolo, returns to LVMH, where he was once the chief operating officer at Bulgari.