German fashion firm Hugo Boss's sales up in 2019

Source: Xinhua| 2020-01-21 22:20:17|Editor: ZX
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BERLIN, Jan. 21 (Xinhua) -- German fashion house Hugo Boss on Tuesday reported a five percent sales growth in the fourth quarter (Q4) of 2019 to 825 million euros (915 million U.S. dollars).

"Thanks to a strong increase in sales and earnings, we have achieved our adjusted targets for fiscal year 2019," said Chief Executive Officer Mark Langer. "I am particularly pleased with the progress made along our strategic growth drivers: online and China."

In Q4 2019, the company's online sales increased by more than 50 percent. For the full 2019 fiscal year, Hugo Boss achieved its sales and earnings targets and registered a 3 percent increase in sales to 2.88 billion euros.

A nine percent increase in earnings before interest and taxes (EBIT) to 122 million euros on a preliminary basis in Q4 "largely compensated for the decline in earnings in the first nine months," the company said.

For the full year 2019, Hugo Boss reported EBIT of 333 million euros, a four percent decrease year-on-year.

In the Asia and Pacific region, currency-adjusted sales rose four percent in Q4. This was mainly attributable to the ongoing strong sales momentum in the Chinese mainland, where Hugo Boss "once again achieved significant double-digit growth."

In the United States and Canada, "as expected, the persistently challenging market environment continued to weigh on sales performance" in Q4 with currency-adjusted sales decreasing seven percent, according to the company.

Sales in Europe accelerated in the final quarter of 2019, while in Germany, an increase in sales in the retail business "did not fully compensate for a persistently difficult wholesale business," Hugo Boss noted.