German fashion group Hugo Boss has achieved record sales for the July to September period, driven by strong growth in the Asia-Pacific region. This has led the company to revise its annual forecasts. The fashion group, which includes brands HUGO and BOSS, experienced a 33% increase in revenue in Asia-Pacific, following a 34% increase in the second quarter. Overall, sales for the period increased by 18% compared to last year, reaching 933 million euros, and by 27% compared to the same pre-pandemic period in 2019. The company also reported an 8% increase in operating profit to 92 million euros.
All distribution channels contributed to Hugo Boss’s rise, with a 20% increase in online sales and an 18% increase in retail sales. The positive trend was also observed in sales markets, as all territories experienced double-digit growth. Unlike other fashion industry leaders, Hugo Boss was less impacted by COVID-19 restrictions in China and benefited from strong recovery in the Asia-Pacific region, where sales increased by 33%. In addition, the Americas saw an 18% increase in revenue, while Europe ended the quarter with a 17% increase in sales.
This significant growth is attributed to Hugo Boss’s successful new roadmap, which focuses on targeting a younger audience. Under the strategy called “CLAIM 5,” the company has revamped its brands and seen a 20% improvement in sales for the BOSS Men’s segment and a 30% improvement for the BOSS Women’s segment. The newly established HUGO brand, which has ventured into NFTs, also experienced a 13% increase in revenues. Alongside the successful collections, Hugo Boss has increased its marketing investment by 39% to launch advertising campaigns and enhance community engagement on its media platforms.
As a result of these strong performances, Hugo Boss has revised its forecasts for 2022. The group now expects growth between 25% and 30%, projecting sales of 3.5 billion euros to 3.6 billion euros by the end of December. Operating profit is also anticipated to increase between 35% and 45%.
Useful links:
– Hugo Boss official website
– Hugo Boss store locator
