DALLAS, Apr 20, 2005/ FW/ --- Consumer confidence might be down in the U.S., but it is definitely up at LVMH, as the French luxury conglomerate posted an 11% increase in organic sales growth for the first quarter of 2005.

With ‘organic sales growth’ defined as “with a comparable structure and constant rates,” the company reported consolidated sales of 3,082 million euros, compared to 2,808 million euros during the same period last year.

Star performer is the Watches & Jewelry division that accounted for 122 million euros in sales, a 21% organic sales growth from last year, doing particularly well in the U.S. and Asia.

The company unveiled new collections for TAG Heuer, Zenith, Chaumet and Dior Watches at the Basel Watch Fair earlier this year.

Together with a strong advertising campaign for TAG Heuer headlined by film superstar Uma Thurman, golf legend Tiger Woods, tennis champion Maria Sharapova, and NASCAR icon Jeff Gordon, TAG Heur’s popularity among consumers just went up several notches.

The Christian Dior Group, which reports its earnings separately from LVMH, echoed its parent company’s growth, reporting an 11% increase in sales for the first quarter of 2005.

Sales for its Christian Dior Couture division reached 146 million euros, an increase of 9% compared to the same period last year, with growth in the U.S. and Asia (including Japan) pegged at 20% and 25%, respectively.

Every LVMH division, Wines & Spirits, Fashion & Leather Goods, Perfumes & Cosmetics, Watches & Jewelry, and Selective Retailing that includes Sephora and DFS, posted double-digit growth for the quarter, except for Perfumes and Cosmetics that reported 8% growth.