Hermès Reports 14% Rise in First-Half Profit PARIS - The French luxury group Hermès International posted a 14 percent increase in first-half operating profit on Friday due to strong demand, particularly in Asia. The maker of silk scarves and high-priced leather goods said operating profit was 584.1 million euros, or $772.45 million, which exceeded analysts" expectations and gave the group an operating profit margin of 33.1 percent. According to Thomson Reuters, Hermes was expected to post a profit of $754 million. Last month Hermès reported a 16 percent increase in second-quarter sales at constant exchange rates, marking an improvement from a 12.8 percent increase in the first quarter. At that time, the company said it was getting closer to reaching last year's record operating margin level, having previously predicted a decline. It also forecast that full-year sales growth would slightly exceed its half-year growth target of 10 percent and recurring operating income would increase slightly faster than revenue. Hermès reiterated the sales forecast on Friday, adding that net cash stood at $789 million at the end of June.