Following a strong fourth quarter, which was aided by the retailer’s acquisition of Rag & Bone, Guess Inc. reported that sales for the fiscal 2025 year grew 8 per cent to US $ 3 billion.
The business reported that its fourth-quarter sales for the three months ending 1st February increased by 5 per cent to US $ 932.3 million. A 15 per cent drop in sales in Asia somewhat offset a 2 per cent increase in revenues in Europe. While America’s wholesale revenues increased 63 per cent, domestic retail revenues increased 4 per cent despite a 14 per cent decline in retail comparable sales, including e-commerce. According to the corporation, licensing income increased by 18 per cent.
Net profits dropped 29 per cent to US $ 81.4 million for the quarter. The Rag & Bone purchase, which happened in April of last year, ‘positive momentum’ in its wholesale divisions in Europe and the Americas, and higher licensing revenues were all cited by the company as reasons for its quarterly growth.
According to Carlos Alberini, CEO of Guess Inc., the company’s revenue increased by 8 per cent in US dollars and 10 per cent in constant currency at the end of the year. The licensing division and the wholesale businesses in Europe and the Americas produced strong returns throughout the year, but the plans for direct-to-consumer business were not met because of the slower client traffic in North America and Asia. All things considered, the year’s revenues came to about US $ 3 billion, while the GAAP and adjusted operating earnings came to US $ 174 million and US $ 180 million, respectively. Crucially, this year marked a major turning point for our business as it completed the first purchase in Guess’s history, adding rag and bone to the portfolio.
The company also said that Alberto Toni, who is presently the chief financial officer and group managing director of Flos B&B Italia Group S.p.A., has been promoted to the position of chief financial officer of Guess, with effect from mid-June.
In order to facilitate a seamless transition, Toni will take over for temporary CFO Dennis Secor, who will continue to serve as executive vice president until 12th September. Toni will oversee Guess’s global finance staff from her base in Lugano, Switzerland.
