Hugo Boss hails strongest Q2 in its history

Hugo Boss has reported an operating profit of €100m (£83.4m) for Q2, over double the €42m (£35m) it recorded  in Q2 2021.

The three month period also saw group sales surge 34% compared with the prior-year period and its revenues increased 40%, totaling €878m (£728.9m), marking its “strongest second quarter in the history of Hugo Boss”.

In Europe, sales increased 41% year-over-year, translating into robust three-year-stack growth of 36%, with all major markets contributing. 

In the Americas, Hugo Boss reported sales growth of 45% year-over-year, with three-year-stack growth amounting to 38%. 

In Asia and the Pacific, revenues remained on par with the prior-year level. Double-digit growth in South-East Asia and the Pacific compensated for a sales decline in China, largely reflecting Covid-19-related temporary store closures throughout much of the second quarter. As compared to pre-pandemic levels, sales in Asia and the Pacific were down 4%. 

Compared with 2019, total digital sales more than doubled, up 128%. The group also reported that in brick-and-mortar retail, Hugo Boss recorded double-digit sales improvements, with revenues up 38% compared to the prior year. Consequently, three-year-stack growth amounted to 19% currency-adjusted. 

Daniel Greider, CEO Hugo Boss, said: “The strong acceleration of our business performance in the second quarter impressively demonstrates the successful execution of our ‘Claim 5’ strategy only one year after its introduction. Our bold branding refresh resonates extremely well with our customers around the globe and will further drive momentum.”

The group’s forecast sales in fiscal year 2022 are predicted to increase between +20% and +25% to a new record level of between €3.3bn (£2.75bn) and €3.5bn (£2.92bn) which was previously predicted to increase between +10% and +15% to a level of between €3.1bn (£2.59bn) and €3.2bn (£2.67bn). 

Earnings before interest and taxes in 2022 is now expected to increase between +25% and +35% to a level of between €285m (£238m) and €310m (£259m), which was previously predicted to increase of between +10% to +25% to an amount of between €250m (£209m) and €285m (£238m).