Luxury design house Hermes International SA has posted a full-year net profit fall of 3.1 per cent due to higher taxes and currency fluctuations.

Hermes said net profit totalled €210.1 million in 2004 compared to the €216.8m reported in 2003.

Full-year revenue increased to €1.33 billion from the €1.23bn recorded last year.
Hermes, which invested a total of €118m into the company in 2004, says it plans to open five new outlets in 2005 as well as renovating ten of its existing stores. The company said it would also act to up its production capacity.