Hugo Boss had a highly successful fourth quarter in 2023, demonstrating the strength of its revitalized brands. The company reported a 13% increase in currency-adjusted group sales, reaching €1.177 billion. This growth was seen across all brands, regions, and channels. On an EBIT basis, profits rose 17% to €121 million, according to preliminary figures.
For the entire year, Hugo Boss experienced even stronger growth, with sales increasing by 18% to reach a record €4.197 billion. EBIT jumped 22% to €410 million. These figures are preliminary, and final results are expected on March 7th. Although the jump in sales and profits during the fourth quarter was smaller compared to the full year, it still reflects the company’s strength and success.
CEO Daniel Grieder expressed his satisfaction with the company’s performance, stating that 2023 was a record year for Hugo Boss. He attributed the double-digit improvements in sales and profits during the fourth quarter to the company’s strong brand momentum and successful execution of its ‘CLAIM 5’ strategy. Grieder believes this positions Hugo Boss to continue gaining market share and establish itself as one of the top 100 global brands.
Throughout the fourth quarter, Hugo Boss continued to grow across all brands, regions, and channels, building on the strong performance of the previous nine months. Both the Boss and Hugo labels experienced double-digit growth and expanded their market shares worldwide. Boss Menswear sales increased by 13%, while Boss Womenswear and Hugo saw a 14% increase in revenues.
Notably, Hugo Boss achieved robust growth in the Americas, a market where many luxury companies have struggled. Sales in the Americas rose by 18% in currency-adjusted terms. In the EMEA region, revenues were 7% higher than the previous year, driven by solid sales increases in key markets such as Germany and France, as well as double-digit improvements in emerging markets. In Asia/Pacific, revenues surged by 33% due to strong sales increases in China and Southeast Asia & Pacific.
Hugo Boss also highlighted the continued momentum in its physical retail and digital businesses. The digital business achieved a currency-adjusted revenue growth of 26%, driven by double-digit sales increases across all digital touchpoints. Physical stores saw a 12% increase in revenues, which can be attributed to store productivity improvements and additional selling space. In physical wholesale, revenues grew by 5%, while the license business reported a 15% increase in sales, primarily from the fragrance sector.
These strong sales results represent a significant milestone for Hugo Boss as it strives to achieve its 2025 financial goals. In mid-2023, the company raised its targets to reach revenues of €5 billion and an EBIT of at least €600 million by 2025, aiming for an EBIT margin of at least 12%.
Useful links:
1. Official Hugo Boss website
2. Hugo Boss Group worldwide sales statistics by brand
