Guess Inc. has reported a 4% increase in revenues for the fiscal year 2023, reaching a total of $2.69 billion. This growth can be attributed to strong sales in the European and Asian markets, while the Americas experienced slower growth. In the Americas, retail revenues remained steady in U.S. dollars and increased by 1% in constant currency. However, retail comp sales, which includes e-commerce, decreased by 1% in both U.S. dollars and constant currency. On the other hand, Americas wholesale revenues saw a 2% increase in U.S. dollars and a 3% increase in constant currency.
In Europe, revenues grew by 6% in U.S. dollars and an impressive 21% in constant currency. Asia also saw growth with a 1% increase in U.S. dollars and a 12% increase in constant currency.
For the fourth quarter, which ended on January 28, Guess reported revenues of $817.8 million, showing a 2% increase. In the Americas retail sector, revenues decreased by 1% in both U.S. dollars and constant currency. Americas wholesale revenues experienced a significant decline of 27% in both U.S. dollars and constant currency. Europe, on the other hand, saw a 10% increase in U.S. dollars and a 20% increase in constant currency. In Asia, revenues decreased by 8% in U.S. dollars but increased by 1% in constant currency. The company’s licensing revenues also decreased by 8% in both U.S. dollars and constant currency.
Guess expressed its satisfaction with its fourth quarter performance, which exceeded expectations. The company achieved a revenue growth of 2% in U.S. dollars and 8% in constant currency, driven by strong results in Europe. This strong performance also led to better-than-expected adjusted operating profit and improved earnings per share. Carlos Alberini, the CEO of Guess Inc., expressed pride in the company’s performance throughout the year, despite the challenging market conditions. He highlighted the impact of currency fluctuations, which consumed $62 million of operating profit and 140 basis points of operating margin. Guess achieved a top-line growth of 4% in U.S. dollars and 12% in constant currency, with GAAP and adjusted operating margins of 9.2% and 9.8%, respectively. Alberini credited the company’s teams for effectively managing the business in a difficult environment.
Looking forward, Guess expects its fiscal 2024 revenues to increase between 1% and 3%. The company remains confident in its ability to continue its growth trajectory, building on its strong performance in the European and Asian markets while also addressing challenges in the Americas.
Useful links:
– Guess Inc. Official Website
– Guess Inc. Profile on Reuters
