Hugo Boss reported a “record” 2022 and said the powerful execution of ‘Claim 5’ is paving the way for future growth.
Currency-adjusted sales grew by 27% to €3.7bn in 2022, with broad-based growth across all brands, regions and consumer touchpoints, according to a statement.
That means for the first time, Hugo Boss broke the €3bn threshold in revenue.
Underlying earnings (EBITDA) also grew 47% to €335mln, which the luxury clothing brand said was delivered by strong top-line growth.
Chief executive Daniel Grieder said: “2022 was an outstanding year for Hugo Boss.”
Looking ahead, Hugo Boss said the successful execution of its ‘Claim 5' strategy remains a focus for 2023.
Claim 5 is focused on boosting brands, ensuring the product is king, leading in digital, rebalancing its omnichannel and organising for growth.
“Thanks to the rigorous execution of our Claim 5 strategy, we made 2022 a record for our company with broad-based momentum across brands, regions, and consumer touchpoints,” said Grieder.
EBITDA is expected to increase between 5% to 12% to €350mln and €375mln, while the group anticipates sales growth of mid-single digits.
“Hugo Boss is very much on trend right now with soaring sales figures, enviable new collections and terrific momentum,” said Zainab Atiyyah, retail analyst at Third Bridge.
“They are also forecast to benefit from the wave of wealthy international tourists set to hit European shores this Summer.”
However, Atiyyah believes that stretched supply chains and elevated inflation will continue at least until Autumn, which will apply pressures to margins.
As a result, promotions are likely to continue into the Spring so the retailer can get rid of excess stock.
Today's news could have some positive read-across for British brand Burberry, which will be reporting its full-year results in May.
However, Burberry's shares were little moved in midday trading, changing hands at 2,503p