Hugo Boss posts modest annual sales growth despite China decline

Hugo Boss fashion show
Hugo Boss has reported a modest sales uplift in FY25. (Source: Hugo Boss)

German fashion company Hugo Boss has reported a modest sales uplift for the last fiscal year, following a solid finish in the final quarter.

The company’s sales for FY25 slid 1 per cent to EUR4.27 billion (US$4.97 billion), reflecting adverse currency effects and dampened consumer sentiment caused by macroeconomic and geopolitical uncertainty. Excluding the impact of currency exchange, sales rose 2 per cent.

By geography, currency-adjusted sales decreased 5 per cent in Apac, mainly reflecting subdued local demand in China. EMEA revenues rose 2 per cent, driven by gains in key European markets, including Germany and France.

Management noted that top-line development was particularly strong in the fourth quarter, with sales up 2 per cent on a reported basis and 7 per cent on a constant currency basis.

This performance was attributed to a return to growth in brick-and-mortar retail, including a modest increase in comp-store sales, a successful holiday season, and high-impact brand and product initiatives.

Currency-adjusted revenues at the Boss Menswear brand increased 3 per cent for the year. Meanwhile, sales for Boss Womenswear and Hugo declined 5 per cent and 4 per cent, respectively.

In the Americas, revenues grew 3 per cent, reflecting sequential improvements in the US. Sales in the license business fell 5 per cent.

On the bottom line, full-year EBIT grew 8 per cent to EUR391 million, including a 22 per cent uplift in the fourth quarter.

“Last year once again highlighted the rapid transformation of our industry, shaped by technological innovation, evolving consumer preferences, and ongoing macroeconomic and geopolitical uncertainty,” said Daniel Grieder, CEO of Hugo Boss.

For FY26, the company expects currency-adjusted sales to decline mid- to high-single digits, reflecting initiated brand and channel realignment.

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