The German fashion group broke its sales records from July to September, boosted by strong growth in Asia-Pacific, allowing it to raise its annual forecast.
+33% revenue in Asia-Pacific.
After a turnover of +34% in the second quarter, the fashion group, which includes HUGO and BOSS, continued to grow during the summer season. The firm saw its sales increase by +18% compared to last year, €933 millionand +27% compared to the same pre-pandemic period of 2019. Growth having contributed to the increase in its operating income by +8% to 92 million euros.
All distribution channels participated in the rise ofHugo Boss, with an increase of +20% for online and +18% in retail. Same trend for the sales markets, where all the territories experienced a double-digit increase. Unlike other fashion industry leaders like Kering, more impacted by health restrictions in China, the group was able to count on the recovery of Asia-Pacific – +33%. In addition, America boosted its turnover by +18% while Europe ended the quarter at +17% in sales.
This increase in results stems from the company’s new profitable roadmap. Indeed, for several months, Hugo Boss has set about redesigning its brands to a younger target. Called “CLAIM 5”, the strategy led to an improvement in sales of +20% and +30% respectively for the Men’s and Women’s segments of the BOSS label. On the side of the HUGO house, recently established in the world of NFT’s, revenues rose by +13%. While the new collections quickly found their audience, the group continued to invest in marketing – +39% – to launch communication campaigns and strengthen community engagement on its media platforms.
Thanks to these performances, Hugo Boss has raised its forecast for its 2022 financial year. The group now expects growth of between +25% and +30%, representing sales of 3.5 billion euros to 3.6 billion euros at the end of December. Operating income should increase by +35 to +45%.