The Hugo Boss Group in the fourth quarter realised 3% sales growth after adjusting for exchange rate effects on a preliminary, non-audited basis. This amounts to a 5% increase in the reporting currency to EUR 684 million (Q4 2013: EUR 649 million).
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All regions and distribution channels contributed to the growth. In Asia/Pacific and Europe sales increased above the Group average. However, growth in Europe slowed compared to earlier in the year despite ongoing double-digit increases in markets such as Great Britain and Spain. The sales increase in the Group's own retail business was driven by the expansion of the store network.
On a comparable store basis, sales remained stable in the fourth quarter after adjusting for foreign exchange effects. The BOSS Womenswear business continued to outperform as a result of the unique handwriting by designer Jason Wu. In sum, the rise in sales compensated for a decrease of gross margin and higher operating expenditures. As a result, operating profit (EBITDA before special items) rose 6% to EUR 167 million (Q4 2013: EUR 157 million).
In the full year 2014, consolidated sales rose 6%, adjusted for currency movements and on a preliminary basis. Likewise, in the reporting currency, this amounts to a rise of 6% to EUR 2,572 million (2013: EUR 2,432 million). Growing at a double-digit rate, the Group’s own retail business was once again the growth driver. EBITDA before special items improved 5% to EUR 591 million (2013: EUR 565 million).
Earnings before taxes rose 1% to EUR 437 million (2013: EUR 433 million) on a preliminary basis. This performance was negatively affected by non-cash-effective special items amounting to EUR 19 million, which mainly were booked in the fourth quarter and primarily related to the early cancellation of a contract with a sales agent in the Middle East as well as the planned consolidation of the Group’s production facilities.
In its meeting on March 11, 2015, the Group's Supervisory Board will decide on the dividend proposal for the Annual Shareholders' Meeting. ■