While shoppers at Bergdorfs and Saks might still be spiriting their purchases out the door in Medium Brown Bags, new reports on the status of the luxury-goods industry show that they’re buying as much—if not more—than ever. According to profits from two of the leading conglomerate corporations in the business. While the economy may still be finding its footing with regard to financial stability, luxury's profits so far this year are staggering. "LVMH Moet Hennessy Louis Vuitton SA, the world’s largest maker of luxury goods, reported first-half profits that beat analysts’ estimates as sales of fashion and leather goods accelerated in the second quarter," says Business Week. The monolith, which includes Christian Dior, Louis Vuitton and Moet Hennessy among other luxury brands, is reporting a whopping 53% (or $1.36 billion) increase in returns thus far in 2010. And, while shoppers in fashion capitals across the globe helped thwart the increase in profits, China is the leading catalyst for such a drastic post-recession success story. "On a local currency basis, sales gained 18 percent in the U.S., 21 percent in Asia, and 11 percent in Europe," the company said at a press conference.

So, what are they all buying? According to Business Week, sales of clothing rose 18%, accessories 28%, and perfumes and cosmetics 12%, while "wines and spirits gained 21%." Meanwhile, PPR, the French luxury conglomerate that owns Gucci Group (whose umbrella envelopes Gucci, Balenciaga, YSL, Bottega Veneta and Alexander McQueen), is following suit. "PPR said its sales picked up steam in the second quarter, with revenues rising 6.3 percent thanks to a recovery in international trade, and it expects the momentum to last through the second half of the year," says Women's Wear Daily. "Group share of net income for the first half of 2010 leapt 113.3 percent to 402.8 million euros, or $535.9 million, from 188.8 million euros, or $252 million, during the same period last year."

Photo of Fendi FW10 via Style.com