German fashion brand Hugo Boss has announced a significant increase in sales during Q4 of 2023, showcasing the success of its revitalized brands. Preliminary figures reveal that currency-adjusted group sales grew by 13%, reaching €1.177 billion. This growth was evident across all brands, regions, and channels. Additionally, profit on an EBIT basis rose by 17% to €121 million.

For the entire year of 2023, sales soared by an impressive 18%, reaching a record €4.197 billion, while EBIT surged by 22% to €410 million. It is important to note that these figures are preliminary, and the company’s final results will be officially announced on March 7.

Despite a slightly smaller sales and profit increase during Q4 compared to the full year, the significant growth still showcases the strength of Hugo Boss. CEO Daniel Grieder expressed his satisfaction with the company’s performance, emphasizing that the fantastic end to 2023 made it a record-breaking year for Hugo Boss. Grieder also highlighted the successful execution of the company’s ‘CLAIM 5’ strategy, which has established a solid foundation for future growth and positioned Hugo Boss as one of the top 100 global brands.

During Q4, Hugo Boss continued to experience widespread growth across its brands, regions, and channels, building upon the strong performance of the first nine months of the year. Both the Boss and Hugo labels achieved double-digit growth, increasing their market shares globally. Currency-adjusted sales for Boss Menswear rose by 13%, while revenues for Boss Womenswear and Hugo saw a growth of 14%.

The company reported particularly strong growth in the Americas, a market that has posed challenges for many luxury brands. Sales in the Americas rose by 18% currency-adjusted. In the EMEA region, revenues were 7% higher than the previous year, with solid sales increases in key markets such as Germany and France, and double-digit improvements in emerging markets. Meanwhile, revenues in Asia/Pacific surged by 33%, driven by strong double-digit sales growth in China and Southeast Asia & Pacific.

Hugo Boss also experienced continuous momentum in both its physical and digital retail channels. Its digital business achieved a currency-adjusted revenue growth of 26%, driven by double-digit sales increases across all digital touchpoints. Physical stores saw a revenue increase of 12% due to improvements in store productivity and additional selling space. Revenues in physical wholesale increased by 5% year on year, while the license business saw a growth of 15% led by the fragrance business.

These impressive results in 2023 have brought Hugo Boss closer to achieving its 2025 financial goals, which were revised in mid-2023. The company now aims to reach revenues of €5 billion and an EBIT of at least €600 million by 2025, with a minimum EBIT margin of 12%.

Related links:
1. Hugo Boss official website
2. The impact of fashion brands on society