BERLIN — The Hugo Boss Group grew both net income and sales 15 percent in the third quarter, with strong women’s wear sales gains continuing to bolster group performance.
Net income reached $99.8 million, or 78.3 million euros, for the period on group sales of $642 million, or 503.5 million euros. Boss Womenswear’s sales rose 67 percent to $68.9 million, or 54 million euros, for the quarter. Boss Menswear sales were up 12 percent to $513.8 million, or 403.2 million euros, in the period, while Hugo grew sales 6 percent to $54.8 million, or 43 million euros.
All dollar figures are converted from the euro at current exchange rates.
On a regional basis, Boss increased domestic sales 14 percent for the quarter, with sales in the rest of Europe and the Americas rising 16 percent. In Asia/other regions, sales grew 13 percent.
Boss did not break out third-quarter figures for the U.S. market, but noted that in the first nine months of 2006, sales in local currency increased 17 percent to $186.2 million, or 146 million euros, “despite the increasingly difficult consumer environment. Sales via the Group’s own retail stores (DOS) performed particularly well, supported by three new openings in the first nine months of 2006.”
For the year, the board is projecting a rise in currency adjusted sales of between 12 and 14 percent, and a proportional rise in earnings before taxes. For 2007, the Metzingen-based group said it is expecting to set new records in sales and earnings.
This story first appeared in the November 3, 2006 issue of WWD. Subscribe Today.