HUGO BOSS has reported a successful second quarter (April-June) of 2021 as its sales have increased 133 per cent (in adjusted currency) as compared to the prior-year period.
The fashion brand further reports that, in Group currency, sales more than doubled in Q2 ’21 to € 629 million, up 129 per cent.
The gradual easing of pandemic-related restrictions, including the termination of temporary lockdowns over the course of the quarter, as well as further progress made along vaccination campaigns, fuelled consumer sentiment across the globe – as stated by the premium German Fashion House.
The growth can also be attributed to the fact that only around 20 per cent of the company’s global store network was temporarily closed during the second quarter.
HUGO BOSS has seen business recovery across all regions as the sales more than doubled in Europe to € 385 million (up 130 per cent) and more than quintupled in the Americas to € 123 million (up 416 per cent).
The currency-adjusted revenues in Asia/Pacific were up by 51 per cent as compared to the prior-year period, totalling € 104 million.
The company also reported that, on a two-year-stack basis, currency-adjusted sales in Europe remained only 4 per cent below 2019 levels, indicating business activities are back to normal.
Sales in the UK exceeded 2019 levels, with currency-adjusted revenues up 7 per cent on a two-year basis. In the Americas, sales remained 5 per cent below 2019 levels, with the important US market benefitting from a further uptick in local demand, thereby limiting the market’s sales decline to 6 per cent, currency-adjusted.
In Asia/Pacific, currency-adjusted sales were down 3 per cent against the second quarter of 2019, with currency-adjusted sales in mainland China upped by 28 per cent against the prior-year period and 33 per cent on a two-year-stack basis.
As far as online sales are concerned, HUGO BOSS continued its strong double-digit growth trajectory in the second quarter. Sales in this channel recorded currency-adjusted growth of 27 per cent against a particularly strong comparison base, implying triple-digit growth on a two-year stack (up 122 per cent).
Below are some more important pointers extracted from HUGO BOSS Q2 ’21 sales report –
- Sales in wholesale also more than doubled (up 170 per cent) to € 189 million and came in 2 per cent below 2019 levels. This mainly reflects partners’ strong demand for the Fall/Winter 2021 collections as well as additional business with selected on- and offline retailers in Europe.
- Sales for both brands, BOSS and HUGO, more than doubled compared to the second quarter of 2020, with currency-adjusted revenues up 139 per cent and 102 per cent, respectively.
- Momentum for both brands’ casualwear offerings further accelerated in the three-month period, with currency-adjusted revenues being up double-digit on a two-year-stack basis.
- Formalwear sales also recorded a sequential improvement in the second quarter, benefitting from pent-up demand for occasionwear and businesswear.
Free cash flow totalled € 134 million in the three-month period, a significant improvement compared to the prior-year period and in line with the level recorded in 2019.