Hugo Boss eyes strong growth

Hugo Boss is upbeat about its growth prospects for this year and expects double-digit earnings growth, following a strong performance in 2010.

Boosted by the key markets of China and the US, the luxury German fashion group said it expected to grow its underlying earnings by at least 15 per cent in 2011, aided by a further spike in its gross margins. The company also expects to increase sales by at least 12 per cent.

Claus-Dietrich Lahrs, its chief executive, said: "We posted outstanding results in 2010 and have maintained this momentum in the new year."

Hugo Boss, which is backed by the private-equity firm Permira, posted an 82 per cent leap in net income to a record €189m (£166m) last year on sales up by 7 per cent to €1.73bn.