Sales rise at luxury group Hermes

Hermes plans to expand its chain of stores

French luxury goods firm Hermes has shrugged off worries about an economic slowdown by reporting a 12.8% rise in first-half sales.

The company was boosted by strong demand for its products in Asia, Europe and the US.

Hermes, famous for its handbags and silk ties, generated revenues of 813.2m euros ($1.29bn; £645m) in the half year to July, from 721.1m euros last year.

The company also said it planned to expand and renovate or open 15 outlets.

Hermes also owns the English shoe maker John Lobb and 35% of the French fashion design house of Jean-Paul Gaultier.

Sales in France were up 11%, and were 13% higher in other European countries.

In the US sales rose 24% while revenue in the Asia Pacific region, excluding Japan, was up 22.3%.

However, trading in Japan "was less buoyant" and sales increased by only 2%.

"With this publication, Hermes confirms its capacity to resist in a less favourable environment," said French broker CM-CIC Securities.