Bernard Arnault, the head of LVMH, has slipped to the 9th position in Bloomberg’s ranking of the world’s wealthiest individuals. Over the past year, he has lost $79 billion due to a decline in LVMH stock prices, economic slowdown in China, and political tensions in France and the United States.
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Bernard Arnault’s Dramatic Fall
Previously at the top in spring 2024, Bernard Arnault now barely holds a spot in the lower tier of the top 10 global fortunes. As of May 26, 2025, his net worth is estimated at $152 billion by Bloomberg. This marks a staggering $79 billion loss over the year, including $24 billion since January alone. A sharp downturn, primarily due to a 36% plunge in LVMH stock over twelve months. The luxury group he manages has now been overtaken by Hermès in terms of market capitalization.
LVMH Under Pressure: Poor Performance and a Stalled Chinese Market
LVMH’s financial results have been disappointing. The flagship “fashion and leather goods” division saw a 5% decline in the first quarter, despite the Chinese New Year. The Chinese market, which until recently accounted for up to 40% of luxury growth, is faltering. The local middle class, once avid consumers, is cutting back on spending. And on the American side, there’s no relief: Trump’s tariff threats on cognac and champagne contribute to a climate of uncertainty (although tariffs remain suspended until July 9).
Political Instability and Stock Market Drop: The French Context Worsens the Situation
The political scene in France has not helped matters. The unexpected dissolution of the National Assembly in June 2024 exacerbated the fall in LVMH stock. Within days, the stock dropped nearly 7%, shaving $9 billion off Arnault’s fortune. The CEO, who owns 48% of the group through Financière Agache, sees his wealth closely tied to stock market fluctuations. Despite his outward calm, the pressure is undoubtedly real. No wonder, losing $79 billion would make anyone tense.
End of an Era or Just a Temporary Setback for the Luxury Leader?
Arnault’s decline in this ranking comes amid a broader context: a downturn in the luxury sector. LVMH is now considering job cuts at Moët Hennessy (1,000 to 1,200 jobs at risk). The fortunes of other luxury magnates, like François Pinault, are also declining. But with $152 billion, Arnault remains a heavyweight, even as he moves away from the top positions held by Musk, Bezos, and Zuckerberg. Is this the end of his reign or just a cyclical pause? The near future will tell.