Hugo Boss raises 2022 full year outlook

Hugo Boss has raised its outlook for fiscal year 2022, following a strong top and bottom-line performance in the second quarter.

In Q2 of 2022, currency-adjusted group sales increased 34% compared to the prior-year on a preliminary basis. Group revenues were up 40%, totalling £742 million in the three-month period compared to £532 million in Q2 2021, marking the strongest second quarter in the history of Hugo Boss.

Compared to the second quarter of 2019, currency-adjusted group sales increased by 29%, driven by particular strong demand in Europe and the Americas.

Hugo Boss generated an operating profit (EBIT) of £84 million, significantly above the prior-year level (Q2 2021: £35 million), driven by an overall higher share of full-price sales.

The Group’s digital business also continued its double-digit growth trajectory, with currency-adjusted sales up 11% compared to the prior year. For brick-and-mortar retail, Hugo Boss' revenues were up 38% compared to the prior year.

The company attributed its financial and operation performance to the ongoing "successful execution of the Company’s “CLAIM 5” growth strategy" as well as the branding refresh of Boss and Hugo brands initiated at the beginning of 2022.

Hugo Boss now forecasts Group sales in fiscal year 2022 to increase between +20% and +25% to a new record level of between £2.7 billion and £2.9 billion (prior guidance: increase between +10% and +15% to a level of between £2.6 billion and £2.7 billion).

EBIT in 2022 is now expected to increase between +25% and +35% to a level of between £241 million and £262 million (prior guidance: increase of between +10% to +25% to an amount of between £211 million and £241 million).

Daniel Grieder, Chief Executive Officer of Hugo Boss said: “The strong acceleration of our business performance in the second quarter impressively demonstrates the successful execution of our ‘CLAIM 5’ strategy, only one year after its introduction. Our bold branding refresh resonates extremely well with our customers around the globe and will further drive brand momentum.”