Hugo Boss AG on Thursday raised its sales and earnings expectations for the full year as top-line growth fuelled higher profits in the third quarter.
The German premium-fashion firm
made earnings before interest and taxes of 92 million euros ($90.3 million) in the July-September period, 8% higher on year, on sales that surged by 18% at constant currency to EUR933 million. The growth was spurred by brand campaigns and marketing investment, including the launch of 2022’s fall/winter collections, the company said.
Analysts had expected Hugo Boss to post EBIT of EUR85 million and sales of EUR897 million for the quarter, according to polls of estimates compiled by FactSet.
On the back of the results, Hugo Boss lifted its guidance for the year. The company now expects annual sales growth of 25%-30% to EUR3.5 billion-EUR3.6 billion, compared with a previous forecast of 20%-25% growth. This should lift EBIT growth to 35%-45% on year, to some EUR310 million-EUR330 million. The company had previously seen EBIT growth at 25%-35%.
Net profit should now come to as much as EUR210 million for the year, Hugo Boss said.
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