German luxury brand Hugo Boss today said it was confident of growing ahead of the luxury market this year after it delivered an uplift in annual profits.
The 89-year-old firm, which is owned by private equity firm Permira, said its strong performance last year had been driven by “significant sales growth and strict management of operating expenses”.
Following strong recent results from Prada, Louis Vuitton and Hermès, Hugo Boss is the latest luxury brand to show it is powering through the consumer downturn, driven by well-heeled customers in emerging markets from China to the Middle East.
In addition to increased margins, Hugo Boss said that all its channels, including wholesale and retail, and regions globally contributed to 8% leap in post-tax profits to €285 million (£245 million) last year. Chief executive Claus-Dietrich Lahrs said: “Despite the still-challenging market environment, I am confident that we will continue to post stronger growth than the overall market in 2013.”
Total sales at Hugo Boss, which is based in Metzingen, Germany, jumped by 10% to €2.35 billion.Reuse content