BERLIN — Driven by growth in all regions and distribution channels, Hugo Boss reported double-digit gains in sales and earnings in the first quarter.
Net income for the Metzingen, Germany-based company rose 14 percent to 95.2 million euros or $124.8 million, for the quarter, while operating results (earnings before interest, taxes, depreciation and amortization before special items) increased 13 percent to 148 million euros, or $194 million.
Dollar figures are converted at average exchange rates for the period to which they refer.
Sales gained 13 percent to hit 606.8 million euros, or $795.5 million. After adjustment for currency effects, revenues were up 10 percent. The U.K. and Germany fueled a 9 percent uptick in Europe, with the U.S. driving a currency-adjusted increase of 15 percent in the Americas. Double-digit growth in China pushed Asian sales up 9 percent after adjusting for currency effects.
The group’s wholesale business was up 1 percent on a currency-adjusted basis. Sales from Boss’ own retail activities, including outlets and online business, surged 27 percent, with comp-store sales up 11 percent on a currency adjusted basis. Boss said its directly operated stores contributed 6 percent growth to the comp-store development.
By brand, the core Boss Black generated a 13 percent sales increase in the first quarter, whereas the company’s luxury player, Boss Selection, saw sales climb 45 percent in the period, aided by brand initiatives for its repositioning. Sales of active-oriented Boss Green were up 25 percent, the more casual Boss Orange range came in flat, while Hugo sales gained 13 percent. The company said women’s wear sales were on par with the first quarter of last year at 65 million euros, or $85.2 million, which represents 11 percent of total sales, down from 12 percent the year previously.
Boss confirmed its 2012 forecast, which calls for a sales increase of up to 10 percent on a currency-neutral basis. EBITDA before special items is expected to see slightly stronger growth than sales due to expansion of the company’s own retail business and efficiency improvements.
Boss plans to open about 50 stores in 2012. The number of Boss’ own retail stores grew by 38 units in the first quarter, reaching 660 doors.
EXCLUSIVE: Two and half months after John Targon, cofounder and codesigner of Baja East, was hired as creative director of the contemporary division at Marc Jacobs, he has left the company, WWD has learned. Marc Jacobs International, which is owned by LVMH Moët Hennessy Louis Vuitton, confirmed Targon’s departure in a statement: “John Targon is a talented designer and we appreciate the work he has done here. Ultimately working together did not make sense for the brand and we wish him the best.” Read the story by @jessiredale, link in bio. #wwdnews
@theluxurycollection is officially launching a collection, tapping Sofia Sanchez de Betak for the capsule. Over 30 styles will be featured in the Chufy x The Luxury Collection, debuting next month at Bergdorf Goodman, The Webster, FiveStory and more. De Betak, known as “@chufy,” drew inspiration for the collection from her trips to Japan in the past year #wwdfashion
@lhd, founder and CEO of @thewebster, has teamed up with @lebonmarcherivegauche for the European launch of her ready-to-wear line, LHD. The launch will come with an exclusive pop-up opening today that’s set to run through May 20. Located on the second floor, it carries her debut Miami-themed resort collection, launched in November as see-now-buy-now. #wwdfashion
@longchamp, which marks its 70th anniversary this year, just opened its biggest U.S. store on Manhattan’s Fifth Avenue. On the lower level there’s a floor-to-ceiling display of the brand’s iconic Le Pliage bag – in all of its different colors, shapes and sizes. Customers can also have their product personalized in-store by imprinting names, initials or emblems. #wwdfashion (📷: @ericmtownsend)
“Whenever I’m in that place of sound and music, I don’t have fear or nervousness…This album has a lot of themes of courage and boldness and I want to be the soundtrack for people’s lives. I’ll be so happy if [my songs] evoke strength in people, which I know music has done for me,” says @kimbramusic of her newest album “Primal Heart.” The New Zealand-born singer sat down with WWD to talk about her music, newest tour and connecting with hear fans — read more on WWD.com #wwdeye (📷: @jilliansollazzo)
Luxury handbag resale company @rebagofficial is planning to sell a rare collectible for $70,000: the @hermes White Crocodile Himalayan Birkin. The exclusive Birkin sold for about $100,000 in 2008, when @davidbeckham bought one for his wife @victoriabeckham to add to her collection. Read more about the rare Birkin on WWD.com #wwdaccessories
With her costume pearl necklace and what-you-see-is-what-you-get style, Barbara Bush, who died Tuesday at age 92, was a straight-shooter from start to finish.
Born Barbara Pierce in New York City, Bush served as the 37th first lady, as well as the country’s second lady from 1981 to 1989. In addition to being part of the longest presidential marriage — 73 years — Bush also had the unlikely distinction of having one son, George W., become the 43rd president and another son, Jeb, run unsuccessfully in 2016. Having served as second lady during the Reagan administration’s two terms and lived all over the world during her own husband’s ascending political career, Barbara Bush made it clear that literacy — not fashion — was her priority. Read more from Rosemary Feitelberg’s obituary on the late First Lady in WWD.com, link in bio. #barbarabush #wwdnews
Western and ’90s trends have influenced denim for fall 2018. Think raw, dark and coated jeans mixed with bold prints and tough leather. #trendtuesdays #wwdfashion (Styled by @thealexbadia;📷: @ryanplett)