Hugo Boss China sales rebound
Hugo Boss China sales rose 3 per cent in the first quarter, helping offset declines in the US.
The German fashion brand says sales across Asia benefited from the ongoing upswing in China, in part driven by “innovative marketing activities on social media”. With double-digit sales growth on a like-for-like basis Mainland China sales were “significantly better” than Hong Kong and Macau.
Hugo Boss chairman Mark Langer said the brand had made a solid start to the year. “In Europe and Asia especially, we’ve been heading in a positive direction. Our strategic realignment is coming along well, and in some areas it’s already proving a success. The positive feedback from our retail partners and customers regarding the realignment of our brand portfolio makes me convinced that we are on the right track. I am convinced that, after this year of stabilisation, we will return to profitable and sustainable growth.”
Total sales, on a like-for-like and currency-adjusted basis, declined by 3 per cent, mainly due to falls in the mid-single digit range in the Americas region. Pre-tax earnings rose 4 per cent.
Hugo Boss’ Asia-Pacific store network remained unchanged with three new store openings in Korea cancelling out the same number of store closures.
In the second half of the year, Hugo Boss plans to expand its offering in the “commercially important entry-level price range” and strengthen its casualwear collection.