Fashion Retailer Reports Slight Decline Amid Economic Uncertainty
Hugo Boss reported a 2% decline in organic sales for the first quarter of 2025, totaling €999 million. CEO Daniel Grieder stated, “Our performance in the first quarter of 2025 was affected by the rising macroeconomic uncertainty which impacted global consumer sentiment and our industry.” He added, “Against this backdrop we continued to place strong emphasis on what we have in our control.”
In the Europe, Middle East, and Africa region, sales decreased by 1% in currency-adjusted terms. While revenues in Germany remained stable, slight declines were observed in France and the U.K. The Americas experienced a 1% drop, attributed to softening demand in the U.S., though Latin America saw double-digit growth. The Asia-Pacific region faced an 8% decline, with particularly subdued consumer demand in China, whereas Japan achieved double-digit growth.
The company’s casual Hugo line, including a new denim offering, fell 2% to €163 million. The larger, more formal Boss menswear line also declined by 2%, totaling €766 million, while Boss womenswear sales decreased by 1%.
Despite cost management efforts, EBIT dropped 12% to €61 million in the first quarter. These figures slightly exceeded market expectations, with analysts forecasting sales around €991 million and EBIT of €50 million. The company confirmed its cautious 2025 guidance, anticipating group sales between a 2% decrease and a 2% increase, ranging from €4.2 billion to €4.4 billion.
